Alfa-Bank, one of the largest private commercial banks in Russia, explores the blockchain technology in its freelance services.
According to an announcement dated December 1st Alfa-Bank will use blockchain-based applications to automate services for freelancers and freelancers. Based on the Waves Enterprise blockchain platform, the new service from Alfa-Bank covers the entire registration and reimbursement process for the self-employed, including payment processing, income registration and tax payment.
Denis Dodon, director of Alfa-Bank’s research and development center, told Cointelegraph With the new blockchain-based service, freelancers can receive direct compensation through any bank:
“DLT and integrated intelligent contracts with end-to-end integration into the central bank clearing and settlement system enable the automatic creation of payment instructions […] with direct transmission of payment instructions via DLT to the cards and bank accounts of an independent employee at each bank ”.
The new service comprises two applications, including the business platform “Alfa.Corporate” and “My Income” for people. Igor Kuzmichev, commercial director of Waves Enterprise, said that Waves Enterprise’s blockchain technology enables secure data exchange between the bank and a company, as well as transparent and immutable data storage.
Kuzmichev noted that Waves Enterprise acts as the primary tool for the bank’s so-called “Bank-as-a-Service” approach:
“Thanks to the core characteristics of the blockchain (transparency and immutability of data), new banking services can now be developed on the customer side, but not in the environment of the central banking system. This approach significantly extends time to market and brings new developers into the fintech ecosystem. “
Kuzmichev said that The target group for the new service are freelancers such as taxi drivers, cleaning and repair services, tutors and others.
Alfa-Bank has become one of the most blockchain-friendly banks in Russia. In early November 2020, Alfa-Bank became the first Russian bank to join Contour, a DLT platform that connects the world’s financial giants like HSBC, ING and Citi.