IKEA Smart Contracts
IKEA to Use Smart Contracts and Licensed E-Money
October 4, 2019
IKEA Smart Contracts
IKEA to Use Smart Contracts and Licensed E-Money
October 4, 2019

IKEA Iceland has taken part in a commercial transaction on ethereum, using smart contracts and licensed e-money to facilitate the settlement of an order from Nordic Store, a local retailer.

On October 3 (Tuesday), it has been reported that the transaction was carried out on a platform provided by Tradeshift, a supply chain management firm and used “programmable digital cash” from ConsenSys-backed Monerium. Specifically, Nordic Store bought goods from IKEA and settled an e-invoice using Monerium’s tokenized Icelandic krona.

However, Monerium and Tradeshift suggested that the “world’s first” transaction shows that “government-regulated, programmable e-money is ready for mainstream markets.”

It has been reported in June that Reykjavik-based Monerium was licensed by the Financial Supervisory Authority of Iceland (FME) as its first Electronic Money Institution, making the startup the first to have regulatory approval to provide fiat payment services over blockchain systems across the European Economic Area.

The Electronic Money Institution rules were set up originally for prepaid debit cards by the European Union after the 2008 financial crisis.

ALSO READ :  Huobi Indonesia To Enable Fiat-To-Crypto Trading Between Indonesian Rupiah And USDT

Gert Sylvest, the Co-founder of Tradeshift said:

“With a ‘smart invoice’ we can issue tokens that represent the future cash flow down to each dollar on the invoice. Whoever holds tokens will get paid upon due date, which makes smart invoices ideal to use for financial-services apps.”

Gert Sylvest
Gert Sylvest, Co-founder of Tradeshift

Likewise, Tradeshift also created the “smart invoice” for the transaction, which was notably backed by Goldman Sachs in a $250 million Series E funding round on May. The round valued the firm at at $1.1 billion and marked a deeper move into the blockchain industry by the firm.

Thus, Stefan Arnason, the CFO of IKEA Iceland stated:

“A programmable financial supply chain, where trading partners can connect information flows to money flows through smart contracts, will transform how suppliers and customers interact.”

Stefan Arnason

Source: Coindesk


Disclaimer

Crypto News Point a news platform of Digital Notice Media Labs is primarily a regular publication of information, commentary and articles focused extensively on fintech, blockchain technology, cryptocurrency, blockchain-based tokens, cryptocurrency market trends, and trading strategies. We do not provide individually tailored investment advice and does not take a subscriber’s or anyone’s circumstances into consideration when discussing investments, nor is Crypto News Point registered as an investment adviser or broker-dealer in any jurisdiction. Information contained herein is not an offer or solicitation to buy, hold, or sell any digital assets.

Affiliate Disclosure: To help support the work we do here at CNP, we often link to products and deals from around the web. Should you buy some of these, we may get a portion of the sale.

We in generally gather content from the major websites. In every article there is always a clear link and attribution to the source publication. If you have any issue with any of our published content taken from your site, kindly let us know so that we can take appropriate action. In any case, the content of the pages of this website is for your general information and use only. It is subject to change without notice.

You May Also like

A Brief Overview On Wrapped Token

A Brief Overview On Wrapped Token

A wrapped token is an ERC-20 token with a value identical to another asset that it represents, either through a smart contract or by being backed one-to-one with the underlying asset. It is an asset hosted on the...

Blockchain in the Tourism Industry

Blockchain in the Tourism Industry

Tourism can be defined as traveling to a place that is different from your home city or country for various leisure or business purposes, and staying there for some considerable period of time at a length. It becomes...

Ishita Bora

Ishita Bora is a Senior Content Creator at Digital Notice Media Labs with an experience of 1 year. She has completed her Master's Degree in Language and Linguistics in 2019 from Gauhati University, India. Her interest lies in blockchain technology and cryptocurrency space, as she loves writing about blockchain and other blockchain-related articles. Currently, she is working on blockchain-based news, reviews, featured articles, and guides.
Share This

Share This

Share this post with your friends!