Russian Airline Uses Blockchain for Ticketsbr>
S7 is Russia’s biggest domestic airline. It has been collaborating with Alfa-Bank since last year on exploring blockchain technology, with test payments made in December.
Alfa-Bank said that one of the key advantages of blockchain is the fast processing of payments. The blockchain based payment system ensures receipt of proceeds from sales, minus the commission of the agent, immediately after issuing the ticket, rather than waiting two weeks for settlement, as in traditional payments.
The announcement on the new blockchain collaboration between S7 and Alfa-Bank comes after Russia’s largest international airline, Aeroflot, revealed that it had published a proposal for the introduction of digital currencies and technologies related to it into its operations.
“Blockchain technology is an ideal solution for a business that makes transactions with a large number of participants, and if there are new participants in the transaction who do not yet trust each other,” said Alfa-Bank director Nadezhda Avdanina. “The use of blockchain technology improves the speed and transparency of the payment process. The more market participants (banks, large counter-parties, individuals) make transactions through the platform, the more transparent, faster and cheaper will be financial interactions.”