Samsung SDS, a subsidiary of Samsung Group focused on providing information technology and artificial intelligence (AI) solutions to its clients, has joined forces with Credorax, an Israel-based financial technology firm. The memorandum of understanding will enable both firms to develop a blockchain-powered remittance and account reconciliation platform, reports The Korea Herald on March 4, 2020.
Simplifying Payments for Banks with Blockchain Technology
In a bid to eliminate some of the payments challenges plaguing businesses in today’s economy, Samsung SDS and Credorax have signed a memorandum of understanding that will enable them to leverage each other’s technology to develop a distributed ledger technology (DLT) based finance solution.
Per sources close to the matter, the new alliance will make it possible for the team to tap Samsung SDS’ Nexledger Universal platform to develop a blockchain-based system that will enable banks, merchants and other financial institutions to automatically settle payments, invoices, and remittances with bank records.
This way, users of the system will no longer have to reconcile accounts manually and the partnership also aims to integrate Samsung SDS’s Brity Works RPA solution into Credorax, to enhance the latter’s chargeback management solution.
Credorax provides its payments services to merchants and eCommerce platforms across the European Union and European Economic Area, enabling them to reduce the cost of doing business, while also streamlining accounting, irrespective of industry or connectivity type.
Credorax utilizes open banking, smart contracts and PSD2 bank access APIs to help its clients simplify and accelerate account reconciliation.
Commenting on the partnership, Igal Rotem, CEO of Credorax noted that the collaboration with Samsung SDS is a forward-thinking move, as it will enable both firms to use their technologies and expertise to eliminate bottlenecks in the financial ecosystem.
“Our goal is to enable global, cross-border, multichannel commerce across all areas of the business lifecycle, from customer experience to back-office efforts. Open Banking will continue to have a significant impact on how firms operate and our partnership with Samsung SDS will use this cutting edge technology to solve key problems plaguing B2B payments, back-office operations through the integration of Samsung SDS blockchain solution with our settlement and reconciliation system.”
In related news, earlier in January 2020, BTCManager informed that Samsung SDS has joined forces with Syniverse, a telecommunications services company, to launch a blockchain-based payments system aimed at facilitating frictionless mobile payments.