Barclays Leads $5.5 Million Funding for Blockchain Invoice Exchange
A recent funding round led by Barclays and UK’s VC firm Bold Capital Partners has together raised over $5.5 Million for a Blockchain powered invoice exchange system, Crowdz.
The Crowdz technology is engineered to make the whole invoice processing method efficient through digitization and automatization of many manual processes like searching for financiers and giving them invoices using their B2B payment gateway. Through the same gateway, they are helping SMEs digitize the invoices, bring the invoice payment collection on track of expedited speed, fastrack the cash conversion cycle, and instantly associate order and payments with each other.
Technology-wise, Crowdz is making use of the Ethereum platform but is also interoperating with various other networks through Overledger.
Commenting on the importance of a speedy invoice processing system on SMEs, Crowdz CEO said: “Today, small and midsize businesses often have to wait for a financially crushing 90 to 120 days or more to get paid. It’s no wonder that more than half of them suffer cash-flow problems during any given year. However, with the Crowdz Invoice Exchange, these often struggling companies can get paid within a few days or less-at rates usually far less than available elsewhere in the market.”
This is not the first time that Barclays has openly extended a supportive hand to the adoption of Blockchain. Cointelegraph, last month, reported that Barclays has joined a trial for testing Blockchain technology in streamlining of real estate transactions.
What started in 2016, Barclays Blockchain journey has only come so far ever since it laid the foundation of easing the trade finances with Wave’s partnership. The British financial service company and investment bank has been trying to set new use cases of Blockchain in the banking and finance domain and so far, it has only succeeded with Crowdz being its latest jewel in the crown.
Commenting on Crowdz investment, Barclays Chief Technology and Innovation Officer John Stecher said: “Our team is excited to see them enter this next phase of growth, and look forward to supporting them further as they work to disrupt the payments industry, providing superior service to our customers and clients.”
Well apart from Barclays, Crowdz received funding from a number of other establishments in the likes of Techstars Ventures, TFX Capital Partners, and First Derivatives. The funding that has been received is planned to be used in the direction of product development, sales, marketing, and hiring more people in the Crowdz team.
The banking industry-backed first Blockchain Invoice Exchange is all set to completely revolutionize the $9 Trillion receivables market and fill the gap in automation and invoice processing.
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