Populous World and block chain technology

Populous World
Aug 31, 2018 · 3 min read

Block chain, the decentralised technology still relatively unknown to the conventional world, is a peer-to-peer software that has established itself for disrupting many industries since its birth in 2008.

Perhaps you are also still a little unsure about invoice financing and its purpose of cash flow advancements and the process, and more specifically invoice discounting. Populous World has fulfilled the need to bring invoice finance to the block chain, and the block chain to invoice finance.

Populous World uses block chain to facilitate invoice discounting transactions on its auction-based global platform for transparency, speed and clear audit trails, which enables accessibility for financial auditing and allows international investors to participate in the bidding of an invoice. These factors instruments that risk of fraud and costs are all positively affected. The amount of paperwork, lending limits, the limits on exposure to an individual debtor, different appetites for different industries and the complex cost structures are among the obstacles for small businesses wishing to sell their invoices.

For the lender, there is the risk of default and fraud, which traditionally requires bureaucratic processes to allow the lender to validate each invoice and control the flow of funds.

Why is transparency so important?

When it comes to invoice discounting, the transparency of processing transactions improves the engagement with members of our community since all of the actions are on the block chain which are publicly available, meaning that members can validate the authenticity of their transaction history using third party software.

Speed

For non-block chain invoice financing companies, it would be difficult for them to accept payments from global investors in seconds to fund an invoice since international bank transfers could typically take up to five working days. The current cryptocurrency total market cap is $230 billion, and with the existence of trading cryptocurrency exchanges, users can instantaneously purchase Populous tokens to fund an invoice.

The block chain helps to automate the process by using the capabilities of smart contracts between an invoice seller and an investor. Invoices that have been financed are fully traceable, limiting the potential for fraud and repeat funding of the same invoice, and a number of processes can be automated, including running credit rating checks on the end debtor. This all leads to a faster transaction time and lower transaction costs, which can be passed on to both sellers and investors.

Using Ethereum smart contracts allows users to trade invoices securely and with confidence that their investment will be repaid when the original invoice is settled.

By using block chain, Populous World succeeds in making invoice discounting global for the first time too. No longer is the currency or geography of the invoice a limiting factor for the seller or the investor. Now a business in the US can sell an invoice to an investor in Finland, just as easily as it can sell it to an investor in the US. Global liquidity is made available to support business growth.

Lou Chan, Populous World.

Manage your cash flow risk now and visit www.populous.world to learn more about invoice finance and how we can help.

Populous World

Invoice Discounting and Business Intelligence on Blockchain

Populous World

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#InvoiceFinance #tradefinance Platform #blockchain #ethereum #smartcontracts #fintech #BI https://populous.world

Populous World

Invoice Discounting and Business Intelligence on Blockchain

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