POSCO International, South Korea’s largest trading company, is expanding its presence in tokenized trade finance by successfully completing a transaction that converted real-world receivables into digital assets on an Avalanche-based blockchain network, just one month after a similar pilot on Injective.
The company’s U.S. division collaborated with trade finance platform Olea and asset-backed finance technology firm Intain on this groundbreaking transaction. Intain utilized artificial intelligence to reconcile invoices, purchase orders, credit notes, and shipping documents before authenticating and recording the receivables on its Layer-1 network built on Avalanche.
Trade receivables represent the money owed to a company after delivering goods but before receiving payment from the customer. These receivables can be leveraged for financing, but the process often involves reconciling records from buyers, sellers, and banks.
By documenting the receivables on a shared blockchain ledger, a common record of ownership and the asset’s status is established, potentially streamlining paperwork and enabling companies to access financing more quickly.
This latest development follows POSCO International’s recent collaboration with LG CNS to issue, transfer, and settle tokenized receivables on Injective. The project also involved receivables generated from actual trade transactions between POSCO’s overseas subsidiaries and their trading partners.
