Airline Starts Using Ethereum's Blockchain in Live Production
One of the biggest Airlines in Russia for domestic flights has recently started a new payment option for its passengers. They now offer tickets for sale using there's blockchain. The news came through this Monday, based on reports in local newspapers.
At the moment there isn't much detail available since it is a new project. It has been in the works as a collaboration between Alfa Bank which is the biggest commercial bank in the Country.
They have said that payments that use this blockchain allow the receipts from all sales after the commission is taken for the agent to come through immediately. The tickets are issued straight away as well. It means people don't have to wait 14 days as they previously did. S7 and Alfa-Bank working together S7 and Alfa-Bank have been working together since 2016 looking into the technology of block chains and making test runs for this payment system. Dmitry Kudelkin, Group Deputy Director of S7 has said that the company uses the most advanced technology on the market to make the business transactions easier for their clients. It is also a new business venture.
Now they have done the test runs and the technology allows business to be done easier and with less fuss. They now plan to take the project further and continue to work together with Alfa-Bank on other collaborations. The airline currently has a traffic of 70 fleets that see to 80 destinations and sees many financial transactions every single day in both ticket sales and employee payments. There is also stock and other supplies that need to be brought in, so an ethereum blockchain currency would make these transactions easier.
It offers not only a simple and trusty technology but also transparency which is needed in big businesses. It will become faster and cheaper because more partners will participate in these transactions. Legislators are working to legalize currencies like this and regulate ICO in a more controlled manner, signaling a friendlier atmosphere for this kind of investing. It is possible that Russia will create new projects based on blockchain once they get the first pilot ideas up and running and then analyze how it has changed the business landscape within the country.
Currently, Russian laws are not very friendly to these investments, since the government and the responsible institutions simply haven’t collected enough information on what kind of impact they would make on the business. However, the tides are changing.