Pelago Labs has launched a supply chain financing platform leveraging the Stellar blockchain to provide liquidity to small and medium enterprises.
Innovative Solution by Pelago Labs
Vancouver-based Pelago Labs has developed a crypto-enabled supply chain financing platform that provides pre-settlement liquidity to suppliers. The solution tokenizes and fractionalizes the account receivables of buyers, creating smaller and supplier-specific representations. Suppliers can secure the working capital they need, backed by buyer's credit, to improve cash flow efficiency.
Statements from Denelle Dixon and Raymond Qu
Denelle Dixon, CEO & Executive Director of the Stellar Development Foundation, stated: “The power of blockchain technology to transform the future of finance was fully on display with Pelago’s crypto-enabled supply chain financing platform.” Raymond Qu added that Stellar's smart contracts enable efficient scaling and handling of complex business models, making them an excellent tool for building Pelago's solution.
Development of Pelago Platform
The Pelago SCF platform allows creditors to deploy digital assets to support small and medium-sized enterprises, overcoming traditional banking barriers. Last month, two suppliers on the Pelago platform successfully secured a $1,000,000 credit on the Stellar blockchain. This helped them address cash flow issues, ensuring they had funding before buyer payments.
Pelago Labs continues to enhance its platform using Stellar technologies to offer small and medium businesses access to global financial systems at a lower cost, without traditional banking barriers.
