Gazprom Neft, VTB Bank and Aeroflot Agree Blockchain Payments Deal

Gazprom Neft, VTB Bank and Aeroflot have agreed a deal to develop a system of instant payments for aviation fuel based on blockchain technology and specialized digital tools for the industry. The agreement was signed at the St. Petersburg International Economic Forum, Russia.

The companies have agreed to work together on the introduction of innovative solutions which cut the processing time for aviation fuel payments from a few days to a few seconds and substantially improve the efficiency and safety of transactions.

Their agreement builds on Gazprom Neft’s successful launch of the world’s first blockchain platform Smart Fuel at Russian airports which is registered in the Russian Software Register of the Ministry of Digital Development of the Russian Federation.

Payments will be carried out in real time using immutable algorithms of smart contract that store data about transactions and their participants.

Alexander Dyukov, chairman of Gazprom Neft Management Board, said: "Gazprom Neft was the first in the world to successfully introduce its own blockchain platform for aircraft refuelling Smart Fuel. It has increased the financial security of the payment process and significantly cut the time of mutual transactions – from several days to 15 seconds.

“In partnership with a leading bank and the country’s flagship carrier, we will continue the exciting development of the platform and the expansion of its operations, as well as explore possibilities of creating new specialized digital tools for the aviation industry.”

Andrey Kostin,president and chairman of VTB Bank Management Board, commented: ‘The transformation of traditional banking models of mutual payments results from the lightning-fast development of digital field integral to the global modern economy.

“VTB Bank is focused on the introduction of innovative products, and the blockchain based payment module is a clear example. An efficient payment scheme solves several problems at once and enables our partners, Gazprom Neft and Aeroflot, to save time and money. The expansion of our line of transactional products with this solution is another step towards the digitalization of processes and the improvement of the customer experience.”

Mikhail Poluboyarinov, Aeroflot CEO, said: "Aeroflot Group is consistently introducing the most modern methods of managing operational activities, business processes, and mutual payments. Our participation in the development of digital innovative solutions that demonstrate efficiency, such as blockchain-based digital payment module, is an investment in efficiency and reliability.”