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- Supply@ME uses the VeChainThor blockchain to mint the first NFTs underpinning inventory monetization transactions.
- Supply@ME and VeChain will launch the next project under the duo’s partnership agreement in the next few months.
VeChain and Supply@ME (a cross-border fintech hub) launched the first-ever NFTs about inventory monetization transactions on Monday. Supply@ME minted these NFTs using the VeChainThor blockchain. The transaction worth 1.6 million Euros will significantly boost the cash flow of businesses using the Supply@ME platform.
The transaction amount will also allow businesses that design and manufacture vehicles access a more significant cash inflow. The cash flow is specially reserved for companies designing and manufacturing custom and industrial vehicles across Africa, Italy, and the US. This NFT minting is the first ever in the inventory monetization industry.
It offers a new asset class for investors and marks a new method for supply chain businesses (notably manufacturing and business) can access enormous funds for their businesses. Supply@ME connects manufacturing businesses, regardless of their sector, with investors.
Such manufacturing businesses include those manufacturing heavy machines and chemicals and those in the food and fashion industries. Usually, the investors monetize unsold stocks using the legal “true sale” technique. This method helps businesses to free up funds trapped in stored inventory.
Rather than use traditional asset-based or banking lending options, this innovative commercial facility is a better option for manufacturing businesses due to its greater cost-effectiveness. Also, it helps them to avoid getting into debt to run their businesses.
Once a manufacturer finds an investor for its stock, it can initiate a repurchase request before the end customer can purchase. Through Supply@ME’s fintech platform, businesses facing various challenges in supply chain disruptions can access a new source of cash flow for their operations.
Investors can use the Supply@ME platform to track or monitor inventories and other trading activities. The platform is integrated with the VeChainThor blockchain to manage the NFTs’ life cycle efficiently. The side benefit for manufacturing firms is that they can also use the Supply@ME platform to access a detailed analysis of their risk management and inventory optimization.
Another project is coming soon
This NFT launch is the first project under the Supply@ME-VeChain alliance. Both partners plan to launch another project based on their agreement within the next few months. This next project will also involve another inventory transaction but with a valuation of $8.5 million.
VeChain will be funding this next project as an anchor investor. However, other liquidity providers will be providing funding. They are drawn from within the VeChain network stakeholders. They include direct investors from VeChain’s liquidity pool network and crypto asset managers.
Supply@ME CEO, Alessandro Zamboni, commented on the new launch. But, he said, “there is a huge market for inventory monetization. So many businesses in this industry have been suffering for a long time because the inventory they hold is a cash drain for them till they sell those inventories.”
He added that Supply@ME’s partnership with VeChain offers a less expensive option for these supply chain businesses. Hence, they can free up more funds and deploy them into their business operations. VeChain foundation CEO, Sunny Lu, echoed the words of Zamboni and added that the blockchain firm is excited about what the future holds regarding this partnership.
