Volvo Group tests proprietary crypto for supplier payments

The Volvo Group has conducted an internal test of a proprietary cryptocurrency within a closed blockchain network, exploring its potential to streamline payments and data sharing with its material and transport suppliers. The initiative, described by a senior company manager in a recent interview, remains an exploratory project with no announced timeline for commercial deployment.

Ivan Branco, Head of Information Management, AI, and Analytics for Volvo Group Trucks Operations, explained that the test involved creating an enclosed digital environment with selected transport partners. The goal was to see if blockchain technology could simplify transactions and information exchange between material suppliers, logistics providers, and Volvo itself using a custom digital token. Branco emphasized that the project started with a specific business need rather than a desire to adopt novel technology for its own sake.

According to Branco, the proposed system aims to reduce complexity in global supply chains by consolidating transaction records and logistics information onto a single, shared ledger. This approach could minimize manual reconciliation processes and speed up communication....