TCS Blockchain, a transportation trade finance provider, has announced a partnership with PayPal USD to expand blockchain-based settlements for trucking companies. The initiative is intended to help carriers receive payments faster and reduce costs associated with traditional invoice factoring.
For decades, carriers in North America have relied on factoring companies to bridge payment delays of 30 to 180 days. In many cases, this meant giving up a large portion of sales to access working capital. TCS Blockchain and PayPal USD now offer an alternative based on digital assets and on-chain settlement.
TCS Blockchain is a transportation finance company that uses tokenized settlements. PayPal USD is a US dollar-backed stablecoin issued by Paxos Trust Company. The stablecoin is designed for digital payments and blockchain transfers.
Carriers who join the platform will open an account with INX-Republic to convert TCS tokens into US dollars. The PYUSD stablecoin acts as a settlement layer for related transactions. The companies say the system works year-round and does not rely on standard bench rails.
Image: Freepik