Russian Railways are going to implement blockchain to automate business processes and reduce logistics costs.

“OAO RZD plans to implement in rail infrastructure technology of digital logistics and registries distributed, decentralized storage and data exchange based on the blockchain system, and later the so-called “smart contracts”,” — said the independent expert of the IT industry Pavel Terentyev in an interview with FederalPress.

Terentev also told about the plans of Russian Railways to sign a month to 5 000 smart contracts. And although, in his opinion, the blockchain has such disadvantages as the lack of offline modes and personalize data, but the ability to safely store information about the cargo in the distributed registry should significantly reduce the logistics costs. Another advantage of the use of innovative technology will be the expected increase in demand for services of Russian Railways, which will allow for the modernization of trains and roads at the expense of borrowed funds.

It is worth noting that the news about the interest of the Railways to the blockchain appeared before. So the head of it-Department of JSC “Russian Railways” Evgeny Charkin in March announced the company’s intention to implement the blockchain and to enable payment for services in crypto currencies after the emergence of legislation governing the industry.

In January, the General Director of JSC “Russian Railways” Oleg Belozerov, during the “Gaidar forum – 2018” have informed that have already been digitized a number of processes, and this has had a noticeable impact. In his opinion, the introduction of the blockchain will happen in the next four years.

Note that the purchase of train tickets using the cryptocurrency are already available in 92 countries through Destinia platform which among other methods offers to pay for railway tickets with bitcoin.