Receivables on the Rayls Ecosystem

Receivables financing — also known as accounts receivable financing — is a method by which businesses can unlock working capital by leveraging their outstanding invoices. These receivables may take various forms, including commercial, credit, and government receivables.

Understanding the Receivables Finance Flow

Sale of Goods/Services
A business delivers goods or services and issues an invoice to the customer, often with payment terms of 30, 60, or 90 days.
Financing Agreement
Rather than wait for payment, the business enters into an agreement with a receivables finance provider (e.g., a bank or fintech lender).
Submission of Invoices
Eligible invoices are submitted to the finance provider for verification.
Advance Payment
Upon approval, the provider advances a portion of the invoice value — typically between 70% and 90%.
Customer Payment
In factoring, the customer pays the provider directly.
In invoice discounting, the customer pays the business, which then repays the provider.
Closure
Once the invoice is settled, the provider deducts fees and releases any remaining balance to the business, completing the transaction.

Key Benefits of Receivables Financing

Improved Cash Flow: Immediate access to funds tied up in receivables.
Enhanced Working Capital: Support for operational expenses or reinvestment.
Credit Risk Reduction: Non-recourse options transfer the risk of bad debt.
Facilitated Growth: Scale operations without incurring traditional debt.
Collateral-Free: Receivables serve as the primary security.
Operational Efficiency: Some providers manage collections directly.

Step-by-Step in the Rayls Privacy Node

The Rayls Privacy Node offers a secure and programmable ledger where receivables can be minted as digital assets, verified using off-chain data, and transacted either within a private environment or across a wider subnet.

Step 1: Minting Receivables
Receivables are tokenised on the ledger using one of three supported standards:

ERC-20 – For fungible assets.
ERC-721 – For unique, non-fungible assets.
ERC-1155 – For hybrid use cases.

Tokens can be created and deployed directly within a private bank node or optionally exposed to a subnet. For detailed guidance, see Minting Tokens in Rayls Privacy Node.

Step 2: Internal Transactions and Contract Logic
If transactions remain within the same node, no additional network actions are required. However, deploying a smart contract is essential to define settlement rules, including maturity terms and execution logic.

To get started:

All token and contract interactions can be audited via the internal ledger explorer, which supports filtering by user or token ID.

Sharing Tokens Beyond Your Node

Once registered, the token can be shared or referenced using the following tools:

Cross-Node and Subnet Communication Options
Once registered, you may choose from several protocols, depending on your operational and privacy requirements:

Teleport Protocol

Use the Teleport Atomic Protocol to bridge tokens between nodes securely and instantly. This is ideal for seamless, cross-node liquidity.

Send Teleports

Arbitrary Messages

If the goal is communication rather than transfer, Arbitrary Messages allow off-chain settlement agreements or metadata exchanges — without moving the token itself.

Cross-Subnet Arbitrary Messages

Enygma Protocol

For institutions prioritising privacy and governance over visibility, Enygma offers encrypted token management. Best suited for fungible tokens, it ensures control without compromising on discretion.

A Warm Introduction to Rayls Enygma

Final Note

By integrating receivables within the Rayls Privacy Node and Subnet ecosystem, institutions gain not only operational efficiency but also enhanced liquidity, visibility, and control — all without compromising on security or compliance.

We invite you to explore further and become an active contributor to the Rayls ecosystem.

For additional support, please reach out to our technical onboarding team.