# Blockchain-Based Payment Settlement in Furniture Supply Chain

> IKEA uses the Ethereum blockchain together with partners Tradeshift and Monerium to process payments in the supply chain digitally and programmatically. Digital e-money replaces traditional bank transactions and enables transparent, tamper-proof invoice settlement between suppliers. This approach serves as a pilot project for the broader mainstream adoption of programmable digital money in global trade.

**Sector:** Secondary sector · **Industry:** Furniture manufacturing · **Organisation:** IKEA Island mit Tradeshift und Monerium (Nordic Store) · **Maturity level:** Production

Canonical URL: https://www.sapientblock.com/en/use-cases/ikea-island-blockchain-basierte-zahlungsabwicklung-moebellieferkette

## Documentation status

- **Project status:** Production
- **Evidence:** Evidence high
- **Editorial review:** Ufuk Avci, 12 July 2026

## Description

IKEA has successfully processed a supply chain transaction via the Ethereum blockchain, using digital e-money from the provider Monerium as the means of payment. The Tradeshift platform served as the connecting element between the inventory management system and the blockchain payment infrastructure. The project aims to make payments to suppliers faster, cheaper and more transparent by replacing traditional banking processes with programmable digital payments. Monerium is the only regulatorily authorised provider of blockchain e-money in Europe, ensuring the project's legal security.

IKEA, one of the world's largest furniture and home furnishing companies with a global network of over 1,600 suppliers in more than 50 countries, has taken an important step in digitising its supply chain financing. In cooperation with the supply chain finance platform Tradeshift and the e-money specialist Monerium, a payment transaction was successfully conducted via the Ethereum blockchain. Programmable digital e-money in Icelandic króna was used as the means of payment, acting as the digital equivalent of the national currency and fully regulated. Monerium is the first and so far only provider authorised by the relevant authorities to issue e-money on a public blockchain, giving the project special legal legitimacy. The project demonstrates the potential of programmable money to automate and accelerate manual and time-consuming payment processes in complex global supply chains. Tradeshift sees this pilot project as a pioneering step towards the global mainstream adoption of blockchain-based e-money in international trade.

## Benefits

- Reduction of transaction costs and processing times for international supplier payments.
- Automated, rule-based payment initiation via smart contracts reduces manual effort.
- Improvement of liquidity for suppliers through faster payment cycles.
- Faster payment processing in the supply chain by eliminating traditional bank intermediaries.
- Greater transparency and traceability of all payment transactions thanks to immutable blockchain records.
- Legally secure use of regulated digital e-money for cross-border transactions.
- Relief from repetitive, manual tasks in invoice processing and payment transactions.
- Opportunity to build new digital skills in blockchain and programmable payments.

## Challenges

- Dependence on specialised platform partners such as Tradeshift and Monerium creates vendor lock-in risks.
- Scaling the pilot project to the entire global supplier network presents significant operational and technical challenges.
- Integrating blockchain payment systems into existing ERP and inventory management systems is technically complex and resource-intensive.
- The regulatory landscape for digital e-money is still developing in many countries and may bring uncertainties for international rollouts.
- Acceptance and technical integration on the supplier side require training and support, especially for smaller suppliers.
- Employees must learn new digital processes and tools, which requires training effort and willingness to change.

## Technology foundation

The use case is based on the Ethereum blockchain combined with programmable digital money (E-Money) from the provider Monerium as well as the supply chain finance platform Tradeshift. Ethereum is suitable for this use case because the platform supports smart contracts, which enable automated and rule-based payment initiation without the need for traditional banking intermediaries. Monerium is the first and only regulatorily authorised provider of blockchain-based e-money within the European legal framework, making the solution legally secure.

## Sources

- [The Next Web: IKEA just allowed an invoice to be paid via the Ethereum blockchain (IKEA Island, Nordic Store, Tradeshift, Monerium)](https://thenextweb.com/news/ikea-iceland-smart-contracts-ethereum-tradeshift-monerium-invoice-nordic-store)
- [Wired Italia: Ikea vende i primi mobili pagati con uno smart contract su blockchain (Oktober 2019, detaillierte Beschreibung der Transaktion)](https://www.wired.it/economia/finanza/2019/10/03/ikea-blockchain/)
- [Retail Technology Innovation Hub: IKEA allows invoice to be paid via Ethereum blockchain – erste per Smart Contract beglichene Rechnung mit lizenziertem E-Geld](https://retailtechinnovationhub.com/home/2019/10/4/ikea-allows-invoice-to-be-paid-via-ethereum-blockchain)
- [Bitcoinblog: Isländischer IKEA akzeptiert E-Kronen über Ethereum-Blockchain (deutschsprachige Darstellung, Monerium E-Geld-Lizenz)](https://bitcoinblog.de/2019/10/09/islaendischer-ikea-akzeptiert-e-kronen-ueber-ethereum-blockchain/)