Liquid FSI to Augment Healthcare Lending Platform with Blockchain Technology
Liquid FSI announced today that it has entered into an agreement with TVS Next, an IT company, to build a blockchain platform to enhance its healthcare lending capabilities.
“Our Blockchain solution solves a myriad of issues including the privacy of provider [typically medical office], biller, payer, patient and bank data,” said Liquid FSI President and CEO, Frank Capozza. “Blockchain will also support our on-demand payment offering Convert2Pay…and we believe that TVS Next has the depth of resources we need to serve the $3.6 trillion healthcare market.”
The is an improvement of Liquid FSI’s Convert2Pay offering which can provide cash in as little as 24 hours to medical offices with insurance claims.
“Instead of waiting 45 days or 60 days to get paid, [the doctor] can get paid in 24 hours because we’ve done all the analytics, and we’re scored [the medical practice] on a scale from 1 to 10,” Capozza said. “If he’s a solid performer and he’s using our platform to level out his peaks and valleys in cash flow, we see all of that in the system.”
The new use of blockchain, a decentralized system that logs information anonymously into a ledger, should give increased confidence to Liquid FSI’s medical office clients, Capozza said.
Capozza said he has excellent relationships with a number of brokers who send him clients. But as evidence of the privacy problem, he said that he will occasionally get applications from some brokers that include patient names, addresses, and social security numbers. This information isn’t stolen, but can be released by a medical practice if it needs money urgently. Capozza said he would rather see less of this and is confident that the new blockchain technology will significantly reduce any privacy lapses.
“It’s the same product, but it’s improving the privacy for everyone involved,” he said.
He also said that they are in talks with three banks that will be able fund on the Convert2Pay platform and will be comforted by the increased privacy afforded by the blockchain technology to be used by Liquid FSI. Capozza said Liquid FSI has plans to offer credit to doctors and sees itself as a VISA for the healthcare industry.
Aside from working with broker partners, Liquid FSI also works with medical billing companies to obtain clients, like pediatrician or dentist offices. Founded in 2014, the company has made some key recruitments to its overall team over the past year, including the addition of Barry Blecherman, professor of Finance and Risk Engineering at the NYU Tandon School, to its Board of Advisors.Last modified: February 11, 2019
Todd Stone is a reporter for deBanked.