Arya.ag, one of India’s leading agricultural warehousing and lending firms, is testing an Avalanche-based blockchain system to record warehouse receipts for stored grain and link them directly to lending data. This is not about tokenizing stocks or bonds. It is agricultural collateral, where every warehouse receipt represents grain that can be pledged for a loan.
The system connects grain deposits, warehouse receipts, collateral commitments, and loan status on a dedicated Avalanche network.
The operational impact could be significant. In agricultural lending, a warehouse receipt is the key document that shows grain exists and can be pledged as collateral. By putting that receipt, along with warehouse, farmer, insurance, and loan information, onto a shared ledger, lenders get a clearer view of what backs a loan and whether that collateral has already been pledged elsewhere.
Arya.ag’s warehouse network stores about $2 billion in agricultural commodities. The company also supports around $1.26 billion in loans annually, while its lending arm, Arya Dhan, issues about $230 million each year.
The testing phase may lead to broader adoption by banks and lending platforms. If it does, onchain collateral verification could make a measurable difference in how agricultural credit operates in India.