finovate

Bellevue, Washington-based business management solution provider Acumatica has announced the acquisition of CoreChain Technologies, a Finovate alum specializing in blockchain-based B2B payments. The strategic move, made public in January, signifies Acumatica’s intent to deepen its embedded finance offerings and transform its comprehensive business software into a robust fintech platform, directly integrating advanced payment capabilities into its enterprise resource planning (ERP) ecosystem. While the specific financial terms of the acquisition were not disclosed, industry analysts view this as a significant step for Acumatica to enhance its competitive edge in a rapidly evolving market.

Acquisition Details and Strategic Rationale

The acquisition builds upon a pre-existing partnership that commenced in 2023 when CoreChain introduced CoreChain Pay, a direct, integrated solution designed specifically for Acumatica users. This prior collaboration provided a clear pathway for the deeper integration now solidified by the acquisition. For Acumatica, bringing CoreChain Technologies under its umbrella means it can directly offer embedded supply chain financing and streamlined digital B2B payment solutions, rather than relying on third-party integrations. This vertical integration is poised to deliver a more seamless and powerful experience for its customer base, primarily small and mid-market companies seeking greater efficiency and financial control.

Chris Aguas, CEO of CoreChain Technologies, articulated the significance of the merger on his LinkedIn page earlier this year. He stated, "I am tremendously excited to announce that Acumatica has acquired CoreChain Technologies. CoreChain has focused on modernizing B2B payments for the past 7+ years, and embedding AP payments capabilities directly into ERP workflows has been a key focus since the very beginning of our journey." This statement underscores CoreChain’s long-standing mission to revolutionize accounts payable processes by integrating payment functionality directly where businesses manage their operations. The synergy between CoreChain’s specialized payment network and Acumatica’s broad ERP platform creates a potent combination, addressing critical pain points in business finance.

A Journey to Integration: CoreChain’s Evolution and Finovate Showcase

Founded in 2019 and headquartered in New Haven, Connecticut, CoreChain Technologies quickly established itself as an innovator in the B2B payments space. Its core offering centers around a "network of networks" that streamlines the financial supply chain, facilitating simple and secure digital B2B payments between buyers and suppliers. This network supports various digital payment options, including virtual cards and ACH, moving businesses away from traditional, often cumbersome, paper-based transactions. Since its inception, CoreChain has demonstrated significant market traction, processing over $1 billion in B2B payments, a testament to its platform’s efficacy and reliability.

CoreChain made its public debut on a prominent fintech stage at FinovateSpring 2024, where it showcased its flagship CoreChain Pay solution. The company notably branded CoreChain Pay as "Venmo for Business," a moniker that effectively communicates its goal: to enable businesses to pay vendors digitally, seamlessly, and securely directly from their existing accounting systems. This technology is engineered to simplify accounts payable, allowing companies to consolidate vendor payments within a single solution, thereby mitigating back-office expenses, reducing payment fees, and significantly lowering fraud risk—challenges that continue to plague many businesses. The platform’s use of blockchain technology provides an additional layer of security, transparency, and immutability to transaction records, distinguishing it from many conventional payment systems. The Finovate appearance served as a crucial platform for CoreChain to gain industry recognition and connect with potential partners, ultimately paving the way for its strategic integration with Acumatica.

Acumatica’s Vision: Transforming ERP into a Fintech Powerhouse

Acumatica, a prominent provider of comprehensive business management solutions, has historically focused on assisting small and mid-market companies in fostering connected, collaborative work environments. Its flagship product, Acumatica Cloud ERP, is designed to be a holistic platform, encompassing financial management, customer relationship management (CRM), project accounting, and more. The acquisition of CoreChain marks a pivotal moment in Acumatica’s strategy, indicating a clear direction towards embedding financial services directly within its ERP framework, thereby transforming itself into a more complete fintech platform.

This strategic pivot aligns with broader industry trends where ERP systems are evolving beyond mere record-keeping to become central hubs for business operations, including financial transactions. By offering CoreChain’s blockchain-based payment system as an integral part of its solution, Acumatica gains the capability to leverage embedded finance to provide essential financial tools like supply chain finance directly. This eliminates the need for customers to integrate with multiple third-party providers, streamlining operations and enhancing the user experience.

Acumatica’s commitment to innovation extends beyond this acquisition. The company recently updated its Acumatica Cloud ERP with expanded AI capabilities, enhanced reporting tools, and new collaboration features. These enhancements are designed to improve connectivity between field teams and back offices and introduce early access to Acumatica’s AI Assistant. This assistant promises a more intuitive, conversational way for users to access insights from their data, demonstrating Acumatica’s dedication to integrating cutting-edge technologies like artificial intelligence to empower its users. Acumatica CEO John Case highlighted this forward-looking approach, stating, "We’re living in an incredibly exciting age of AI, with endless possibilities and impact that organizations are experiencing today. We see it with customers who are combining new AI capabilities with human ingenuity to enhance performance and empower people to do their best work." This vision suggests that CoreChain’s integrated payment solutions will likely benefit from future AI enhancements, further optimizing payment processes and financial insights.

The Unfolding Timeline: Key Milestones Leading to the Acquisition

The journey culminating in CoreChain’s acquisition by Acumatica is marked by several key milestones:

• 2019: CoreChain Technologies is founded, embarking on its mission to modernize B2B payments using blockchain technology.
• Early 2023: CoreChain develops and launches CoreChain Pay, specifically introducing a direct, integrated solution tailored for Acumatica users, establishing the foundational relationship between the two companies.
• FinovateSpring 2024: CoreChain Technologies makes its Finovate debut, demonstrating CoreChain Pay and gaining significant industry visibility and validation for its "Venmo for Business" approach to digital B2B payments.
• January 2026: Acumatica formally announces its agreement to acquire CoreChain Technologies, signifying a strategic move to embed advanced B2B payment and supply chain finance capabilities directly into its ERP platform.
• Early 2026 (Concurrent): Acumatica rolls out significant updates to its Acumatica Cloud ERP, introducing expanded AI capabilities, enhanced reporting, and new collaboration features, reinforcing its commitment to technological advancement and user empowerment.
• May 5-7, 2026: FinovateSpring 2026 is scheduled, providing a platform for other emerging fintechs to demonstrate their innovations, following in the footsteps of CoreChain’s successful debut.

This timeline illustrates a deliberate progression from partnership to full integration, driven by the shared vision of enhancing business efficiency through advanced financial technology.

The B2B Payments Landscape: A Market Ripe for Disruption

The global B2B payments market is a colossal sector, valued at trillions of dollars annually, and is undergoing a profound transformation. Historically dominated by paper checks and manual processes, it has been plagued by inefficiencies, high processing costs, and vulnerability to fraud. Estimates suggest that the global B2B payments market size reached approximately USD 125 trillion in 2022 and is projected to grow to over USD 200 trillion by 2030, driven by the increasing digitalization of business operations, cross-border trade, and the demand for faster, more transparent transactions.

Key trends driving this disruption include:

• Shift from Paper to Digital: Businesses are increasingly abandoning paper checks in favor of digital payment methods like ACH, virtual cards, and real-time payments, seeking speed, cost savings, and improved reconciliation.
• Demand for Automation: Automation in accounts payable (AP) and accounts receivable (AR) processes is crucial for reducing manual errors, freeing up staff for more strategic tasks, and improving cash flow management.
• Fraud Prevention: The rise of cybercrime has made robust fraud prevention mechanisms a top priority for businesses. Digital payment systems with built-in security features, especially those leveraging blockchain, offer enhanced protection.
• Cross-Border Payments: Simplifying complex and costly international B2B payments is a significant driver of innovation, with solutions offering greater transparency and reduced intermediaries.

CoreChain’s blockchain-based "network of networks" directly addresses many of these challenges. By providing a secure, immutable ledger for transactions, it enhances transparency and traceability, critical components for reducing fraud and disputes. The ability to offer digital payment options like virtual cards and ACH within a unified platform simplifies reconciliation and accelerates payment cycles, benefiting both buyers and suppliers. This context highlights why CoreChain’s technology is not just an incremental improvement but a foundational shift in how B2B payments are conducted, making it an attractive asset for a forward-thinking ERP provider like Acumatica.

Embedded Finance and Blockchain: Pillars of Future Enterprise Solutions

The acquisition also underscores two powerful trends reshaping the financial technology landscape: embedded finance and the increasing adoption of blockchain in enterprise solutions.

Embedded Finance refers to the seamless integration of financial services directly into non-financial platforms or processes. Instead of navigating to a separate bank portal or payment application, users can access financial tools—like payments, lending, or insurance—within the context of the primary software they are using (e.g., an ERP system). The B2B embedded finance market alone is projected to reach billions in the coming years, as businesses seek efficiency and convenience. For ERP providers like Acumatica, embedded finance offers several advantages:

• Enhanced User Experience: Eliminates friction by allowing users to complete financial tasks without leaving their core business application.
• New Revenue Streams: Provides opportunities for ERP vendors to capture a share of financial transaction fees or offer value-added financial services.
• Data-Driven Insights: Integrates financial data directly with operational data, enabling more sophisticated analytics and business intelligence.
• Increased Stickiness: Makes the ERP platform more indispensable to customers by consolidating critical functions.

Blockchain technology, while often associated with cryptocurrencies, offers fundamental benefits for enterprise applications, particularly in finance and supply chain management. Its distributed, immutable ledger provides:

• Enhanced Security: Cryptographic security and immutability make transactions highly resistant to fraud and tampering.
• Transparency and Auditability: All participants in the network have access to a shared, consistent view of transaction history, simplifying audits and dispute resolution.
• Efficiency and Speed: Automation through smart contracts and the removal of intermediaries can significantly reduce processing times and costs.
• Supply Chain Optimization: Enables real-time tracking of goods and payments across complex supply chains, improving visibility and trust.

CoreChain’s strategic use of blockchain for B2B payments and supply chain finance aligns perfectly with these benefits. Its "network of networks" leverages blockchain to create a more trustworthy and efficient environment for financial transactions between businesses. By integrating this capability, Acumatica is not just adding a payment feature; it is adopting a future-proof technology that enhances the security, transparency, and efficiency of its entire financial ecosystem. This positions Acumatica to capitalize on the growing demand for secure and integrated financial tools in the digital economy.

Implications for Customers, Industry, and the Future of Fintech

The acquisition of CoreChain Technologies by Acumatica carries significant implications for various stakeholders:

For Acumatica and CoreChain Customers:

• Streamlined Operations: Acumatica customers will benefit from a more deeply integrated AP payment solution, reducing manual effort and errors.
• Improved Cash Flow: Access to digital payment options like virtual cards and ACH can accelerate payment cycles and improve working capital management.
• Enhanced Security: CoreChain’s blockchain-based system offers robust fraud prevention and greater transaction transparency.
• Direct Supply Chain Finance: The ability to offer embedded supply chain financing directly within the ERP system provides new avenues for managing liquidity and optimizing supplier relationships.
• Unified Experience: A single platform for ERP and B2B payments simplifies IT infrastructure and vendor management.

For Acumatica as a Company:

• Competitive Advantage: The acquisition differentiates Acumatica from competitors by offering a more robust and integrated fintech solution, especially in the mid-market ERP space.
• New Revenue Streams: Directly providing payment and financing services can open up new recurring revenue opportunities beyond traditional software licensing.
• Market Position: Solidifies Acumatica’s position as an innovator, leveraging cutting-edge technologies like blockchain and AI to deliver comprehensive business solutions.
• Expanded Ecosystem: Attracts businesses looking for end-to-end solutions that integrate operational and financial processes seamlessly.

For the Broader Fintech and ERP Industries:

• Validation of Embedded Finance: This move further validates the growing trend of embedding financial services directly into core business software, signaling a shift in how financial products are consumed.
• Blockchain in Enterprise: Reinforces the increasing acceptance and practical application of blockchain technology beyond cryptocurrencies, particularly in areas requiring high security, transparency, and efficiency.
• Consolidation and Integration: Highlights a trend towards consolidation in the fintech and software markets, where companies are acquiring specialized capabilities to offer more holistic solutions. This could prompt other ERP providers to seek similar integrations or develop their own embedded finance offerings.
• Future of B2B Payments: Accelerates the digital transformation of B2B payments, pushing the industry further away from antiquated methods and towards more efficient, secure, and data-rich systems.

The strategic synergy between CoreChain’s innovative payment network and Acumatica’s established ERP platform creates a powerful offering. This acquisition is not merely about adding a feature; it represents a fundamental shift in Acumatica’s strategic direction, positioning it as a key player in the convergence of business management software and financial technology. As businesses increasingly demand integrated, intelligent, and secure solutions, Acumatica’s enhanced platform, powered by CoreChain, is well-equipped to meet these evolving needs.

FinovateSpring 2026, scheduled for May 5-7 in San Diego, will undoubtedly serve as another nexus for showcasing the next wave of fintech innovations, following the precedent set by companies like CoreChain Technologies. Such events remain vital for the discovery and advancement of technologies that promise to reshape the financial landscape for years to come.