FXCoral

​Blockchain + Supply Chain Finance

Blockchain technology is undergoing exploration in diversified applications. At present, many people compare the blockchain to a credit machine, but taking the example of supply chain finance, the role of the blockchain is not just to create credit. bit-note.oss-cn-hangzhou.aliyuncs.jpg

At present, the application of blockchain technology in supply chain finance is relatively hot. At the technical level, the establishment of a systematic Internet of Things is the prerequisite for the combination of blockchain technology and the supply chain. It has high requirements for scenarios involving multi-party collaboration, data sharing, data traceability, data authenticity, and information transmission efficiency. , The most suitable for the implementation of blockchain technology.

Supply chain finance itself is a financial attribute, with strong digital characteristics, and it is easier to get on the chain than traditional supply chain business. As the driver of blockchain technology, Jiamu Technology believes that the near future blockchain technology will reshape supply chain finance.

Supply chain finance naturally fits with blockchain technology, combined with blockchain technology, will be able to penetrate the good credit of core enterprises to the upper and lower layers of the industrial chain, and can transmit the credit of core enterprises along the upstream and downstream of the supply chain to the end. The realization of circulation, discounting and payment at maturity during the period of debt holding has greatly improved the financing efficiency of small and micro enterprises and reduced financing costs.

Digitization is the core of supply chain finance. Jiamu Technology believes that supply chain transformation is not just about technological upgrading, but the digitization of the supply chain is the key to solving problems. The transaction and bill information between upstream and downstream companies on the blockchain are all gathered on the chain. The distributed ledger technology of the blockchain determines that the information cannot be tampered with. The historical transaction information of the enterprise is collected and analyzed by big data. Certain data modeling can quickly and accurately obtain the company's credit rating and the company's historical financing situation.

This can not only solve the problem of financing difficulties for small and medium-sized enterprises that have always existed in the supply chain industry, but also easily introduce related investment from banks and financial institutions to achieve a win-win situation for core enterprises, supplier enterprises, and investment enterprises. Promote the sound development of the supply chain industry.

For core companies in the supply chain, there are often a huge number of upstream and downstream companies that have business dealings with them. The core company’s statistics and maintenance of the accounts receivable and other data of various companies often requires a lot of cost. Using the technical advantages of blockchain distributed accounting and Chinese contracts, the payment and collection of payments have become permanent and irreversible. The performance of the ledger and automatic calculation have greatly improved the operating efficiency of the entire supply chain.

The accounts receivable are on the chain and converted into digital creditor's rights certificates that can be split and transferred. Suppliers at all levels can choose to hold until maturity, transfer to financial institutions to obtain financing, and continue to split and transfer to the next-tier suppliers:

Accounts receivable factoring service based on blockchain technology

In addition, the credibility of the historical transaction information of the company in the supply chain is guaranteed by the blockchain technology, which can help financial institutions to quickly evaluate the company's credit, reduce the difficulty of corporate financing, and fully reflect the value of the company.

The main purpose of the "blockchain + supply chain finance" model is to build an ecosystem. Under the blockchain model, the ecology is getting better and better. As the driver of blockchain technology, Jiamu Technology believes that in the foreseeable next few years, blockchain will definitely play more value in the field of supply chain finance.

In summary, with the emergence of more features such as transparency, traceability and non-tampering, on the one hand, blockchain will help the supply chain break the dominance of accounts receivable financing, and improve inventory financing, order financing and strategic relationship financing. On the other hand, the blockchain will become a springboard for more non-bank players to join the supply chain finance, helping them take advantage of their capabilities in inventory assessment and distribution, risk control, etc., deepen cooperation with banks, and achieve tripartite A win-win situation.

https://spora.grin.hu/tags/starstat

Finance

Future reading