Recently, the China Banking and Insurance Regulatory Commission issued the guidance of the general office of the China Banking and Insurance Regulatory Commission on promoting the supply chain financial services for the real economy (hereinafter referred to as the “opinion”), which proposed to encourage banking and insurance institutions to embed new technologies such as the Internet of things and blockchain into the trading link to improve the level of intelligent risk control.
Blockchain technology has many characteristics such as decentralization, tamper proof, high transparency and so on. It has natural advantages in the field of supply chain finance. It can really solve the trust problem in the transaction link and improve the financing efficiency and effect of upstream and downstream enterprises in the supply chain.
Supply chain finance model has long been around the core enterprises to manage the capital flow and logistics of the upstream and downstream small and medium-sized enterprises, transforming the uncontrollable risk of a single enterprise into the controllable risk of the whole supply chain enterprise.
As a matter of fact, supply chain finance still can not completely solve the problem of financing difficulty and high cost of small and medium-sized micro enterprises. In recent years, the market competition has become increasingly fierce, and the problems of capital turnover and financing of small and medium-sized micro enterprises have become increasingly prominent. The lack of collateral, credit records and transaction vouchers and other practical conditions make it difficult for small and medium-sized micro enterprises to obtain loans from banks.
In view of the above pain points, Yixin company launched blockworm Baas platform, independent research and development of blockchain + supply chain dual chain technology, dual chain mode can link production and sales related data such as production number, delivery order, transportation order, sign in order, etc., can also link the whole process of asset production and asset flow information flow of the supply chain, and the data in the supply process can be used as the trust voucher for the financing of small and medium-sized enterprises. The combination of two chains really realizes that data has credit and credit has value, and helps financial technology better serve the real economy.
In the supply chain upstream and downstream enterprises, SMEs not only have certain requirements for information flow, but also have different degrees of demand for asset flow. Due to the opaque information, the traditional supply chain finance can not timely grasp the upstream and downstream production number, delivery order, transportation order, receipt order, bill information, factoring service and other information, so the credit of the core enterprise is difficult to transfer to the whole chain, further aggravating the financing “difficult, expensive, slow” and other problems.
The foundation of supply chain finance is supply chain. Yixin can get through the relevant partners in the supply chain through blockchain technology, which can first improve the cooperation efficiency of the whole supply chain, and then multi-party participation can also increase the credibility of the transaction.
The dual chain technology of blockworm baas platform of Eason helps customers break through the data barriers between systems by creating a blockchain environment based on supply chain. In order to better realize the closed-loop transaction, we also provide a small program called Yirong chain. The buyer can sign the order on the chain based on Yirong chain and upload the corresponding voucher. The data generated in the whole process is saved in the blockchain. Not only that, wing financial chain also records the buyer’s location information and login information, carries out risk warning for the upper application, and provides reliable basic data for big data analysis.
When small and medium-sized enterprises need financing, they can provide the corresponding order number to the asset chain. The combination of the two chains turns the information flow into the asset flow. According to the order number and other information, the fund side will trace the whole transaction process in the supply chain (blockchain), cross verify the authenticity of the transaction, and the cooperation information of relevant enterprises, which not only plays the role of credit enhancement, but also reduces the financing cost and improves the financing efficiency.
In a large e-commerce matchmaking platform, after the buyer places an order, the seller will go to the upstream factory to purchase goods, and inform the logistics company to arrange transportation, and finally the buyer will sign for the goods. In the whole process of cooperation, there will be orders, delivery documents, transportation documents, receipt documents and other documents. These paper documents all act as the media of credit transmission and data transmission. If any link is not trusted, it will cause risks to the whole supply chain.
Yixin blockworm baas platform, with the help of blockchain double chain technology, has broken through the data barriers of each participant’s system, allowing each participant to carry out data cooperation on the blockchain. It can greatly improve the efficiency of the whole supply chain collaboration process because of the absence of the corresponding document collaboration environment. In addition, through the cross validation of asset generation information and asset flow information, combined with the identity information and transaction content of the participants, it can be used as the basis for financial institutions to carry out risk control and credit, and promote the rapid operation of funds.
(Supply Chain + asset chain dual chain structure mode)
Blockchain double chain technology improves the cooperation efficiency of the whole supply chain, opens up the information flow and asset flow, not only improves the security and confidentiality of data, reduces the risk and cost of financing, improves the financing efficiency, promotes the rapid operation of funds, but also provides a new attempt for financial technology to help the development of the real economy.
Author: Yixin blockchain laboratory Zhang Yijie
Source: Yixin Institute of Technology