Trade Trends: Block chains bring opportunities for “thorough” trade automation


nnnTrail: As we all know, global trade is overly dependent on manual processes and is inefficient. Block chain technology has created a new solution to this problem of global trade, not only by the fact that the invariability of recorded data can be less trade frictional, and its global distribution of point-to-point networks also facilitates data sharing, For the global trade has brought greater security and efficiency. However, taking into account the current complexity, the implementation of this technology for trade compliance requires a significant change in the status quo. However, large companies are still testing the technology, the real realization of the technology in the use of international trade there is still a long way to go, but still very promising.n
nnTranslation: Clovern
nThe realization of the zoning potential requires social and political change, as well as the need for the company to abandon the current manual process and the need for the government to abandon its control of these processes.n
nAs we all know, global trade is overly dependent on manual processes, but if the import and export companies and regulatory governments can adopt better platforms and processes, then global trade can achieve greater efficiency.n
nThe open source distributed ledger, known as the block chain, has matured enough to be seen as a viable part of the global trade technology stack. Although the implementation of this technology is like a space shuttle to the supermarket as some big things, but the chain chain in the trade around the technology dialogue is increasingly becoming an increasingly important part of the trade practitioners should also pay attention to this technology Then
nInitially, the block chain technology was designed to support the development of bitcoels invented by Satoshi Nakamoto as a pseudonym or by a group. Block chains can permanently maintain record lists, prevent them from being tampered with, and place them in blocks, and then link them together in a point-to-point network. These changes are recorded on the block chain when the information (or classbook) changes.n
nBlock chains use encryption to provide a higher level of security. Each block chain is assigned a timestamp and is linked to the previous block, so that all transactions are recorded in chronological order, creating an indescribable chain. This means that the block chain information can not only be shared, but also with the data changes to keep the coordination.n
nSince the block chain is open to the public and runs on computers around the world, there is no single centralized database for the block chain. This reduces the risk of data hacking, because the records in the block chain are very difficult to delete, copy, modify or tamper with.n
nThe knowledge of this technology in 2013 has been greatly improved, when the block chain as the underlying technology of digital currency Bitcoin suddenly from an obscure high-tech concerns into valuable valuable goods.n
nAnd to promote the block chain is now a worthy of trade practitioners concerned about the topic there are two main factors.n
nBlock chains are invading existing industries in many industries, including banking, senior finance, insurance, retail, transportation and government. Research firm Venture Scanner is tracking a total of 12 categories of nearly 900 block chain technology companies in 73 countries, with a total investment of $ 1.9 billion.n
nThis technology is no longer a niche market, nor is it limited to technology start-ups. Computer Business Review has recently confirmed the top ten block chain participants, including the multinational companies we are familiar with IBM, Microsoft, Accenture, JP Morgan Chase and Thomson Reuters.n
nThe International Monetary Fund (IMF) also published a discussion record earlier this year, actively promoting the potential of the technology in cross-border payments, while also preventing money laundering and tax evasion. According to Coindesk, a news media dedicated to block-chain technology, central banks in countries such as Russia, India and Singapore are considering issuing digital currencies similar to Bitcoin.n
nThis is quite worthy of attention, because the block chain is essentially a centering platform, and if the use case in an industry to succeed, it is likely to promote testing in other industries. In addition, the future block chain is likely to solve the practical problems facing the trade team.n
nIn our survey of trade practitioners conducted in KPMG in 2016, the lack of automation continues to be the biggest challenge for trade practitioners. Our survey shows that the trade team attaches great importance to the value of automation and is highly inclined to adopt technologies that reduce risk and make it more flexible and enable them to focus on strategic decisions that add more value to their respective companies Then
nUsing block-chain technology for global trade can lead to fundamental process automation. Just as Bitcoin and other digital currencies are free from the centralized processors needed to carry out currency transactions (such as traditional banks) to reduce friction, it is conceivable to use the chain technology chain stack to eliminate the current use of materials and goods from one location Safe, fast and in accordance with a variety of different trade and transport regulations under the premise of the transfer to another location required for many manual processes.n
nBloq, the “enterprise-class” chain-chain management solution provider, recently presented a compelling argument in the recently published white paper, which is used as a means of reducing the risk of trade counterparties.n
n”The [trade] block chain solution will ensure that the transport content, source, and quality are invariant and provide the transaction timestamp by the transport participant,” the company said.n
nThis means that the chain chain can provide greater transparency throughout the supply chain, bring more assurance to the parties involved in the transaction, benefit the user, simplify trade finance, and integrate the documents involved in global trade (Such as letters of credit, bills of lading, etc.) to digitize.n
nIn short, block-chain technology has the potential to fundamentally transform many processes in many areas, including international trade. However, taking into account the current complexity, the implementation of this technology for trade compliance requires a significant change in the status quo. However, large companies are still testing the technology, and the trading team can also use their most basic understanding to participate in these dialogues.n
nIn general, the realization of block-chain potential requires social and political change, and the realization of its potential in global trade requires companies to abandon the current labor process and require the government to abandon its control of these artificial processes.n
nThe real use of this technology in the use of international trade there is still a long way to go, but still very promising.n

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