A joint venture has recently been announced between the decentralized, open-source Credits blockchain platform and Alibaba Cloud. The companies have announced the decision to develop software and hardware solutions for solving trust and payment issues on the Chinese logistics market.
The cooperation between the Credits blockchain platform and Alibaba Cloud foresees the use of innovative business models, such as 3PL. The given model includes the installation of low-cost sensors inside shipping containers for tracking their status and movement via the immutable Credits blockchain.
“China is a thriving market of online purchased goods and the country is actively exploiting this segment. We have developed a lot of solutions that needed to be taken to improve a sector as diverse and immense as logistics in a country with a population of well over 2 billion”, as stated by Credits CEO, Igor Chugunov.
The solutions being offered by the Credits platform and Alibaba Cloud also extend to solving the trust issues of the logistics market in settling transactions between the parties to a delivery process. The Smart Payment Service using Credits platform smart contracts will be involved in monitoring and implementing monetary transactions between buyers and sellers with the involvement of delivery services providers, such as DHL or any other carriers.
“Actually, there are a lot of aching problems in logistics right now. And blockchain offers the solution, it is the catalyst of global technology development today. Various operations can be easily reconfigured via Smart Contracts and Clouds, which is a great opportunity for customers to help themselves. Both customers and companies really get lots of benefits”, as stated by Yuli Bai, CEO of the Lenovo New Vision.
Blockchain-based software and hardware being introduced by the Credits platform and Alibaba Cloud are capable of offering innovative and technologically advanced solutions to the participants of the logistics market. The use of immutable databases and smart contracts could signify the end of lengthy settlement disputes and the introduction of accurate tracking of cargo container movement.