Blockchain-Based Solution For Chinese Logistics Market Developed by Credits And Alibaba Cloud, Ready to Go!

Place/Date: - December 4th, 2019 at 9:27 am UTC · 2 min read
Contact: Credits, Source: Credits

Blockchain-Based Solution For Chinese Logistics Market Developed by Credits And Alibaba Cloud, Ready to Go!
Photo: Credits

The introduction of blockchain-based solutions for the Chinese logistics market has recently been announced by the open-source Credits platform and Alibaba Cloud. The two companies have entered into a cooperation agreement for developing decentralized cargo tracking and payment services facilitation solutions.

The Credits blockchain platform and Alibaba Cloud have entered into a cooperation agreement for the implementation of the innovative 3PL business model on the Chinese logistics market. The 3PL model foresees the development and installation of cost-effective sensor modules inside standard shipping containers. The devices would be connected to the Credits blockchain platform and provide real-time, immutable data on the movements of cargo containers and their status.

As stated by Credits CEO, Igor Chugunov:

“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”.

Trust issues have always been a significant challenge for the logistics industry, especially one so large as that of China. The Credits platform and Alibaba Cloud intend to introduce the use of the Smart Payment Service based on the Credits blockchain for regulating the interaction between the parties to a delivery process. The smart contracts of the Credits platform would act as guaranteed transaction vehicles, ensuring the execution of contract obligations and monitoring the operations of carrier and delivery services providers, such as DHL.

As stated by Yuli Bai, CEO of the Lenovo New Vision:

“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”.

The application of blockchain-based solutions offered by the Credits platform and Alibaba Cloud is an important step for introducing decentralized solutions on the Chinese market. The companies are confident that their software and hardware solutions are capable of transforming the industry for the better and granting its participants the instruments they require for high customization and verification of delivery processes.