Abstract
Having summarised the key findings from the application of this technology for approved payables financing techniques, it has become clear that there is greater potential for SCF instruments that are initiated earlier in the supply chain process. For these instruments, the risks are higher, and the visibility of the physical flow of goods is a key element of an effective SCF for which the blockchain offers interesting uses. For this reason, we extend the scope of the research and analyse the other principal SCF techniques in order to cover all principal financing solutions along the supply chain (i.e. purchase order [PO] financing, inventory financing and receivables financing). This could help to identify possible future research opportunities on the topic of blockchain-driven SCF.
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Notes
- 1.
This means that the suppliers, typically wholesalers, place the order for already finished goods (e.g. electronics or beverages), which are shipped from the producing company directly to the buyer.
- 2.
Arbitrary data (max 40 bytes) can be recorded in the transaction output of OP_RETURN, a script code used to mark a transaction in the Bitcoin blockchain (en.bitcoi.it 2015).
- 3.
Personal discussions about this topic always point out how reliable and useful it could be to create a digital reference in a blockchain of an object that already exists in the physical world, seeing that the tag or any device used to link it to the distributed database can be tampered or forged.
- 4.
A simplified explanation of the functioning of this platform can be found in Boey and Chanjaroen (2016).
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Hofmann, E., Strewe, U., Bosia, N. (2018). Discussion—How Does the Full Potential of Blockchain Technology in Supply Chain Finance Look Like?. In: Supply Chain Finance and Blockchain Technology. SpringerBriefs in Finance. Springer, Cham. https://doi.org/10.1007/978-3-319-62371-9_6
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DOI: https://doi.org/10.1007/978-3-319-62371-9_6
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