Blockchain, how to solve the financing dilemma of SMEs?

In recent years, news such as the company's arrears of wages and the boss's running away is not uncommon. The story of Jiangnan Leather Factory also appears on social media from time to time. These old news have repeatedly reminded everyone that the old problem of corporate financing has become a "new" dilemma that has not been solved for many years. Everyone is wondering if there is any way to solve this problem. With the development of financial technology, perhaps the blockchain is progressing.

First, the financing problems that plague China's SMEs

According to the data of China Small and Medium-sized Business Enterprises Association, by the end of 20 16, the number of small and medium-sized enterprises in China exceeded 40 million, accounting for 99.7% of the total number of enterprises in China. However, behind such enterprise data, there is a serious business dilemma for SMEs. However, the majority of small and medium-sized enterprises are plagued by a chronic disease, that is, the problem of financing difficulties.

Small and medium-sized enterprises are doomed to lack sufficient funds, good assets and strong reputation because of their small capital and thin profits: insufficient funds make small and medium-sized enterprises face the pressure of insufficient capital flow for a long time; Without good assets, it is difficult for small and medium-sized enterprises to raise funds through mortgage credit of financial institutions; Without a strong reputation, the road of credit financing for SMEs has also been blocked. In the end, financing difficulty has become the "sword of Damocles" that puzzles most small and medium-sized enterprises.

Second, will the blockchain become the golden key to solving financing difficulties?

Faced with the financing difficulties of small and medium-sized enterprises, the state has also thought of many ways, such as encouraging commercial banks to develop microfinance business. In response to the call of the country, Minsheng Bank and Ping An Bank both set up microfinance departments. However, due to the lack of a reasonable credit evaluation system, the microfinance business of these banks is often extremely bad and almost abandoned. So some industry participants want to solve the problem through supply chain finance, but the traditional supply chain finance is mostly concentrated online, and there is serious information asymmetry between financial institutions and lending enterprises, such as false warehouse receipts and repeated mortgages, which eventually leads to the failure of supply chain finance.

Then, is there anything that can solve the information asymmetry of supply chain finance and the lack of credit evaluation system of microfinance? Big data+blockchain may become a key breakthrough to solve such problems.

The application of big data and Internet in supply chain can solve the problem of information asymmetry in the process of supply chain formation and make information exchange smoother. Blockchain forms a block for recording information on the computer through a special password accounting method, and then stamps the block and issues the blockchain to the whole network for authentication, finally realizing a decentralized, irreversible and tamper-proof special accounting method. When these two technologies are organically combined, the key to solve the financing dilemma of SMEs appears.

Specifically, the first is to digitize the offline supply chain, so that the data and information of the supply chain can be effectively transmitted on the Internet. Secondly, with the help of the existing perfect data risk control model of financial institutions, the original authenticity of the data sources connected to the supply chain is verified through credit granting and previous credit records, and the financial enterprise takes the lead in providing financial credit to the participating enterprises in the supply chain. Previous financial institutions will use blockchain technology to upload credit records to the blockchain, forming an unbreakable credit record and realizing the blockchain credit of a single enterprise.

Then, a complete supply chain is formed by each enterprise, so that both buyers and sellers and logistics are connected to the blockchain platform. The transactions that occur on the platform, that is, all accounts receivable, bills, contracts and warehouse receipts, can be confirmed through the blockchain, and the authenticity and validity of the information can be guaranteed by using the unbreakable and irreversible characteristics of the blockchain. After that, more financial institutions can gradually access the supply chain system. Since the previous financial institutions made financial endorsements and credit enhancement for enterprises in the supply chain, coupled with the high reputation advantage of blockchain technology, the financial enterprises that joined later will no longer need to invest more energy in risk control and credit granting, which fundamentally solves the dilemma that financial institutions have nowhere to collect and can't get loans from small and micro enterprises, thus improving the financing environment of small and medium-sized enterprises.

On this basis, upstream and downstream enterprises, logistics suppliers, business suppliers, product distributors and financial institutions in the supply chain form a perfect cooperative whole, realizing the integration of information flow, logistics, business flow and capital flow, and making the whole ecosystem operate effectively.

Third, where is the actual landing case?

From enterprise to supply chain, from supply chain to ecosystem, this idea is beautiful, but is it possible to realize it? Brother Han was not clear before, but through investigation, FAW Yunfu, a subsidiary of CreditEase, has begun to explore this kind of business, and has already achieved business landing on the big loan steel line.

Let's take a concrete look at this case

In terms of basic preparation, Yunfu, an enterprise, is advancing around BlockWorm. The underlying technology of open source blockchain based on Ethereum has been reduced and optimized, and its own private blockchain system has been built to provide a variety of intelligent contract services. And all financial, risk control and products have been applied to the blockchain system. Through the transparent and credible characteristics of blockchain, blockchain data that cannot be forged, tampered with and traced at any time is constructed. At the same time, all the data has been informationized and has been blockchain, which is the first step of the whole system.

At the practical application level, FAW Yunfu has completed the docking of the blockchain system and the steel e-commerce platform, the big loan steel network. Daidai Steel Network digitizes business behaviors such as waybills and receipts, and records these data in the blockchain in real time, thus forming a true and credible corporate credit report. In the future, the relevant data of blockchain supply chain will become an important basis for companies to purchase steel mesh to obtain corporate financing. At the same time, the credit report of easy enterprise Yunfu's purchase of steel mesh will also be recorded in the blockchain in real time.

When other financial institutions are investigating the purchase of large steel mesh, they can use this credit report endorsed by Yi Enterprise Yunfu to verify the authenticity of this information through the blockchain, thus reducing the risk control and audit costs of financial institutions, building a better financing environment for the purchase of large steel mesh, and realizing the improvement of financing, which is the third step of the whole system.

After that, a large number of suppliers, suppliers, logistics companies and other upstream and downstream participants in the supply chain will gradually join this system, and constantly improve the entire credit chain through cross-verification, multi-party synchronization, automatic authenticity verification and real-time enjoyment. In addition, other participating enterprises in the supply chain can use this mature network to recognize blockchain data. When enterprises need funds, they can realize financing from participating financial institutions on the blockchain or financial institutions that recognize this blockchain system, and truly realize the inclusiveness of the entire ecosystem. This is the fourth step of the whole system.

Through the four-step development model, the financing dilemma of enterprises has been fundamentally solved, and now financial technology has achieved the first two steps in the transformation and service of physical industries. When the breakthrough from 0 to 1 has been completed, will it be far from 1 to 10?

In the future, with the application of various innovative technologies such as big data, blockchain and artificial intelligence in the financial field, it will be possible to completely solve the persistent problem of financing difficulties for SMEs. The smooth survival of SMEs will not be a dream. I believe that a small step today will make it possible to achieve a big step in financial services to the real economy. The future has come, let's wait and see.

Viewing Jiang Han, the official account of World WeChat from an economic perspective ID: jianghanwiew