On Thursday, Chinese marketplace lending platform Dianrong announced its supply chain finance solution will be made available on Corda, R3’s blockchain platform for finance and business. According to the online lender, the new Corda app, CorDapp, will further expand Dianrong’s reach both in China and globally by leveraging R3’s proven enterprise-grade blockchain technology platform. Speaking about the solution, Soul Htite, Executive Chairman Dianrong, stated:
“Today, only 15 percent of micro and small businesses have adequate access to credit. This funding gap is particularly evident in large, complex supply chains where small business owners struggle to get the basic financing they need to operate. As a company committed to serving small businesses in China and around the globe, Dianrong believes the power of fintech and blockchain processes are the key to bridging this funding gap, while also building greater transparency and trust across global supply chain finance processes.”
“Dianrong has made the strategic decision to further expand our supply chain finance network to make it easier for partners worldwide to adopt our solution. R3’s proven Corda platform will help provide the scalability, customization and global reach supply chain finance demands. And through a CorDapp, we can make this solution even more accessible and easier to use for supply chains in China and around the world.”
David E. Rutter, CEO of R3, also commented:
“Blockchain’s unique ability to record, track and verify trades has direct applicability to financing smaller suppliers and managing goods throughout a supply chain. Lack of traceability and transparency is a major challenge for supply chains and parts of the logistics industry today. The CorDapp we are working on with Dianrong will be a powerful new tool to help address those challenges. It will provide greater access to Dianrong’s solution and help deliver a permanent, immutable record of each smaller supplier within a network, which will allow supply chain operators to make more informed and timely decisions about funding them. This strengthens the overall efficiency and transparency of the entire supply chain.”
The supply chain solution launch on R3’s platform comes just two months after Dianrong and China United SME Guarantee Corporation, known as Sino Guarantee, announced the launch of a new lenders protection plan for Dianrong customers.