TAIPEI, Dec. 23, 2021 /PRNewswire/ — With the rapid development of Blockchain technology, the East and South East Asia region are going through a supply chains shifting. Asheley Reeves, Director of Strategic Partnerships of DECENT Group, gave his comments:
Beyond finance and crypto currencies, where Blockchain has undeniably gained prominence, exists a sea of opportunities for Blockchain implementation in ‘Software As A Service’ solutions. Crypto currencies often get a bad rep, with the constant price fluctuations, hacks and regulations. However, as a fundamental technology Blockchain or ‘Distributed Ledger Technology’ solves problems regarding a few key pointers: Governance, Provenance of Data as well as Immutability/Authenticity of Data. Hence, outside of cryptocurrencies, the fact that Blockchain has a myriad of use cases has prompted regional businesses and governments to warm to the technology, with logistics and supply chain solutions from companies such as DECENT and 3IPK paving the way for such applications.
The supply chain industry both from an enterprise as well as a consumer perspective wants to seek assurances on many instances. Some common questions for example are:
- How do we know that the coffee we drink is fair trade
- How do we know that a designer bag is authentic
- How do we know that a PPE Mask manufactured in Vietnam is as it states from Vietnam, and that the tag was not added to the pallet at a later date
- How can we assure that Mango sourced from Thailand was delivered on time
Blockchain technology can essentially provide assurances to all the above
Current Landscape in the East and South East Asia region
The reception by East and South East Asian countries in implementing the start-up ecosystem in the Blockchain space has been overall very positive over the past few years.
Taiwan for example has been paving the way in regards to talent and development acceleration of Blockchain applications. The growing consensus regarding Blockchain’s intrinsic value has been heightened with the explosive growth of verticals such as NFTs. Investor groups from Appworks to Red Building Capital in Taiwan have been sourcing and incubating multiple projects in the space in recent years.
In Singapore, the NEM foundation was setup as a Non-Profit to serve regional governments, academia, and private institutes looking for Blockchain digital transformation.
In 2018, NEM set up the NBC (NEM Blockchain Centre) in collaboration with the Malaysian government, acting as an incubator, learning centre and accelerator for Blockchain start-ups.
In Thailand, a partnership between the Blockchain company Tezos and the Chulangkorn University provides educational courses and Blockchain fundamentals to computer science students.
In other countries including Philippines (In partnership with the local arm of Union Bank) or Vietnam’s SBV (State Bank Of Vietnam), and more are all looking at ways to provide a safe sandbox for Blockchain BaaS (Blockchain As A Service) solutions.
With the shifting of supply chains across the region, Blockchain applications outside of Crypto have been flourishing in many sectors including supply chain management. In Vietnam two companies for example are paving the way for implementation of Blockchain Supply Chain solutions. LINA Networks provides instant verification of a product’s origin and WOWTRACE, a traceability solution that combines Blockchain, AI and Cloud computing also implements a similar setup to great effect. These companies and many more are paving the way for the traceability of goods especially in a fluid and ever evolving landscape.
With these opportunities in mind, Blockchain solutions can aim to solve some of the most pressing challenges in the supply chain space, including but not limited to:
- Lack of security
- Lack of common standards
- Negative impact on product processes
- Lack of infrastructure costs
Blockchain solves many of these problems in supply chains as it acts as a powerful, shared ledger, with an immutable record of everything that was documented.
By establishing a transparency with businesses and suppliers, various stages of a supply chain can be automated, with scanning and auditing done on the fly using smart contracts.
The smart contracts on the Blockchain elevates automation by storing predetermined terms and conditions, which are then digitally enforced.
The DECENT Use-case:
DECENT, one of the pioneers of BaaS solutions hailing from Slovakia in collaboration with 3IPK, the Supply Chain experts, have successfully made a host of partnerships in traditional, non-finance verticals, one being the Traceability product for Lyra Chocolate. Lyra, a Slovak Chocolatier is a great example of how a company that vertically controls its supply chain wants to solve a number of its problems by providing transparency for its clients as well as offering a lightweight, digital solution to its farmers of cocoa beans. The solution is applicable to any manufacturing country, with any type of shipped product.
In this instance the traceability solutions provides value to all stake holders of the chocolatier.
For the end consumer, they are finally able to feel confident that the beans were sourced and manufactured ethically. The consumer is also able to get a narrative and a feeling of connectivity with the supplier.
The farmers for the first time are able to use digital transformation products in a lightweight manner (using simply a phone camera). No complex RFID scanners or equipment needed.
For the Chocolatier itself, it is able to get accurate analytics from both the farms and the consumers on behaviour, usage, and much more.
An end to end product Demo can be viewed with this LINK
With Blockchain making bigger and bolder headways in the region, manufacturers could potentially use the revolutionary technology to massively save costs, automate and provide authenticity to their customers.
Both the public and private sectors in East and South East Asia are actively seeking ways to leverage Blockchain, so the timing is ripe for the future in digital supply chain transformation.
About Ashley Reeves:
Currently the Director of Strategic Partnerships for DECENT Group, Ashley is based in Taipei. With over 5 years’ experience in the blockchain space and 16 years Fintech/Industrial experience in Taipei, London and Tokyo, managing large Digital Transformation projects from Lloyds Banking group to the Emirates Stadium and more.