TechFlow news, September 21 — According to China News Service, Shanghai officially launched the pilot program for "Blockchain-based Financing Services for Commodity Supply Chains" today. Shanghai Metals Exchange Co., Ltd., the "SIPG Cloud Warehouse" platform, and four initial commodity trading enterprises signed strategic cooperation agreements with Bank of Communications.
Liu Ping, Assistant Secretary-General of the Shanghai Municipal People's Government, stated that the pilot aims to leverage financial technology innovation and the government's guarantee fund to promote blockchain application in supply chain finance. Participating parties will utilize blockchain’s tamper-proof and traceable features, relying on on-chain transaction records, electronic warehouse receipts, and accounts receivable data to enhance the authenticity of warehouse receipts, reliability of transaction data, settlement security, and timeliness of regulatory oversight.
The project is expected to meet financing needs of small and medium-sized trading enterprises and empower physical commodity trading through supply chain finance. The launch ceremony was attended by multiple government departments including the Shanghai Municipal Commission of Commerce and the Financial Office of the Municipal Party Committee, as well as financial institutions such as Shanghai Clearing House and Pujiang Data Chain.
