China has made it quite clear that they won’t tolerate private cryptocurrencies and banned it in 2018. Since then the nation has focused all its efforts towards developing blockchain technology and implement it in both public and private sectors.
Chinese mega corporations Alibaba has had the same notion over the years. There have been multiple reports of Alibaba using cryptocurrencies, but the company has made it quite clear that they do not endorse cryptocurrencies in anyways.
However, when it comes to blockchain tech, Alibaba has made quite a few moves. In fact, the shopping giant is one among the seven institutions that are going to be the very first to receive the Chinese state-backed cryptocurrency once it is launched.
The company has also been working on developing a blockchain network that is designed to support small and medium-sized business under its fintech arm, Ant Financial. The company had revealed the project back in September and has been adding various partners to the consortium.
Now, a report from a local media outlet has revealed that the company has landed a deal with China Merchants Port, the biggest port operator in the nation, to allow the development and implementation of a blockchain-based platform that would have a number of use cases.
As per the report, the platform would enable buyers, sellers, logistic companies, banks, customs, and tax officials to conduct contactless digital export and import transactions by leveraging blockchain technology. Alibaba and its affiliate Ant Financial will promote the use of blockchain tech in ports.
The primary aim of this collaboration is to develop the first digital port with an open collaboration network.
The report also stressed on the need to apply an expeditious data sharing scheme with the help of blockchain technology, as the port is the node connecting the international commercial trading and logistics industry chain.
With that said, all the parties involved hope to “promote the rapid innovation and upgrade of the port business model” in China. Chairman of Ant Financial Group Jing Xiandong, commented:
“Blockchain will be the key infrastructure to reshape international trade and logistics. (…) As the engine for multi-party restructuring collaboration, Ant Blockchain technology will be the best solution.”
2020 also saw Alibaba integrate Ant Financials blockchain in its import e-commerce platform Koala, to allow buyers to have access to detailed logistic information of the goods they purchase via scanning a QR code with Alipay.
Koala will continue to apply blockchain to platform merchants and overseas direct mail services to reach 62 countries and regions with 2,897 product categories and 7,432 brands.
In conclusion, blockchain tech has made a lot of progress over the past years. In addition, the involvement of industry giants likes Alibaba, Microsoft, IBM, etc. allows for further expansion and development. It is expected that the next few years will see massive blockchain-based innovation across several sectors.