In a press release on PRNewsWire, it has been confirmed that ConsolFreight issued a new Proof of Concept report “Trade Forward” at the IoT Solutions World Congress in Barcelona. The project included the collaboration of key organizations such as EOS Dublin, the Florida Blockchain Foundation and Anova Marine.
The aims behing the Proof of Concept are to provide liquidity, create new revenue streams and eventually advance the role of freight forwarders in the Supply Chain. Trade Forward is a new business model which engulfs the collaboration of many industries including insurance companies, financial institutions and logistics providers. This model brings the following benefits: SMEs financial inclusion, Full oversight of trade asset movement, Streamline data exchange between the multiple parties, Risk mitigation and redistribution along the Supply Chain, Optimized operational liquidity for exporters and importers and Decreased paperwork and institutional bureaucracy.
“Banks are short-sighted in determining and validating the value of the goods being financed. They have drawn a very distinctive line between Logistics and Financial institutions, where the value of the assets is entirely disconnected from the process. Thus, leaving an untapped market of unfulfilled credit demand estimated at $1.6 trillion,” says ConsolFreight’s CEO, Ernesto Vila.
This test was carried out by professionals in blockchain, logistics, supply chain management and finance. Pilots are being conducted by ConsolFreight along with companies like Telefonica and Anova Marine. Those collaborations are allowing smaller players to get access to large organization solutions, generating technological inclusion.