Government-Backed Blockchain Trade Platform Launches in Singapore
CrimsonLogic, a Singapore-based e-government service provider owned by a government agency and a major port operator, has announced the launch of a blockchain platform focused on cross-border trade.
The firm’s fully-owned subsidiary GeTS launched the service on Wednesday, according to a press release. Dubbed GeTS Open Trade Blockchain, the platform is a permissioned network that is run and validated by accredited trade compliance firms acting as nodes.
On top of the open infrastructure, companies in the cross-border supply chain industry can develop decentralized applications for specific needs. The goal is to enable different parties, such as ports, shipping companies and customers, to view and transact trade-related documents in a distributed way to improve supply chain efficiency and transparency.
Eugene Wong, chairman of CrimsonLogic and GeTS, said in the announcement:
“We believe that our blockchain technology can help create greater trust amongst cross-border traders in ASEAN and along China’s Belt Road Initiative and Southern Transport Corridor. Trade volume between ASEAN and China would become the single largest transaction between two regions and we hope to facilitate this.”
Currently, CrimsonLogic’s biggest shareholder (with 55 percent ownership) is IE Singapore, a government agency under the Ministry of Trade and Industry, which fosters the growth of Singaporean businesses overseas.
In February, PSA International, which operates ports in South America, Southeast Asia and Europe, became the other major stakeholder of CrimsonLogic through an acquisition of the remaining 45 percent of the firm.
The blockchain effort follows a pilot program conducted by PSA and IBM last year that tested a proof-of-concept aimed to automate trade document transactions via a distributed network for supply chain partners.
Earlier this year, the companies claimed the proof-of-concept successfully tracked and transacted trade information during a cross-border shipment from China’s Chongqing city to Singapore.
Cargo ship image via Shutterstock