Study On The Application Of Blockchain Technology In Cross-border Financing For Small And Medium Enterprises

For a long time,SMEs have been an important player on the stage of China's national economy.From the perspective of their development history,they have made great contributions in tax payment,labor employment,technological innovation and even social stability,but the problem of difficult and expensive financing has been restricting the healthy and sustainable development of SMEs.This is due to the lack of credit in the real economy of SMEs,non-standard financial management and difficulty in collecting information,as well as the fact that banks and other financial institutions do not consider giving loans to SMEs due to the doubtful authenticity of trade and the difficulty in preventing repeated financing,while the lack of corresponding regulatory tools by the regulatory authorities makes it difficult to control the financing risks of SMEs.To this end,experts and scholars at home and abroad have done a lot of research and analysis,and the state has also issued a series of policy documents to support SME financing.However,the problem of difficult financing for SMEs still has not been fundamentally changed,but has become more and more difficult due to the ongoing trade dispute between the US and China and the sudden impact of the new crown epidemic in recent years.Solving the financing difficulties of SMEs has become a major theoretical issue related to the future development of China's economy and society.As a technical solution,blockchain technology is an independent and innovative application of electronic information technology in the Internet era,such as peer-to-peer transmission,distributed data storage,consensus mechanism and encryption algorithm.Its main features are reliable security,convenience and efficiency,and it has high application value in many scenarios.The close integration of blockchain technology with China's real economy provides new ideas to solve the problems of capital shortage for SMEs,risk control for banks,and regulatory tools for the sector.Relying on the blockchain technology service platform,the application of new technologies such as Internet big data,cloud computing technology and blockchain technology has prompted the interaction and information content transfer in all stages of the original industrial chain and gradually become a new method for SME financing.Currently,some scholars study how to use blockchain technology to solve the financing problems of SMEs,and propose the design ideas and underlying operation scheme of the relevant system.Some scholars have also used game-theoretic credit models or empirical data to argue how financing platforms can alleviate the financing dilemma of SMEs.However,there is a lack of case studies for in-depth discussion on the implementation path,mitigation mechanism and application model of blockchain technology in the field of SME financing.In view of this,this paper uses the literature research method to conduct an in-depth analysis of SME financing theory and the current situation of cross-border financing for SMEs,and analyzes the SME financing difficulties from three aspects: SMEs,financial institutions and regulatory authorities,and concludes that the information asymmetry between SMEs and financial institutions is the core factor that forms the dilemma of cross-border financing for SMEs.In order to solve these problems,the text analyzes the coupling mechanism between the advantages of blockchain technology and cross-border financing of SMEs,and proposes the use of blockchain technology to solve the cross-border financing difficulties of SMEs.Using the case study method,this paper selects the cross-border financial blockchain service platform as the research object.As a platform led by the State Administration of Foreign Exchange,the cross-border financial blockchain service platform provides cross-border financing services for SMEs by taking full advantage of the blockchain platform and government departments to provide company export,tax and logistics data.With the addition of other financial institutions and the effectiveness of resource sharing,the platform has also gradually become a more mature financial service provider in the industry.The key to its research and analysis is in the following aspects:(1)the introduction of the project background,participating subjects,implementation and application scenarios of the cross-border financial blockchain service platform(2)the overall implementation path of blockchain technology in the cross-border financial blockchain service platform(3)the use of comparative analysis combined with relevant theories to explore the mitigation mechanism of blockchain technology(4)the induction of blockchain technology in the cross-border financing application of SMEs model.The study shows that: with the help of the platform,the cross-border blockchain service platform shares with banks and other financial institutions the relevant data of other government departments such as the Foreign Exchange Administration,taxation department and logistics office,including enterprise loan information,capital flow information,credit information and logistics information,which effectively alleviates the information asymmetry between banks and enterprises.Not only that,financial institutions can also use technologies such as Internet big data to prevent,control and handle risks.With internal and external risk control and supervision,accurate risk distribution is obtained thus manipulating risks.Relying on the above multiple mechanisms,the cross-border blockchain service platform has met the financing needs of SMEs generally at the long tail end,thus generating scale benefits to effectively reduce financing costs.Therefore,using blockchain technology to solve the cross-border financing problem of SMEs requires building a new credit system with system credit as the cornerstone,focusing on the information asymmetry problem existing between financial institutions and SMEs,and developing new channels for cross-border financing of SMEs by building an enterprise credit ecology.Based on the research findings,this paper puts forward suggestions to reshape the credit ecology of SMEs,improve the credit enhancement system for SME financing,and promote the standardized development of cross-border financial business.Finally,it is hoped that the research discussion based on this paper provides a wide range of research ideas for related scientific research,and it is also hoped that the research in this paper can clarify the model of the application of blockchain technology in cross-border financing for SMEs and provide valuable references for the use of blockchain technology to solve other financing problems.