Case Analysis Of One Connect's Blockchain-based Supply Chain Finance Pattern

Small and medium-sized enterprises have always been playing an irreplaceable role in China's economic operations.However,due to incomplete management systems and lack of collateral,they have always faced financing difficulties.Logistics finance and trade finance are the origination of supply chain finance,which is a new financing mode that provides comprehensive financial services to upstream and downstream enterprises participating in the supply chain by managing the business relationships among the parties.Supply chain finance is considered to be a significant way to break through the long-lasting financing dilemma of small and medium-sized enterprises.Although China's supply chain finance market continues to develop steadily,there are still a large number of small and medium-sized enterprises whose financing needs cannot be met in the face of multiple difficulties such as severe information isolation,weak credit penetration and high default risks.Blockchain,as a hot technology that has developed rapidly in recent years,has prominent technical characteristics such as data sharing,high security and unnecessarily-trust,which helps to fundamentally reshape the credit mechanism and solve the business pain points faced by supply chain finance.At present,the application mode of blockchain in the field of supply chain finance mainly shows three types,which are self-established by core enterprises,initiated by financial institutions and enabled by financial technology service providers.Different initiators embed the underlying technology of blockchain with their own business advantages to carry out a new supply chain financial service mode.With blockchain as the technical background,this paper chooses the typical case of One Connect to fully explain the changes brought by blockchain technology to the supply chain financial model.One Connect is a representative financial technology company that drives the supply chain financial model of a financial technology service provider.With Ping An Group's decades of experience and technological foundation,One Connect builds a blockchain-based technology through independent research and development of the underlying technology of the blockchain.The supply chain finance model has realized the transformation of the traditional supply chain finance model by building an intelligent supply chain finance platform,data uploading,credit circulation,building a risk control system and connecting with overseas companies.In terms of actual mode operation,One Connect also has very rich landing results.It not only empowers the automotive and agricultural industry chains with blockchain,but also establishes alliances with other institutions to continuously build a supply chain financial ecosystem,which have effectively solved the financing problems of small and medium-sized enterprises on the chain.Although blockchain and supply chain finance is highly fitment,but at present our country's blockchain technology is still in the primary stage of development,so the practical application still faces challenges from industry,law and core technologies.As a result,this article analyzes the blockchain-based supply chain finance model of One Connect platform from the basic structure,core features and financing effectiveness,and then evaluates the advantages and disadvantages of the model,which is of importantly practical significance for the blockchain to better serve the supply chain finance in the future.