Treasury Today Country Profiles in association with Citi

Press release: Dianrong supply chain finance solution strategically added to R3’s Corda blockchain platform

31st May 2018 – Dianrong, a leader in online marketplace lending in China, and R3, a global enterprise software firm, today announced that Dianrong’s next version of its supply chain finance solution will be made available on Corda, R3’s blockchain platform for finance and business.

Dianrong has been a pioneer in leveraging fintech and blockchain to improve supply chain finance for small businesses. The new Corda app (“CorDapp”) will further expand Dianrong’s reach both in China and globally by leveraging R3’s proven enterprise-grade blockchain technology platform.

Dianrong’s advanced blockchain solution enables end-to-end financing through an entire supply chain. The new R3 CorDapp will deliver an efficient and secure access point, while ensuring transparency and enhancing trust among the counterparties. Dianrong and R3 are now working to integrate Dianrong’s established supply chain finance solution onto Corda.

Soul Htite, Executive Chairman Dianrong, said: “Today, only 15 percent of micro and small businesses have adequate access to credit. This funding gap is particularly evident in large, complex supply chains where small business owners struggle to get the basic financing they need to operate. As a company commited to serving small businesses in China and around the globe, Dianrong believes the power of fintech and blockchain processes are the key to bridging this funding gap, while also building greater transparency and trust across global supply chain finance processes.

“Dianrong has made the strategic decision to further expand our supply chain finance network to make it easier for partners worldwide to adopt our solution. R3’s proven Corda platform will help provide the scalability, customization and global reach supply chain finance demands. And through a CorDapp, we can make this solution even more accessible and easier to use for supply chains in China and around the world,” Mr. Htite said.

David E. Rutter, CEO of R3, comments: “Blockchain’s unique ability to record, track and verify trades has direct applicability to financing smaller suppliers and managing goods throughout a supply chain. Lack of traceability and transparency is a major challenge for supply chains and parts of the logistics industry today.

“The CorDapp we are working on with Dianrong will be a powerful new tool to help address those challenges. It will provide greater access to Dianrong’s solution and help deliver a permanent, immutable record of each smaller supplier within a network, which will allow supply chain operators to make more informed and timely decisions about funding them. This strengthens the overall efficiency and transparency of the entire supply chain,” said Mr. Rutter.