A FinTech company that has developed a unique digital ecosystem to integrate commodity trade finance and global supply chain. $SRC Business Ecosystem is powering import & export between East to West.
Current Status
TAM (Trade Access Master tamaster.cn) a trading platform for Chinese SMEs importer and exporters and TCP a Chinese major fund that currently processes $5 billion of international commodities trade per year via the expensive traditional banking trade-finance ecosystem has already signed with LGR SRC. They are opening a trade office in UAE to start initiating their first trade via the SRC platform which is planned for 2023. Several ongoing discussions with clients from Indian govt agencies, UAE, and major traders in the region are taking place.
Problem or Opportunity
Due to the highly paper-based process, resulting in delays, miscommunication, errors, and fraud, there is a lack of trust in the international trade finance ecosystem today. More than 65 million SMEs can’t get finance due to high transactions cost, compliance complexity, transaction risks, and lack of control over finance and goods. The trade finance liquidity gap is estimated to be over $2 trillion (source: Asian Development Bank report, 2022a Towards Inclusive Access to trade finance).
Solution (product or service)
SRC Business Ecosystem is both a SaaS platform and a financial services provider which follows ICC digital trade finance rule. It uses a unique flow of blockchain that interconnect trade finance terms with the global supply chain and predefined smart contracts which automate the validation of trade finance documents against the contract terms and conditions. This groundbreaking innovation significantly reduces the cost of trade finance transactions and hence makes it affordable to millions of SMEs around the world for the first time ever, reducing substantially the existing liquidity gap.
