It is great to see the explosion of focus on supply chain finance as the next area beyond banking and trading. Supply chain has enormous potential for blockchains beyond financing movements of goods like decentralized data flow and settlements based on IoT and sensor data. One of the earliest startup innovators, Fluent recently got a boost in financing and there are many large supply chain companies getting involved like RWE in Germany. It seems the resistance to change in supply chain players is lower as the banks and while financial incumbents are trying to protect their intermediary position and the resulting sizable fees, supply chain players are typically very low margin players with significant motivation for cost reduction. Using our Blockchain Value Creation model – supply chain may be the first after BitCoin to realize Quadrant I, with the highest economic and technical efficiencies. Bank projects will continue to reside in Quadrant III (LH) with low economic impact and high technical efficiencies. Manufacturing and supply chain companies tend to use highly standardized systems vs banks have highly customized IT infrastructure.
There were talks at Consensus about supply chain and now there will be a supply chain blockchain conference that covers overall supply chain.