Outrageous two radish chapters can deceive 30 billion?

Recently, Xiao Wan noticed a piece of news, some media reported that the case of Gopher Assets, a subsidiary of Noah Holdings, sued JD.com in the Shanghai Financial Court, which made the once sensational “Chengxing fraud case” once again rush to the hot search list with “carved two radish chapters to defraud 30 billion”. The outrageous thing about the whole case is that the chapter is fake, the contract is fake, the account is fake, the online banking is fake, and even the e-commerce platform system is fake, so it also received the joke of netizens that “high-end business wars often only need the most simple way”.

By what means did this fraud case come about? Chengxing Holdings and related companies fabricated supply chain trade with Suning and JD.com, that is, they bought goods and sold them on the platform, and the platform should pay them after the sale, and the accounts payable of JD.com and Suning are high-quality collateral assets for financial institutions, so Chengxing Holdings can easily get money from financial institutions with the accounts receivable of the “two platforms.” This is a typical case of supply chain finance accounts receivable fraud, which is not uncommon.

Supply chain finance, which uses supply chain accounts receivable as the underlying asset for financing, is characterized by the fact that financial institutions can transform the uncontrollable risk of a single enterprise into the controllable risk of the entire supply chain enterprise based on the credit of the core enterprise, so as to expand the financial services for the supply chain. It can be seen that the key to the development of supply chain finance is to fully release the credit of core enterprises, so that upstream and downstream enterprises can obtain financing more efficiently and conveniently. However, there are hundreds of suppliers of core enterprises, and it is difficult for financial institutions to accurately and exhaustively obtain relevant information about the cooperation between the two parties and accounts receivable and payable.

High-end scams often also have technology to “patch”. If the core enterprise can issue split, transferable and traceable electronic credit certificates to upstream suppliers, and financial institutions can verify the authenticity of the electronic certificates on the public platform, then the “carrot chapter” will naturally have nothing to hide. We all know that the most unique feature of blockchain is that it can be “trusted” without relying on third parties, and its most widely used field in social and economic life is supply chain finance.

Blockchain is a distributed ledger that uses cryptography to append blocks confirmed by consensus in order. After the business transaction information between the core enterprise and the upstream and downstream enterprises in the supply chain, including bills and contracts, is uploaded to the chain, the distributed ledger technology meets the demand of supply chain finance for three-dimensional information acquisition in the process of real-time synchronous update of on-chain information for all nodes on the blockchain. In the distributed network of blockchain, the relationship between the upstream and downstream of the supply chain becomes more three-dimensional. The on-chain node can not only view the relevant business information of upstream and downstream enterprises, but also view the business information of all suppliers in the entire supply chain, breaking the mode of financial institutions reviewing the information of a single enterprise at a single point.

At the same time, the core enterprise can open the accounts payable to the supplier into a digital voucher, and the digital voucher can be split between different levels of suppliers through the on-chain confirmation, and the supplier can use the voucher to finance the financial institution, or split it to the downstream supplier as a payment and settlement tool, or it can hold it by itself and redeem it after maturity.

The “consensus confirmation” and “sequential append” of the blockchain ensure that the digital certificate cannot be tampered with and can be traced, and financial institutions can trace it back to the core enterprise step by step, further improving the risk control ability. The multi-level circulation of accounts receivable and its functions of payment, settlement, and financing have significantly shortened the term of suppliers’ accounts receivable, and the cost of using accounts receivable financing has been greatly reduced by relying on the credit transmission of core enterprises.

Based on the credit transmission of core enterprises, on the one hand, it helps suppliers, especially small and medium-sized suppliers, to reduce the financing threshold and risk pricing, and on the other hand, multi-level and penetrating supply chain trade management can help financial institutions effectively improve their risk control capabilities and efficiency.

Wanxiang blockchain supply chain financial service platform has served more than 200 financial institutions and core enterprises, nearly 10,000 small and medium-sized enterprise suppliers, and nearly 100 ecological/strategic partners in 5G, artificial intelligence, industry, Internet of Things, finance, government affairs and other fields. It is worth mentioning that TradeGo’s paperless innovative application platform for international trade in bulk commodities and Wanxiang blockchain supply chain financial service platform were also selected as the first and second batches of “2023 Provincial System Innovation Cases in Zhejiang Pilot Free Trade Zone” released during the forum, respectively.

Source: Golden Finance