What is TradeToken™ Purpose ?
Trade token solve the disadvantages of traditional trade finance such as L/C(complex progress procedures, high fees, high entry barriers) and enables risk hedging(Safety issue in trade finance transaction). In addition, it enables various DApp development based on trade token ecosystem, rewards for trade token liquidity suppliers, and easy indirect investment in commodity. As such, the existing trade finance is incorporated into the blockchain to create various added value.
Why use TRADE ?
TRADETOKEN™ will be first generally used case to brings trade finance into the blockchain.
There has been an attempt to bring blockchain into trade finance. Due to the protection of sensitive information and the speed of processing, the blockchain trade finance used private blockchain. However, the block creation cycle of tradetoken based on Binance smart chain is 3 seconds, which is the same as that of a private blockchain. Existing trade financing has also been centralized for security reasons, losing transparency in transactions. And there were still many problems with banks involved, including high fees and complications of procedures. On the other hand, tradetoken realized fully decentralized trade finance, enabling trade transactions with only a small amount of gas fee and simplifying procedures.
The transaction of tokens and products is controlled by the approval of the parties. Through the TRADEPAY DApp, documents necessary for trade such as B/L are shared on the TRADETOKEN blockchain node. (TRADEPAY will also issue SMART B/L using BINANCE NFT technology later) These functions are included in the TRADE PAY DApp.
Cooperation for blockchain trade finance
TRADETOKEN works with blockchain platforms and trade associations (OKTA, etc.) and companies. Through OKTA, it has established partnerships with 143 branches in 68 countries around the world. TRADETOKEN will continue to build more cooperation for fully decentralized blockchain trade finance. In 2021, a blockchain trade finance association centered on TRADETOKEN will be launched in Asia.