Chongqing - Yuxinou (Chongqing) Logistics Co., Ltd has recently launched its first blockchain electronic bill of lading financing service, a breakthrough in the functionality of the cross-border logistics documentation and rights certification of the China Railway Express (CRE) to Europe.

"Our future plans involve continuously promoting the construction of multi-scenario services for the CRE, enhancing the comprehensive service capabilities through the application of 'blockchain + supply chain' financial innovation technology," said a relevant person in charge of Yuxinou (Chongqing) Logistics Co., Ltd. 

Integration of commercial, logistics, information, and capital flow

Leveraging a blockchain-based electronic bill of lading system, the international railway intermodal electronic bills of lading can be directly issued by Yuxinou (Chongqing) Logistics Co., Ltd and seamlessly transferred to the consignees.

This means that with no requirement for collateral or mortgage, consignees can obtain financing loans by presenting the electronic bills of lading, completing the entire process paperlessly. This innovative approach offers advantages such as visibility, control, and traceability.

Compared to traditional paper bills of lading, digitalizing bills of lading through a blockchain platform overcomes challenges such as verification and tampering, resulting in higher efficiency, enhanced authenticity, and improved convenience. This breakthrough also integrates commercial, logistics, information, and capital flow, thereby revolutionizing supply chain finance.

The entire process, from bill issuance to circulation and financing disbursement, takes less than two days. This reduction in time dramatically improves cash flow turnover, supply chain management efficiency, and cargo control, further mitigating operational risks for importers.

"Warehouse-to-warehouse" model for the future logistics industry

The current railway electronic bill of lading financing model primarily focuses on the "station-to-station" approach, which is replicable, scalable, and has the potential to become a standardized product. 

Expanding from the "station-to-station" railway bill of lading financing to the "warehouse-to-warehouse" model represents the industry's future direction. Once this model is established, it will bring transformative changes to the replication and application of railway electronic bills of lading in the cross-border logistics sector.

The "station-to-station" model refers to transporting goods between logistics stations, typically involving cargo movement from one logistics center or container terminal to another. This model is characterized by its focus on the transportation process between specific stations, ensuring efficient connectivity between different points in the supply chain.

On the other hand, the emerging trend of the "warehouse-to-warehouse" model emphasizes transporting goods from one warehouse to another. It encompasses the entire logistics process, starting from the originating warehouse (often the shipper's or supplier's warehouse) and concluding at the destination warehouse (where the consignee or final destination is located). 

This approach offers a more comprehensive and end-to-end solution, addressing not only the transportation between stations but also the management and coordination of cargo within the warehouse facilities.

This transition to the "warehouse-to-warehouse" model also enables improved inventory management, precise tracking of goods, enhanced supply chain visibility, and better control over the entire transportation process.