The Blockchain in Trucking Alliance (BiTA) has announced news that its newest member is a leading supply chain provider in the corporate finance space.
According to an announcement made on Monday (Oct. 30), logistics and shipping financial services firm eCapital, which provides working capital and factoring services to members of the industry, has joined the group in support of blockchain technology, as BiTA explores how distributed ledgers can disrupt the freight and fleet management industry. The Alliance was formed to develop blockchain standards for the sector.
“BiTA believes blockchain ... is one of the most significant developments for the trucking industry since the creation of the internet,” the announcement stated. “By providing more clarity anD standards around blockchain through education and promotion of the technology, BiTA intends to be the leading blockchain voice for the industry.”
The addition of supply chain company eCapital to the Alliance is a sign of confidence in how financial services companies operating in the freight and logistics industry will also be impacted by blockchain disruption, according to eCapital Chairman Richard Piontek.
“It’s clear there is a convergence of innovative and potentially disruptive technologies based on the digitalization of transportation and logistics processes — which includes invoice financing and settlement services. We see innovations like blockchain as a potential positive disruptor to the established interplay among the participants within the supply chain, which includes shippers, carriers, 3PLs and the financial intermediaries that allow the industry to function,” Piontek stated. “Forward-thinking financial services providers like eCapital are pleased to be a part of the BiTA alliance, where we intend to help redefine how carriers are paid and payments are managed.”
BiTA isn’t the only alliance exploring blockchain in the logistics and fleet management space. Late last year, a Netherlands-based consortium, headed by TKI Dinalog, launched with 16 collaborative partners to explore the use of distributed ledger in trade, logistics and supply chain management, with members contributing $2.3 million to the initiative, reports said at the time.