Citizen Reserve, which is a startup led by entrepreneurs and former Deloitte blockchain executives, has unveiled SUKU project -- an industry agnostic supply chain solution that aims at improving transparency, efficiency and product visibility in supply chains.
The supply chain-as-a-service platform will help businesses to lower costs of supplying, improve operations and open new markets. The system has generated interest from five industries, namely vaccines, commodities, electronics, honey, and defense. It will also provide real-time, transparent data in regard to the precise location of goods. With it, businesses will have access to bids and order marketplace, information related to the transparency of activities therein, and considerable automation of contractual agreements.
Particularly, CEO of Citizens Reserve Eric Piscini told CoinJournal that the SUKU’s supply chain-as-a-service platform is targeted at solving five issues on "traditional" (non-blockchain-based) supply chains, namely lack of transparency, low efficiency, lack of integration, reduced access to capital, and diminished trust. He said the current supply chain is complex and difficult to navigate while the technology supporting the supply chains remained expensive, inefficient, and fragmented yet almost all enterprises required them.
The supply chain ecosystem is targeted at businesses and Piscini, who previously was a partner at Deloitte Consulting until April, said it was launched after the realization that blockchain was too focused on consumer and not B2B activities. He said that most projects are also addressing the technology layer and not business enablement layer.
According to Piscini, China's pharmaceutical scandals reported in July this year indicate the "need for one layer of connection for trading partners to communicate and transact." He said blockchain decentralized ecosystem would help by eliminating points of failure and hence reduce risks that companies have to take when working with untrusted partners.
The supply chain platform will use the Ethereum and Quorum blockchains with the Ethereum blockchain handling supply chain payments while Quorum will focus on transactions such as bids and offers where confidentiality is needed. It also has a native token that will be used to incentivize and reward partners on the platform. The token has three functions -- users can spend it in paying transaction fees on the platform; it provides access to unique and premium features on the platform such as real-time access of market data, access to supplier ratings similar to a data service for financial institutions; and voting in regard to the future direction of the platform.
The company is also working on ZERV, a decentralized commerce platform that enables frictionless transactions within the defense industry.