Yesterday one of China’s largest P2P lenders announced a surprising move into blockchain technology.
I say surprising, because on the surface it does not seem to have much to do with marketplace loans.
The report, sourced from a Chinese newspaper, claims that the project’s goal is use its ability to store and secure data on a blockchain platform to develop a supply chain tool for enterprise businesses.
Apparently it will start by integrating the service with a steel trading platform.
You can see why I’m scratching my head, right?
Creditease does have a long history of diversified investments, that does not show any sign of letting up. In this year alone, it launched a second venture fund focused on Israeli technology, and invested in the funding rounds of three US fintech companies.
Diversification makes sense in a sector being hit by additional regulatory pressure, market scandals and looming international competition.
But a blockchain platform for supply chain management for enterprises?
I wrote recently on the impact that blockchain innovation could have on the massive marketplace lending sector in China. It is, I believe, poised to take off with the introduction of new technologies and relationships, which in turn can open up new markets.
But steel trading??
If anyone can see where this strategy is going, please let me know.