The Korea Customs Service held a MOU ceremony with 8 other companies including Nomad Connection, Matrix2b, CJ Korea Express, and Lotte Global Logistics on May, the 28. loopchain has been developed in a variety of projects such as ChainID, an identity authentication service that is based on blockchain and being utilized in Samsung Pass and by a consortium of financial establishments.
A network built on blockchain is a perfect solution to upgrade the customs process - from initial order to import declaration. This process can be made by launching nodes across each part, thatcomprises e-commerce, shipping and courier firms. When blockchains are often clear to all participating parties, loopchain has an important longline structure which let the only authorized objects to access certain information throughout the process.
Blockchain technology has been supported by Korea Customs Service (KCS) in order to grow the direct foreign goods acquiring. It demands too much time and money to inform a small volume of e-commerce sales. Finally, KCS has made the first step in accepting blockchain based e-commerce clearing services aimed on providing fast and distinct data validation.
While the blockchain based e-commerce platform is instituted, it will not only decrease logistics costs, but also reduce the threat of illegal activities such as smuggling and false reporting. KCS is aimed to run a pilot by the end of the year, and consequently introduce blockchain technology to all e-commerce import and export services shortly.