The continued growth of blockchain technology has seen many businesses adopt the technology into their systems. As a result, many new projects and ventures are indicating the promise Distributed Ledger Technology (DLTs) has in stimulating the economy without discrimination. A good example of borderless is TMX, the company behind TMX Global Coin.
The company aims to become the first digital currency not only in Kenya but also in the East African region. The team behind this crypto coin aims to solve common challenges traders face in the shipping industry. They include fraud, delays in product deliveries, and lack of information by customers.
About TMX Global Coin
80% of the world’s cargo shipment is by sea, making this an ideal market to exploit using Ethereum smart contracts. According to the TMX development plan, the pre-ICO phase was set to take place in September 2018 with one TMX coin costing $0.02 in the first phase, and $0.05 in the second phase. The official launch will be on May 2019.
According to the CEO of TMX, Anthony Njoroge, the company’s main goal is to reduce costs and increase shipping efficiency. TMX will achieve this by, integrating information about shipments on a secure platform accessible to carriers, shippers, freight forwarders, and other transporters in the supply chain.
Using various ERC20 tokens that allow execution of smart-contracts, the company aims to create a global courier service that will allow customers to collect their goods from any part of the world using TMX services. TMX blockchain technology will enable customers to have prior information on the amount of duty they need to pay, import rules for a specific country, delivery timelines, cost of shipping, and other related costs. Such a payment system will ensure a higher level of security that’s not available in most existing systems.
Because of the high capacity of transporting goods all over the world, there’s roughly $4 trillion worth of cargo moved every year. If shippers were to do this process effectively, there’ll be a significant reduction in the cost of shipping, and the benefits can be passed on to the end-user.
TMX is setting up a global freight forwarders association which will plug into the TMX system, enabling freight forwarders to become TMX trusted agents in any country. In conjunction with its global partners in Asia and Europe, the company has managed to close up the value chain with transparency.
TMX will be able to collect cargo on behalf of the customer and inform the customer issues they need to know in the smart contracts such as:
- Tariffs for a specific country
- The country’s expectations and
- The HS code in the TMX system such that when a customer requests Copper info, they will get relevant info.
The use of smart contracts will help reduce the cost of moving cargo by 14%, which is a significant reduction in the overall cost of shipment. Besides, TMX plans to raise capital through crowd-funding. The TMX coin will be available in markets such as vinyl where supply and demand will dictate the number of coins available. The company’s CEO predicts it may take 12 months to sell 50 million TMX coins, though he expects the dab to be ready by July 2019.