This September 26, it was announced that the Banco do Nordeste (BNB), an entity controlled by the Government of Brazil, will provide funding of USD 50 thousand to a project that combines the technology associated with blockchain and Big Data for the evaluation of risks in the marketing of food.The project will facilitate the creation of a “marketplace that connects producers and food industries in the identification, diagnosis and forecasting of the risk factors by means of Big Data and Blockchain”. As can be read in the web page of Bipp (Smart Block in the Production Process), a beneficiary of the funding, the main use of this platform will be the obtaining of certificates of organic origin of the food of Brazil, thanks to the monitoring of the supply chain.In the official statement, published in the National Press, is appointed to the startup, as the beneficiary of the BRL 199.780,00 (about USD 48.080) for the financing of the project, which will be executed during 24 months. The greater part of the funds (BRL 179.080 or USD 43.105) are coming from the Background of Economic Development, Science, Technology, and Innovation (FUNDECI) of the nation.The project’s financing is backed by the Ministry of Economy of Brazil. Source: National Press.In conversation with a local newspaper, Marcus Linhares, CEO of BIP assured that the platform is intended to function as an intermediary for the producers to receive the funds in their devices:
When the producer completes its production and the industry pays through our platform, it gets its financial credit on the cell phone, such as a bank.Marcus Linhares, CEO of the BIPP
In addition, it intends to become a AgroFintech, because that would link the producers and the industries in order to reduce the costs that stem from the current banking system based on transfers TED (electronic Transfer available).The Central Bank of Brazil announced this week that it will base its system of instant payments in a blockchain that will replace tools such as the TED. It is important to note that the website BIP does not provide information about the type of blockchain that will be used in this proposal.This grant addressed to the food sector is part of a series of initiatives carried out by the Banco do Nordeste to finance other innovation projects in Brazil, which in addition to the use of blockchain, which include artificial intelligence (AI), the internet of things, biotech, FinTech, information technologies (TICs), AgroTech, smart cities, and sustainable, among others. In 2018, the bank conducted two days of choice of project candidates for funding, and in 2019, the first round was completed at the beginning of this month.