Event: The Forcefield Platform with Allen & Overy and Accenture
On the 10th of October 2019, King’s College London’s (KCL) Blockchain Society was joined by Paul Thomas from consulting firm ‘Accenture,’ and William Samengo-Turner from law firm ‘Allen & Overy’ to discuss the future of blockchain. More specifically, they focused on how blockchain can be used in the supply-chain industry, using the Forcefield platform that Allen & Overy advises on as the main example. This initiative was organised and led by KCL Blockchain Vice-President (Legal) and second-year law student Oisin Tubridy. Due to the confidential nature of some of the work that is being done in relation to this project, some points will not be elaborated on in-depth.
Forcefield is a platform that manages commodities throughout the entire supply-chain lifecycle. It aims to facilitate trading and financing by increasing security and efficiency of trading products and related processes. This is an “unprecedented process” that was inspired by the Qingdao scandal; where warehouse certificates were duplicated, resulting in multiple loans being given out. The issue was that the original title was not traceable, which made it very difficult to secure it. To counter this, Forcefield uses “Post-Trade Processing” where both the buyer and the seller can approve the transaction, exchange ownership records, and arrange for the transfer of cash and other securities, increasing trust and traceability in the process.
At the event, Paul Thomas stated that when advising clients “blockchain is the technology that is going to enable a new solution for them”. The issue does not just revolve around what the blockchain is anymore, but how firms are trying to use blockchain to transform industries and markets, which is exactly what the consortium that created the new Forcefield platform is attempting to accomplish with it. It is worth noting that this is not the first time blockchain has been used in the supply chain industry. A remarkable example is Tony Chocoloney. Accenture is currently helping the Amsterdam-based chocolate company eradicate slavery in the chocolate industry by tracing the path of cocoa beans using the blockchain technology. This shows that blockchain is not just limited to the financial or technology sectors, but that it has much broader uses and benefits than initially predicted by many. What is exciting about the Forcefield platform in specific is how diverse the consortium really is. There is a network of players from many different industries, including but not limited to legal, manufacturing, metal traders, miners, banking, and trading houses that are interested in transforming supply-chain. When you have so many people involved in the development of an idea, it can be accelerated, and agile solutions can be created with a specific process.
Blockchain technologies enable new solutions in the trading industry. For example, the Forcefield platform allows for the tracking of shelves via warehouse tags. The technology enables a more secure way of connecting all the key players in one transaction including, but not limited to, the people who own the assets and the people storing the products. Both traceability and security are increased by using the blockchain technology in this instance.
From a legal standpoint, William Samengo-Turner stated that Forcefield is about “disrupting a well-established way of moving things around the world.” The concept of using blockchain technologies in the supply-chain industry is fairly new, meaning that many legal implications may arise. As lawyers, what Allen & Overy do is look at all the different parts of the chain in which their services would be needed. Since there are many parties involved (finance, storage, etc.), there will inevitably be many legal events to be dealt with and advised on.
Overall, the event was a resounding success. It was a full house down at Allen & Overy’s office in Spitalfields. Attendees had the opportunity to network with trainees, graduate recruitment, and our two main guests after the central portion of the event. The legal market is changing at an unprecedented pace, and the Forcefield platform places Allen & Overy at the forefront of legal technology, making them a key player. It shows that the firm not only gives legal advice, but that it also understands the markets its clients work in, works to solve problems that exist in those markets, and enables its clients to benefit from the changes that are being brought about by technology. It is safe to say that everyone left the offices with much more insight and value than they walked in with.
