Blockchain-Enabled Traceability And Supplier Finance: Driving Financial Inclusion In Digital Supply Chain

The digital transformation of global supply chains presents unprecedented opportunities, yet
it concurrently exacerbates the existing gap in financial inclusion for Micro, Small, and
Medium Enterprises (MSMEs). Traditional supply chain finance (SCF) models often fail to
serve these small suppliers due to high information asymmetry, lack of verifiable collateral,
and manual, paper-intensive processes, leading to significant liquidity constraints. This
study proposes and empirically investigates blockchain technology as a foundational
solution to mitigate these challenges. Specifically, it examines how blockchain-enabled
traceability fosters greater trust and transparency, which in turn facilitates more accessible
and inclusive supplier financing mechanisms. Employing a mixed-method approach
(Quantitative N=150−180 survey and Qualitative interviews) with a cross-sectional design,
the research analyzes relationships using descriptive statistics, regression, and factor
analysis. Preliminary findings are expected to demonstrate a significant positive impact of
blockchain adoption on financial inclusion metrics for MSMEs. The research contributes
by providing a rigorous framework for practitioners and policymakers aiming to leverage
decentralized technology to create a more equitable and sustainable global trade ecosystem