Project PurposeFacilitating paperless trade has been an important objective of UN/CEFACT’s deliverables, especially working on the dematerialization of the business processes. However, there are still paper documents such as negotiable financial instruments (e.g. Bill of Lading) which are widely used today which have resisted this dematerialization. UNCITRAL has developed the Model Law on Electronic Transferable Records (MLETR) which establishes the proposed legally enabling environment to resolve this problem. Some questions remain on how to establish the reliability which is described in the MLETR. This project aims to propose the framework and guidance on how to satisfy these issues of reliability. Singapore has begun work on this topic and seeks to work with other countries and the expert community to create an international approach to this.
Project ScopeThis project is to create the clear guidance on how to achieve the requirements outlines in the MLETR for electronic transferable records. This guidance is proposed as a White Paper. It is likely that this will be a use case of using Distributed Ledger Technology (DLT); this will build upon the work already done within UN/CEFACT on Blockchain. This guidance material will look at: • How Distributed Ledger Technology could be used to facilitate title transfers of MLETR-compliant title records (other feasible technologies may also be considered) • How existing UN/CEFACT deliverables could be used in this context • Key issues to consider while creating, administering and using technologies for electronic transferable records A reference implementation is planned to be developed in order to demonstrate how this can be achieved. This may be used as a basis for a future technical or business standard (which would be the subject of a separate project proposal). Based on the development of this project, an annex on accreditation framework may be proposed.
Project DeliverablesDeliverable 1: White Paper on the Dematerialization of Transfer of Negotiable Titles (based on UNCITRAL’s MLETR) Deliverable 2: Reference implementation that demonstrates transfers of MLETR-compliant title records Deliverable 3: Annex on accreditation framework (if determined required by the above deliverables)
Exit CriteriaExit Criteria for Deliv. 1: White Paper ready for publication Exit Criteria for Deliv. 2: Report on pilot implementation of transfers of MLETR-compliant title records Exit Criteria for Deliv. 3: Annex ready for publication
Project Team Membership and Required Functional ExpertiseMembership is open to UN/CEFACT experts with broad knowledge in the area of: DLT and negotiable titles In addition, Heads of Delegations may invite technical experts from their constituency to participate in the work. Experts are expected to contribute to the work based solely on their expertise and to comply with the UN/CEFACT Code of Conduct and Ethics and the policy on Intellectual Property Rights.
Geographical FocusThe geographical focus of the project is global.
Initial Contributions• UN/CEFACT Blockchain white papers • UNCITRAL Model Law on Electronic Transferable Records • UNCITRAL Model Law on Electronic Commerce • UN/CEFACT White Paper on Trusted Transboundary Environment
Resource RequirementsParticipants in the project shall provide resources for their own participation. The existence and functioning of the project shall not require any additional resources from the UNECE secretariat.
Project Proposal Files