RELATIONAL TRADE NETWORKS
Volume
82
Pagination
450 - 482
DOI
10.1017/S0008197323000430
Journal
Cambridge Law Journal
Issue
ISSN
0008-1973
Metadata
Show full item recordAbstract
This paper argues that in platform-based digitalisation of international trade processes, the use of blockchain instead of a central database system does not by itself adequately address the platform provider's potential to engage in opportunistic behaviour. Digital transformation of international trade is, thus, constrained by hold-up problems. This requires embedding governance mechanisms in platform rulebooks designed to establish trust and commonality of interests. The article proposes a governance mechanism to promote widespread digital adoption through contract design choices based on guiding principles that can establish legally enforceable behavioural standards which align with the relational characteristics of digital trade networks.
Authors
Ioannou, ICollections
- Department of Law [875]