Project “ValidAP” - Blockchain-based e-Document Validation Platform

Digital Ripple in Global Trade

Validation on cross-boundary trade documents remains a manual, tedious process that may still be prone to human error. Despite all efforts, paper documents stay predominant and vulnerable to falsification. To address the challenge, the Customs and Excise Department (C&ED), in the role of the World Customs Organization (WCO) Vice-Chairperson for the Asia/Pacific (A/P) Region, developed ValidAP, a blockchain based digital platform for simple, real time and reliable cross-boundary validation of electronic trade documents promoting collaboration and trade integration in the A/P Region.

Trade Documents Becoming Verifiable Digital Assets

Through the public-facing portal of ValidAP, anyone can verify digital documents by a simple drag and drop action, in any file types issued by organisations which have joined the project. By re-calculating and comparing the “hash” value against the one stored on the blockchain, ValidAP can promptly authenticate whether that electronic document has been “hash”-registered on ValidAP and also by which organisation.

Business-friendly Migration

Deployment of ValidAP can be swift. Participants can start registering their digital documents after creating a user account, while establishing a direct system-to-system Application Programming Interface (API) connection to a domestic IT system can take mere weeks to complete.

Hong Kong Trade Single Window (TSW) has established an API connection with ValidAP for hash transmission and some of the trade documents issued by TSW are now verifiable through ValidAP. Besides, Hong Kong Customs has signed an MOU with Pakistan Customs on ValidAP cooperation. The API connection with Pakistan Trade Single Window is now under discussion.

Customs and Excise Department as a Trusted Facilitator

ValidAP is a platform leveraging cryptography (SHA-256) and blockchain technologies to support e-document verification and is hosted on the Government Cloud Infrastructure Services (GCIS), ensuring it operates under the highest degree of security. The key advantage and major difference from other verification platform of ValidAP is that no document content is disclosed, uploaded to ValidAP or even transmitted over the internet, minimizing the risk of data leakage and eliminating the need for complex legal negotiations.

To ensure integrity, ValidAP incorporates a series of security features including but not limited to a user account hierarchy, two-factor authentication requirement with strong password policies, an approval workflow for hash submission and email domain restrictions. The extendable blockchain structure allows participants to host their own node with an identical set of shared ledger enhancing mutual trust between participants, allowing their internal systems (e.g. national Trade Single Window) to submit hashes automatically, eliminating human interference and error.

From Verification Tool to Cultural Shift

ValidAP accelerates broader digital transformation across the global trade landscape and encourages regional cooperation through secure digital processes. For Hong Kong’s business environment, ValidAP reflects a mature, needs-driven approach to digital government. Built on secure, privacy-preserving technology, it streamlines processes while reinforcing Hong Kong’s role as a digital trade hub, where C&ED being the trusted engine enabling the smooth flow of goods and trust.

[Acknowledgement to the C&ED for providing material for the story.]