China and Singapore Just Made the First All-Blockchain Commodity Trade
A recent Reuters report on April 2 stated that one of the subsidiaries of Sinochem Corporation, Sinochem Energy Technology Co. Ltd, shipped gasoline to Singapore—solely using Blockchain technology!
Sinochem Corporation is one of the four major state-owned Chinese oil companies. The shipment was made from Quanzhou, China to Singapore. It was the first time that Blockchain was applied to all of the key participants in trading commodities.
The group seeks to use Blockchain technology to simplify the complex and lengthy transactions which have been a part of energy trading for a long time. It would also help in reducing costs since the key documents would all be digital. Hence it would not only reduce time and costs but would also help in making the entire process environment-friendly.
Sinochem Group had completed its first Blockchain based crude oil import transaction last year in December. The group has since been working hard on implementing the technology on the rest of the process.
You have already seen how well the technology has performed in the real estate sector. But it has been received well even in the shipping and logistics industry.
Earlier this year, US completed the first agricultural trade to China using Blockchain. The trade involved five parties which delivered a cargo shipment of soybeans using the Easy Trading Connect (ETC) platform.
Blockchain technology would also be implemented by JD.com, the Chinese retail giant, for ensuring that the quality of products is up to the mark, and for enabling customers to monitor their orders.
Walmart sent in a patent application which was published early in March by the US Patent and Trademark Office (USPTO). The patent application featured a “Smart Package” system which would use Blockchain for tracking environmental conditions, package contents, and location.
The commodity trade between China and Singapore which used the Blockchain technology for the entire process has been a major breakthrough. Its success has opened doors to a world of new opportunities for using the technology to make trades secure.