First Blockchain-Based Commodities Trading Platform Set to Launch by End of Year

Sep 21, 2018, 7:38AM
1 min, 16 sec READ

The first Blockchain platform backed by global banks and trading firms for commodities trading is expected by end of year.

The first Blockchain-based platform backed by global banks and trading firms for financing the trading of commodities is set to launch around the end of this year. The platform will be managed by the Geneva-based venture Komgo SA, and will be developed in partnership with ConsenSys.

Several important companies and financial institutions from around the world founded Komgo SA, including Shell, Rabobank, BNP Paribas, Citi, Gunvor, ABN AMRO, MUFG Bank, SGS Crédit Agricole Group, Mercuria, Koch Supply & Trading, Natixis, Macquarie, ING, and Societe Generale.

Souleima Baddi, Chief Executive Officer of Komgo SA, shared her outlook on the project,

The launch of komgo SA highlights a shared vision for industry innovation and underlines the ongoing commitment among members to build a truly open and more efficient network within commodity trading

According to the report, Komgo will be used first for energy trading, especifically for the oil trading in the North Sea. Komgo SA will be working alongside energy trading platform Vakt, which is owned by most of the same Komgo shareholders. It is expected that Komgo SA will expand to the agricultural and metal commodities markets in the first half of 2019.

Komgo will reportedly be rolling out two products by the end of this year. These are a KYC process that do not depend on any centralized database and a system for the trading of digital letters of credit.

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