Although there are a lot of uncertainties surrounding the nascent crypto market, its underlying technology is thriving. Glencore, a British-Swiss commodity trading and mining company, announced that it will use the IBM-developed blockchain solution to track cobalt.
In a December 12 press release, Glencore published that it had officially joined the Responsible Sourcing Blockchain Network (RSBN). RSBN is a joint partnership between varieties of major corporations leveraging the technology to enhance supply chain transparency.
Blockchain improves good practice
RSBN is the project that was developed by the global sourcing audit and advisory RCS Global Group. The network uses the IBM Blockchain platform that is powered by a Hyperledger Fabric. Glencore head of marketing for copper and cobalt, Nico Paraskevas, commented:
“RSBN plays a key role in advancing the sustainable partnership between the producers of commodities that will enable the transition to a low-carbon economy and key consumers around the world.”
Blockchain gaining ground in the metals industry
This is not the first time that Glencore has shown interest in blockchain. According to previous reports, the firm was among the seven metal giants in October that formed the Mining and Metals Blockchain Initiative. The firms aimed to collaborate on proof-of-concept solutions going forward.
In general, the metals industry is ready to promote blockchain to enhance its supply chain efficiency. The London Metals Exchange (LME) allegedly supported a similar international initiative in March 2019 focusing on the technology. Matt Chamberlain, LME chief executive, said:
“You know where your metal is, you have proof of your metal, but nobody can see what your metal is and where your metal is.”
With more institutions and businesses investing in blockchain, it now appears like the technology will achieve mass adoption ahead of cryptocurrencies.