Shanghai has just seen the official opening of its new exchange for the trading of data assets.
The official sign unveiling ceremony for the opening of the Shanghai Data Exchange (上海数据交易所) was held in the Pudong New Area on 25 November.
Domestic observers said that the move will help to overcome perennial challenges to the trading of data assets.
“Data transactions have always faced five key difficulties, including difficulty in confirmation of rights, difficulty in pricing, difficulty in mutual trust, difficulty in market entry and difficulty in regulation,” said Li Yi (李易), chair of the Green Digital Development Research Centre of the Shanghai Academy of Social Sciences.
“Prior to the establishment of the Shanghai Data Exchange, the supply and demand parties to data transactions lacked a compliant, secure and highly efficient trading platform.
“Many enterprises did not know how to find buyers, or whether or not what they were purchasing was lawful and compliant. This made things very difficult…previously there were some big data companies that found themselves being sued due to the sale of data.
“With the [Shanghai Data Exchange], once you produce the data, professional staff and specialist organisations make assessments as to whether or not transactions are permissible. If transactions are permissible, then buyers can make lawful purchases.”
An initial cohort of roughly 100 data vendors have already signed up as members of the exchange, including State Grid, China Eastern Airlines, PriceWaterhouseCoopers and Deloitte.