One of China’s leading commodities markets has turned to blockchain technology to expedite delivery for futures contracts.
The Zhengzhou Commodity Exchange, located in the Henan province capital of Zhengzhou, has launched the first “smart platform” for the Chinese futures market.
The platform makes use of Internet of things and blockchain technology to automate the gathering of data on futures warehouse receipts, in order to strengthen the monitoring of cargo rights and storage.
The platform also gathers data on delivery warehouse annual inspections, on-site warehouse inspection and third-party credit in order to facilitate monitoring.
A spokesperson from the Exchange said that it is currently seeking to make “active use of technology to guarantee warehouse capacity and supply, and fully satisfy the settlement needs of the real economy.”
In 2021 the Exchange added a total of 9 delivery warehouses and 30 delivery factory warehouses, for a total capacity increase of 600,000 tons.