Total and Chevron, the largest oil makers, along with the Indian refiner Reliance industries, have now joined the blockchain based platform Vakt, London based Vakt revealed.
Vakt, which already in use by some other major trading firms since the end of last year, is the first of many blockchain pilot schemes for the commodities which are even trading to go live.
The firm was created in the year 2017 by the consortium that even includes the oil majors BP and Royal Dutch Shell, Norway Equinox, global energy trading firms Mercuria Energy Group and Koch Supply and Trading as well as the Gunvor Group.
Its original shareholders began using the system in November, starting for the North Sea crude oil trading. Some other shareholders are ING, ABN Amro, and Societe Generale.
Blockchain which is the platform behind the cryptocurrency Bitcoin is even viewed by many as a solution to trade and even inefficient of the settlement, as well as a way to improve the transparency and reduce the risk of fraud.
Vakt centralizes and digitizes what was previously a mountain of paperwork shared between all the parties which are even involved in each deal.
“Total has been supporting industry initiatives to digitize cargo post-trade processes for some time,” Total’s head of trading and shipping Thomas Waymel said in a statement.
“We view them as a major step forward towards safer, faster and cheaper logistical operations. We are committed to contributing to the roll out to various markets of the VAKT blockchain platform.”