The gold industry is turning to blockchain as part of its efforts to curb fraud. It also hopes that blockchain will assist it with supply chain management. LBMA CEO Ruth Crowell is one of the officials that exude confidence in the new blockchain-based initiative. The leader said that the initiative was crucial in their efforts to bolster trust in the traded gold. She affirms that “integrity and accountability” when dealing with bullion are attributes that count.
It is a new dawn in the gold industry where the most prominent organizations are coming together in joint efforts to unveil a new “integrity program” embedded in blockchain technology. It hopes to make significant steps forward in supply chain management, and the beneficiaries will be the various market participants. The organizations look forward to great times ahead where such participants will quickly verify the authenticity of their bullion.
The World Gold Council (WGC) and the London Bullion Market Association (LBMA) gave out a statement on Monday highlighting their plans to ensure gold bar integrity. They hope to establish an “international system of gold bar integrity rooted in blockchain technology. They also mentioned provenance and chain of custody as the other areas they will focus upon in efforts to transform matters. The World Gold Council (WGC) revealed that aXedras and Peer Ledger were the big names behind the development of blockchain technology.
The essence of the ledger
The ledger will help accomplish wide-ranging tasks such as tracking gold bars in the various stages of the production and distribution chain. The stages include mining, vaulting, and selling to jewelry manufacturers. The ledger will also help with the registration process.
The so-called Gold Bar Integrity Programme continues to enjoy great support from some leading organizations. Such organizations include Barrick Gold, CME Group, Metalor, Newcrest Mining, Hummingbird Resources, Brinks, Royal Canadian Mint, Perth Mint, Asahi, Aura Minerals, and others.
LBMA and WGC applaud the pilot program and hope to promote it in the future for use across the gold industry. They added that supply chain management remains one of blockchain technology’s most outstanding and promising use cases.