Physical commodities power various industries. A commodity is any substance that is grown or mined. Gold, oil, and coal are a few of the most popular commodities that are traded all over the world. There are platforms that exist for traders to meet and trade physical commodities seamlessly.
Digitization has led to the emergence of numerous electronic exchange platforms in the market. Despite the fact that digital platforms have expedited trade processes and facilitated easy trader matching, there are still hurdles that retard the growth of the entire system. The traditional mode of paper documentation continues to prevail. Fraud and scamming are predominant. The level of accountability is not adequate.
Upgrading Commodity Trading with Blockchain
With all the above-mentioned bottlenecks, how can commodity trading progress? NewzoneEX will bring a positive change to the commodity trading sector in the form of a blockchain-powered trading platform. Let’s find out how NewzoneEX will remodel the industry.
- DIGITAL LEDGER - Blockchain is a digital ledger that records all transactions, thereby removing the necessity for paper documentation. Processes take place faster without the need for any intermediary recording the details. Basically, the blockchain acts as a database for all commodity trading-related information.
- IMMUTABLE DATA STORAGE - All data stored on the blockchain is immune to manipulation. If there is any attempt to change the data, the entire network is notified. Therefore, it is impossible to get away with fraud.
- REDUCED COSTS - Blockchain will help easily streamline both internal and external processes. This can lead to a reduction in costs. Due to the elimination of middlemen, labor costs are minimized. Moreover, it facilitates faster settlements, lesser technology-related expenses, and lower capital costs.
- EFFECTIVE MANAGEMENT - Commodity trading involves counterparties, exchange platforms, brokers, logistics service providers, banks, and regulators. A system with so many participants requires a solution like blockchain to enable effective management.
Blockchain technology will transform the supply chain and bring a whole new trading experience for commodity traders. NewzoneEX’s mission is to truly capture the potential of this technology and impact commodity trading in the greatest way possible. Want to be a part of the birth of the NewzoneEX platform? Invest in the ICO and help us accomplish monumental change. NewzoneEX - Innovation in trading.