On August 10, 2020, Skuchain announced that it had launched the ECO system, which is targeted at the precious metals trading sector. They are undertaking the project in conjunction with the mineral trading subsidiary of Mitsubishi Corporation, Mitsubishi Corporation RtM Japan.
Blockchain-Powered Mineral Trading
The ECO system will be powered by the blockchain-based EC3 platform that was developed by Skuchain. EC3 is a platform targeted at the finance sector as well as supply chain management. Mitsubishi Corporation RtM Japan plans to use the ECO system in its supply chain management.
How ECO Works
ECO verifies transactions by generating, managing, and executing invoices between counterparties. The suppliers, traders, and customers in the precious metals industry all transmit their data through independent platforms. ECO will enable players in the sector to share their information securely, which will improve efficiency.
Since all transactions are digitized, including the seals and wet-ink signatures, trade execution will be more efficient and can be done from any location. The ECO system launches amid rising demand for solutions that avoid disruptions due to external shocks such as the COVID19 outbreak.
With time, more features will be added to ECO platform to ensure that it provides comprehensive solutions for all problems faced by stakeholders in the precious metals industry. As the functionality of the system grows and more data is shared via the blockchain, Skuchain’s data sharing solutions will allow counterparties to maintain granular control over the privacy of sensitive information.
ECO represents an important achievement by Mitsubishi Corporation RtM Japan as a leader in the creation of cutting-edge solutions. The announcement said that Skuchain was honored to have been the company’s blockchain partner towards this achievement.
What the Leaders Had to Say
Commenting on the issue, the founder and CEO of Skuchain, Srinivasan Sriram, said that ECO was a major breakthrough in the use of blockchain technology in enterprise transactions. He noted that it took the determination, vision, and scale of Mitsubishi Corporation RtM Japan to actualize the platform. He added that Skuchain was eager to see the transformative effect of the EC3 platform on businesses while supporting their long-term goals.
The General Manager of New Business and DX Office in Mitsubishi Corporation RtM Japan, Takehito Nagashima, had equally positive sentiments. He said that ECO was a new challenge for the company to create a digital network that would be shared with its customers. Mr. Nagashima noted that trade verification was the first step of what they planned to accomplish with ECO. He said that the platform would allow them to offer a new technology solution to its customers.
The use of the blockchain has been growing in the past few years. While most of the projects a year or two ago were mostly pilot projects, many companies have begun to roll out company-wide blockchain-powered solutions. With the use of blockchain technology, it will help to make various industries, such as the mineral trading sector in this case, more efficient. The result is that the blockchain could help to speed up the recovery of the global economy.