Energy Data Provider S&P Global Platts to Use Blockchain

S&P Global Platts will deploy a blockchain platform for sharing oil inventories in the United Arab Emirates (UAE)
23 February 2018   614

S&P Global Platts’ network will allow market participants to submit data on oil storage on a weekly basis to the UAE's Fujairah Oil Industry Zone (FOIZ). It will be the first real-world products utilizing blockchain tech in the oil industry.

According to Mamdouh Malek Azizeh, commercial director of Fujairah Oil Terminal FZC, the blockchain will allow FOIZ terminal operators to deliver their inventory data in a "more efficient and secure environment".

As part of our ongoing commitment to digital transformation in the energy sector and delivering innovative solutions, we are excited about the opportunity to engage with market participants to discuss ways of deploying this technology more broadly to help improve efficiency and manage risk in a secure environment.

James Rilett

Platt's senior director of innovation and digital strategy

He also stated that the "full blockchain deployment" is a first for the oil markets.

S&P Global Platts informed about its plan after other companies have revealed projects aimed to bring blockchain's potential to the oil industry. Previously, IBM announced the development of a blockchain crude oil trade finance platform in March 2017. In the same month, Dutch bank ING informed that it had piloted an oil trading platform built with ethereum.

Bakkt to be Launched in December

It is also reported that Goldman Sachs does not plan to create custodial cryptocurrency solutions based on the Bakkt infrastructure
19 October 2018   39

The expected launch of the Bakkt will take place on December 12 of this year. It is reported by The Block, citing informed sources.

Also, the material states that the investment bank Goldman Sachs does not plan to create custodial cryptocurrency solutions based on the Bakkt infrastructure. At the same time, the bank is considering the possibility of trading futures on a new platform.

In a recent Fortune interview with Bakkt, Kelly Lofler said that the cryptocurrency market is on the verge of a revolution comparable in size to the one that occurred on the energy market in the early 2000s.

Greater institutional participation in the digital asset markets requires secure and regulated custody solutions. We are impressed by BitGo’s product, unique services, and the management team. We view our investment in BitGo as an exciting opportunity to contribute to the evolution of this critical market infrastructure.

Rana Yared

Managing director, Goldman Sachs’ Principal Strategic Investments group

Bakkt is a cryptocurrency unit of the Intercontinental Exchange (ICE), which is the operator of the New York Stock Exchange. Giants such as Microsoft and Starbucks are taking part in creating of the new project, which is positioned as an “ecosystem for digital assets”.

The new platform will offer deliverable bitcoin futures to the market (unlike the settlement contracts for CBOE and CME, these are based on the underlying asset). The platform will support multiple fiat currencies.