A blockchain-based platform for crude oil traders is now live, marking the first time that the digital ledger technology is being used for real-time transactions by large companies in the industry.
London-based Vakt launched its digital trading platform early Thursday morning. Blockchain is a digital ledger technology where publicly recorded transactions are made in bitcoin or other cryptocurrencies.
Although the initial launch is limited to trade North Sea crude oil contracts, Vakt plans to open the platform to U.S. crude oil pipelines and refined product barges in Northern Europe in early 2019.
Shell & BP Are Now Selling Crude Oil on the Blockchain
Vakt is first to market of several pilot schemes which have been in development, which Bitcoinist reportedon back in January 2018. It comes courtesy of a consortium of oil majors, global energy traders, and investment banks. These include BP, Shell, Mercuria Energy Group, ABN Amro, ING, and Gunvor Group