The International non-governmental organization, the World Economic Forum (WEF), has dedicated its existence to improving the state of the world via public and private cooperation. Continuing in this task, WEF has now unveiled a program dubbed the mining and metals blockchain initiative, which aims to promote responsible sourcing and sustainability practices by utilizing blockchain technology.
WEF Mining and Metals Blockchain Initiative
The mining and metals blockchain initiative will take up several tasks. Such tasks include experimentation, design, and deployment of blockchain solutions geared towards boosting sustainable practices in the mining industry. WEF has partnered with seven mining and metal companies from different parts of the world. These firms include the Eurasian Resources Group, Antofagasta Minerals, Klöckner & Co., Glencore International AG, Tata Steel Ltd., Minsur SA and Tracr.
Together, they will work hand-in-hand with WEF to create and deploy a joint proof of concept. This in turn forms part of an inclusive blockchain platform suitable for their goals. Working together with companies in the mining industry allows WEF to develop industry-specific solutions. This l that will boost trust, enhance corporation, and fix the issue of inefficient standardization in the mining sector.
Speaking on this partnership, Ivan Arriagada, CEO of Antofagasta Minerals had this to say:
“We hope this collaboration and pilot will give us practical examples of how blockchain can increase efficiency of the supply chain management and improve interoperability.”
Open to New Ideas
In addition, WEF has also said that it expects international regulators and NGOs to proffer suggestions and ideas. They are currently seeking collaborative development of blockchain solutions for the mining industry. Due to this development, industry experts now believe that the goal here is to build an industry-wide blockchain system. This will help advance transparency, efficiency, and sustainability. According to reports, the members of the mining and metals blockchain initiative will study governance issues. This includes creating case studies and establishing a working group. In addition, this collaboration focuses on critical areas like supply chain transparency and carbon emission tracking.
Speaking on this matter, Jörgen Sandström, Head of the Mining and Metals Industry at the WEF stated that:
“Material value chains are undergoing profound change and disruption. The industry needs to respond to the increasing demands of minerals and materials while responding to increasing demands by consumers, shareholders, and regulators for a higher degree of sustainability and traceability of the products.”
Seeking Industry-Wide Trust
As stated earlier, the World Economic Forum has teamed up with seven firms to realize its mining and metals blockchain initiative. Three of these mining firms are listed as one of the top 10 mining and metals firms in the world. As these firms adopt the WEF blockchain initiative, a larger share of the market will begin to operate using blockchain technology. In turn, this will continue improving transparency and trust across the board.
WEF agrees with this summation. Furthermore, a spokesperson for the organization stated that:
“The group will look to develop joint proof-of-concepts for an inclusive blockchain platform. Over time, this could help the industry collectively increase transparency, efficiency, or improve reporting of carbon emissions.”