[ad_1]<div _ngcontent-c14 = "" innerhtml = "
Chaos, mesh network, Blockchain concept on dirty backgroundGetty
Understanding the true potential of blockchain technology becomes clear only when it is applied to the resolution of a real global problem.
As drivers turn off their gas-powered electric vehicles, a strong demand for cobalt has emerged, a mineral used in lithium-ion batteries to power a wide range of products such as laptops, mobile devices and electric cars.
The typical electric car battery requires up to 20 pounds of cobalt and a standard laptop requires about an ounce of ore. According to a relationship from Morgan StanleyBy 2026, the demand for cobalt should multiply by eight times, especially for its use in electric vehicles and consumer devices.
Yet the high demand for cobalt has shed light on a great concern surrounding the immoral production of the mineral. Most of the world's cobalt comes from the Democratic Republic of the Congo (DRC), a country beset by political instability, legal opacity and child labor in its mineral mines.
However, over 60% of the world supply of cobalt is mined in the "copper belt" of the south-eastern provinces of the DRC. Second& nbsp; Darton Commodities Ltd., a London-based research company specializing in cobalt, & nbsp;at least 20% of this offer is extracted from the premises, like children. The rest is produced by industrial mines.
Obviously, attempts have been made to trace the cobalt supply chain to ensure that companies do not use infant cobalt in lithium ion batteries. However, many challenges remain, as a number of informal mining sites should be monitored and accurate electronic data should be transmitted from remote areas, all within the confines of a lawless country.
A borderless solution: Blockchain technology
To ensure responsible sourcing of industrially extracted cobalt, Ford Motor Company has joined forces with Huayou Cobalt, IBM, LG Chem and RCS Global to use blockchain technology to track and validate minerals of ethical origin.
We remain loyal to transparency through our global supply chain, said Lisa Drake, vice president of global purchasing and powertrain operations for Ford Motor Company. Working with other leading industries in this network, our intent is to use cutting-edge technology to ensure that the materials produced for our vehicles will help meet our commitment to protecting human rights and the environment. . "
Built on IBM Blockchain Platform and powered by the Linux Foundation's Hyperledger Fabric, the project seeks to demonstrate how the materials in the supply chain are produced, exchanged and processed responsibly. The overall goal is to create an open and industrial network to track and validate minerals and other materials for the automotive industry and consumer electronics.
With the growing demand for cobalt, this group has joined clear objectives to illustrate how the blockchain can be used for greater assurance of social and environmental sustainability in the mining chain, said Manish Chawla, general manager of the global manufacturing industry. industrial products for IBM. The initial work of these organizations will be used as a precedent for the rest of the industry to be further extended to help ensure transparency around the materials that enter our consumer goods ".
The group, which includes participants at each major stage of the supply chain, from my end user, will begin with a cobalt-focused pilot project, which is already underway and should be completed by half of this issue. ;year. Following this, organizations will explore the creation of a blockchain platform open to the entire industry that could ultimately be used to track and validate a range of minerals used in many consumer products.
From mine to the market: Blockchain in action
A simulated procurement scenario was demonstrated to show the value and power of this pilot. The scenario begins with the cobalt produced in the Huayou industrial mine in the Democratic Republic of the Congo. The ore will then be tracked as it travels from the mine and foundry, to the LG Chem cathode plant and the South Korean battery factory, and finally to a Ford plant in the United States.
An immutable control trail will be created on the blockchain, which will include the corresponding data to provide evidence of cobalt production from the mine to the final manufacturer. Finally, participants in the network will be validated against responsible procurement standards developed by the Organization for Economic Cooperation and Development (OECD).
As a network validator, we will bring our extensive experience to work on responsible sourcing at all stages of the supply chain at all times. Our collective effort enables participating companies to move from man-led risk management to a technology-driven impact generation in a highly efficient and cost-effective way. By increasing critical human expertise and experience, this is a demonstration of technology for good, empowering vulnerable communities and protecting the environment. We are proud to be a member of the network, "said Dr. Nicholas Garret, CEO of the RCS Global group.
Traditionally, miners, foundries and consumer brands relied on third-party audits to establish compliance with generally accepted industry standards. Along with these assessments, blockchain technology offers a network of validated participants and immutable data that will be seen by all authorized network participants in real time. In addition, blockchain can also be used to help network participants meet their compliance requirements. & Nbsp;
According to Chawla, the key point is to look at this project as the first mineral supply chain in the world.
"The intent of this is to become an open and democratic blockchain network open to all networks of supply chains composed of consumer brands that feel the pressure to adhere to the guidelines established by the OECD".
Furthermore, while the initial focus of this blockchain project is on large-scale miners (LSM), an important goal of the group is to help increase transparency in craft and small-scale mining (ASM) activities. This will allow these operators to sell their raw materials in the global market while meeting the internationally ratified liability requirements.
The network can help ASM operators collaborate with due diligence data providers and ultimately join a blockchain-based network of validated participants. The pilot project will also explore the use of incentives or financial benefits for ASMs and their local communities affected by the mining sector.
"We want to enable small businesses that follow responsible mining practices to enter a network that guarantees a responsible or better cobalt market.The long-term intent is to encourage and allow a platform that allows a 39; whole industry to participate in a global economy, while the world moves towards electric devices and vehicles, "said Chawla.
In addition, blockchain supply chain management technology can help drive commercial finance and logistics, reducing the risk of fraud. For example, MineHub Technologies, Inc. and IBM today announced a partnership to use blockchain technology to help improve operational efficiency, logistics and funding to reduce costs in the supply chain of high-value mineral concentrates, from mine to the final buyer .
The world market for $ 1.8 trillion mines and metals has traditionally suffered from inefficiencies due to manual, paper-based processes and a lack of transparency among supply chain participants. Blockchain technology helps solve this problem by providing a shared ledger to create a unique, real-time view of transactions and data throughout the supply chain that can be seen by all authorized participants.
Challenges to overcome
Ultimately, there are plans to extend this pilot beyond the cobalt and to trace the supply chain of other metals and raw materials for batteries, including tantalum, tin, tungsten and gold. The solution-focused industries include the automotive, aerospace and defense industries and consumer electronics. There is also the idea of setting up a board of directors representing members of these sectors to help further ensure the growth, functionality and commitment of the platform to democratic principles.
However, the challenges remain. According to Chawla, one of the main challenges is to verify where these minerals come from. For example, once the minerals are processed and other sources of cobalt are moved along the supply chain, the supply chain must be able to verify the evidence that each mineral comes from certain places.
"As various mineral sources mix, this becomes difficult for the supply chain, but as a first step with our pilot blockchain we are encouraging companies to follow the OECD guidelines. objective, we will introduce technological solutions to provide better verification through the supply chain ".
The other challenge is that organizations collaborate with local government agencies to make this more a network of brands, so that illicit practices such as child labor are raised from the supply chain perspective. Members can therefore address these challenges.
From the blockchain point of view, the purpose of this network is to help improve transparency, so we can focus on the fact that the minerals entering the platform all come responsibly, said Sai Yadati, partner for North America IOT, Analytics and Blockchain for IBM. The overall aim is to achieve a positive positive social impact by tackling the root cause of the problem and by encouraging small businesses to be part of this network. This will ensure responsible sourcing of all the minerals that go on and we are excited to start the pilot project with Ford Motor Company and other leading organizations. "
& Nbsp;
">
Chaos, mesh network, Blockchain concept on dirty backgroundGetty
Understanding the true potential of blockchain technology becomes clear only when it is applied to the resolution of a real global problem.
As drivers turn off their gas-powered electric vehicles, a strong demand for cobalt has emerged, a mineral used in lithium-ion batteries to power a wide range of products such as laptops, mobile devices and electric cars.
The typical electric car battery requires up to 20 pounds of cobalt and a standard laptop requires about an ounce of ore. According to a relationship from Morgan StanleyBy 2026, the demand for cobalt should multiply by eight times, especially for its use in electric vehicles and consumer devices.
Yet the high demand for cobalt has shed light on a great concern surrounding the immoral production of the mineral. Most of the world's cobalt comes from the Democratic Republic of the Congo (DRC), a country beset by political instability, legal opacity and child labor in its mineral mines.
However, over 60% of the world supply of cobalt is mined in the "copper belt" of the south-eastern provinces of the DRC. Second Darton Commodities Ltd., a London-based research company specializing in cobalt, at least 20% of this offer is extracted from the premises, like children. The rest is produced by industrial mines.
Obviously, attempts have been made to trace the cobalt supply chain to ensure that companies do not use infant cobalt in lithium ion batteries. However, many challenges remain, as a number of informal mining sites should be monitored and accurate electronic data should be transmitted from remote areas, all within the confines of a lawless country.
A borderless solution: Blockchain technology
To ensure responsible sourcing of industrially extracted cobalt, Ford Motor Company has joined forces with Huayou Cobalt, IBM, LG Chem and RCS Global to use blockchain technology to track and validate minerals of ethical origin.
We remain loyal to transparency through our global supply chain, said Lisa Drake, vice president of global purchasing and powertrain operations for Ford Motor Company. Working with other leading industries in this network, our intent is to use cutting-edge technology to ensure that the materials produced for our vehicles will help meet our commitment to protecting human rights and the environment. . "
Built on IBM Blockchain Platform and powered by the Linux Foundation's Hyperledger Fabric, the project seeks to demonstrate how the materials in the supply chain are produced, exchanged and processed responsibly. The overall goal is to create an open and industrial network to track and validate minerals and other materials for the automotive industry and consumer electronics.
With the growing demand for cobalt, this group has joined clear objectives to illustrate how the blockchain can be used for greater assurance of social and environmental sustainability in the mining chain, said Manish Chawla, general manager of the global manufacturing industry. industrial products for IBM. The initial work of these organizations will be used as a precedent for the rest of the industry to be further extended to help ensure transparency around the materials that enter our consumer goods ".
The group, which includes participants at each major stage of the supply chain, from my end user, will begin with a cobalt-focused pilot project, which is already underway and should be completed by half of this issue. ;year. Following this, organizations will explore the creation of a blockchain platform open to the entire industry that could ultimately be used to track and validate a range of minerals used in many consumer products.
From mine to the market: Blockchain in action
A simulated procurement scenario was demonstrated to show the value and power of this pilot. The scenario begins with the cobalt produced in the Huayou industrial mine in the Democratic Republic of the Congo. The ore will then be tracked as it travels from the mine and foundry, to the LG Chem cathode plant and the South Korean battery factory, and finally to a Ford plant in the United States.
An immutable control trail will be created on the blockchain, which will include the corresponding data to provide evidence of cobalt production from the mine to the final manufacturer. Finally, network participants will be validated against responsible procurement standards developed by the Organization for Economic Cooperation and Development (OECD).
As a network validator, we will bring our extensive experience to work on responsible sourcing at all stages of the supply chain at all times. Our collective effort enables participating companies to move from man-led risk management to a technology-driven impact generation in a highly efficient and cost-effective way. By increasing critical human expertise and experience, this is a demonstration of technology for good, empowering vulnerable communities and protecting the environment. We are proud to be a member of the network, "said Dr. Nicholas Garret, CEO of the RCS Global group.
Traditionally, miners, foundries and consumer brands relied on third-party audits to establish compliance with generally accepted industry standards. Along with these assessments, blockchain technology offers a network of validated participants and immutable data that will be seen by all authorized network participants in real time. In addition, blockchain can also be used to help network participants meet their compliance requirements.
According to Chawla, the key point is to look at this project as the first mineral supply chain in the world.
"The intent of this is to become an open and democratic blockchain network open to all networks of supply chains composed of consumer brands that feel the pressure to adhere to the guidelines established by the OECD".
Furthermore, while the initial focus of this blockchain project is on large-scale miners (LSM), an important goal of the group is to help increase transparency in craft and small-scale mining (ASM) activities. This will allow these operators to sell their raw materials in the global market while meeting the internationally ratified liability requirements.
The network can help ASM operators collaborate with due diligence data providers and ultimately join a blockchain-based network of validated participants. The pilot project will also explore the use of incentives or financial benefits for ASMs and their local communities affected by the mining sector.
"We want to enable small businesses that follow responsible mining practices to enter a network that guarantees a responsible or better cobalt market.The long-term intent is to encourage and allow a platform that allows a 39; whole industry to participate in a global economy, while the world moves towards electric devices and vehicles, "said Chawla.
In addition, blockchain supply chain management technology can help drive commercial finance and logistics, reducing the risk of fraud. For example, MineHub Technologies, Inc. and IBM today announced a partnership to use blockchain technology to help improve operational efficiency, logistics and funding to reduce costs in the supply chain of high-value mineral concentrates, from mine to the final buyer .
The world market for $ 1.8 trillion mines and metals has traditionally suffered from inefficiencies due to manual, paper-based processes and a lack of transparency among supply chain participants. Blockchain technology helps solve this problem by providing a shared ledger to create a unique, real-time view of transactions and data throughout the supply chain that can be seen by all authorized participants.
Challenges to overcome
Ultimately, there are plans to extend this pilot beyond the cobalt and to trace the supply chain of other metals and raw materials for batteries, including tantalum, tin, tungsten and gold. The solution-focused industries include the automotive, aerospace and defense industries and consumer electronics. There is also the idea of setting up a board of directors representing members of these sectors to help further ensure the growth, functionality and commitment of the platform to democratic principles.
However, the challenges remain. According to Chawla, one of the main challenges is to verify where these minerals come from. For example, once the minerals are processed and other sources of cobalt are moved along the supply chain, the supply chain must be able to verify the evidence that each mineral comes from certain places.
"As various mineral sources mix, this becomes difficult for the supply chain, but as a first step with our pilot blockchain we are encouraging companies to follow the OECD guidelines. objective, we will introduce technological solutions to provide better verification through the supply chain ".
The other challenge is that organizations collaborate with local government agencies to make this more a network of brands, so that illicit practices such as child labor are raised from the supply chain perspective. Members can therefore address these challenges.
From the blockchain point of view, the purpose of this network is to help improve transparency, so we can focus on the fact that the minerals entering the platform all come responsibly, said Sai Yadati, partner for North America IOT, Analytics and Blockchain for IBM. The overall aim is to achieve a positive positive social impact by tackling the root cause of the problem and by encouraging small businesses to be part of this network. This will ensure responsible sourcing of all the minerals that go on and we are excited to start the pilot project with Ford Motor Company and other leading organizations. "
