BHP Group, a large mining company, on Sunday disclosed that it has completed a $14 million iron ore trade. It further mentioned that the trade was completed using a blockchain platform developed by the Canada-based technology company MineHub Technologies.
The company carried out its transaction with China Baowu Steel Group, which is the subsidiary of largest steelmaker of China Baoshan Iron & Steel, better known as Baosteel.
Last month BHP said it was planning to execute a blockchain-based iron ore trade with Baosteel. It is understood that the company has used the blockchain platform to digitally process contract terms, exchange documents, and provide real-time cargo visibility, according to a report from Reuters.
The blockchain implementation comes as a part of its plan to digitize the documentation process in commodities trading.
“The bulk commodity industry needs a digital revolution to reduce physical documentation processes,” BHP sales and marketing officer Michiel Hovers said.
Innovation with blockchain
According to Cointelegraph, Ethereum co-founder Vitalik Buterin revealed that the $92 billion firm was building a decentralized application to track natural resources.
In February 2019, the mining giant also successfully tested blockchain tech in partnership with a Japanese shipping company NYK, the report further added.