Worldwide Operations With Gold Bullions To Be Carried Out On Blockchain
The London Bullion Market Association (LBMA), the world’s leader of the gold operations market, will establish norms for monitoring gold transactions by employing blockchain.
Also a special committee to approve and control tech providers will be established.
Monitoring the movement of gold from mining to acquisition can prevent it from theft, illegal sale, trafficking, and use for the purpose of fraudulent transactions and the terrorism financing.
In order to develop and implement distributed ledger technology (DLT), in March 2018, the LBMA leadership conducted a poll among its members on how to monitor gold transactions and prevent thefts more effectively. LBMA got 26 proposals, including recommendations from tech startups, inclusive of IBM, 20 of which are based on the DLT. Supplier selection is scheduled for 2019.
In 2017, wholesale gold trading through five controlled LBMA banks in London reached $6.7 trillion. The volume of gold reserves in London is about 8,000 tons of gold bullions.
As previously reported, a public opinion poll in the capital of Great Britain showed that every eighth investor working in London made their capital on digital assets such as bitcoin and ether. Experts stress that young investors intend to follow the example of early bitcoin users who have managed to obtain big income on digital assets.