Volkswagen Group enters sustainable blockchain network
The German auto company, Volkswagen Group, has joined a network that targets improving sustainability and traceability in mineral supply chains.
The firm has joined the initiative, which will use blockchain technologies to enable the project, edie.net reported.
IBM, the US-based technology company, launched the network in January this year, with companies such as Ford, LG Chem, Huayou Cobalt, and RCS Global having already joined.
IBM offers its blockchain platform whilst the Linux Foundation’s Hyperledger Fabric’s tracking software is used to trace cobalt used for electric vehicle (EV) batteries.
“Traditionally, miners, smelters and consumer brands had to rely on third-party audits and laborious manual processes to establish compliance with generally accepted industry standards,” the Volkswagen Group remarked in a statement.
“Coupled with these assessments, blockchain technology offers a network of validated participants and immutable data that can be seen in real-time.”
The supply chain processes will be held against the RCS Global Group’s responsible sourcing standards, developed by the Organisation for Economic Cooperation and Development (OECD).
“With the growing demand for cobalt, this group has come together with clear objectives to illustrate how blockchain can be used for greater assurance around social responsibility in the mining supply chain,” commented Manish Chawla, General Manager for Global Industrial Products and Industry at IBM.
“The initial work by these organisations will be used as a precedent for the rest of the industry to be further extended to help ensure transparency around the minerals going into our consumer goods.”