On 9th of October, Mr. Steve Shi, co-founder of CBX attended the London Metal Exchange (LME) annual dinner “Our team has a very rich experience from traditional trading industry, we want to use that expertise alongside the experience of our parent’s company INBlockchain to introduce Blockchain and it’s benefits to the traditional finance industry,” said Steve Shi. This event attracts thousands of metals market participants from over 190 firms around the world, including metal producers, traders, and financial firms.
Former JPMorgan Chase & Co. executive, Blythe Masters was invited to give her thoughts on the future of the Blockchain industry, she predicts “tens if not hundreds of Blockchain projects are coming to commodity markets”. She told the audience “Blockchain facilitates the exchange of critical trade documents, bills of lading, letters of credit between connected users securely and confidentially,” Masters said. “Clearly the indications for metals mining, shipping, storage, and logistics industries are nontrivial.”
Blythe Masters, CEO of Digital Asset Holdings
Blythe Masters, the wunderkind who made managing director at JPMorgan at 28, left the firm to become CEO of her own New York tech startup Digital Asset Holdings, she wants to use blockchain as a way to provide solutions to supply chains.
The virtual ledger technology underlying cryptocurrencies such as Bitcoin and Ethereum promises greater confidentiality, fewer paper exchanges, better governance, and a boost in productivity. “Supply chains are notoriously complex and inefficient,” Masters said during the speech, she also commented that “Blockchain technology has the potential to impact mining industry supply chains profoundly”.
London Metal Exchange (LME) annual dinner at Grosvenor House Hotel, Park Lane, London, UK.
The technology is finding a natural home in the commodity markets, where it’s seen as a means to track material through supply chains in oil, diamonds, and gold. Banks such as Standard Chartered Plc, which was involved in a scandal for forged commodity-storage receipts, have said they’re looking at the technology to address the risk of multiple-invoice fraud. This type of situations can be avoided with Blockchain technology.
This event was part of LME week, which is an annual gathering of the global metals community organized in the United Kingdom. The London Metal Exchange is the world centre for the trading of industrial metals. LME is part of HKEX Group and brings together participants from the physical industry and the financial community to create a robust and regulated market, the majority of all non-ferrous metal futures business is transacted on LME.
More than 30% of the electronic volume for the ferrous metal department is created by Steve’s team. The Exchange provides producers and consumers of metal with a physical market of last resort and, most importantly of all, with the ability to hedge against the risk of rising and falling world metal prices.
“With the hard work of all of our market makers and liquidity providers, the LME ferrous department volume has increased more than 80% compared to last year,” said the Product Manager of LME ferrous department. Which Steve replied. “I’m looking forward to supporting more products LME needs.”
From left to right, Steve Shi, Co-founder of CBX, alongside the executive board of Hong Kong Exchanges and Clearing (HKEX Group)