Home News BMW will use blockchain for tracking cobalt origins

BMW will use blockchain for tracking cobalt origins

BMW concern is said to conclude a contract with little-known UK-based Circulor blockchain startup, thus joining the general move to avoid using “unethical” cobalt in goods production, as reported by Reuters on March 5.

The world’s largest supplies of cobalt come from the Democratic Republic of Congo, where some of it is mined in so-called ‘artisanal’ mines through the use of child labor. According to Douglas Johnson-Poensgen, the Circulor‘s CEO, the blockchain solution offered by his startup company will ensure the sustainable ‘clean’ cobalt supply chain for BMW.

“We believe it makes economic sense to start with sources that aren’t a problem. Once the system is proven and operating at scale, one can tackle the harder use cases like artisanal mines,” – Johnson-Poensgen noted.

At the moment, there is little information available on this alleged partnership which is yet to be officially confirmed by BMW.

Meanwhile, other automotive giants show interest in blockchain too. Latest examples include the successful implementation of blockchain technology by Porsche and Daimler AG, the latter having recently launched its own cryptocurrency.