Block Commodities: Africa’s Blockchain Value NEX Exchange?
What Is Block Commodities?
Block Commodities is a London based NEX exchange-listed firm whose main focus is to maximize value by use of blockchain. Block Commodities is leveraging on its fertilizer trading business, fertilizer assets and its good relationship in Africa to create a new platform to promote economic growth.
Further, the platform will also create opportunities and empower various African communities. The platform hopes to link up these resources by use of vertical integration of primary industries down to the consumer by use of a blockchain-based supply chain.
The token-based ecosystem will allow sub-Saharan farmers to make profits on their surplus crops and use these profits in the wider ecosystem. The farmers will be compensated in terms of Feed Africa Commodities Eco-System (FACES) tokens. The tokens are built using technology from OST that is a firm that allows branded tokens to be built on open, scalable, and cryptographically auditable side blockchains.
Block Commodities Blockchain Value NEX Exchange Advantages
In the project model, farmers will be able to bring their surplus crops to a warehouse. The crops are then aggregated and sold via a FinComEco-facilitated commodity exchange. Once these crops are sold, the warehouse fees are paid from the sales and the net profit credited to the farmer in form of tokens.
This will mean that African farmers will no longer waste their surplus crops. They will be able to trade them and even request any produce they might need from other farmers. Further, they will deal with each other directly which will do away with intermediaries and ensure transactions are transparent. This will also lower transaction costs.
All the market participants will be incorporated into an efficient ecosystem facilitating the commercial operation of the agricultural production cycle. The pilot project will be launched in Uganda. It will be launched in partnership with Dala and Wala that is a blockchain-enabled financial platform for emerging markets. Block Commodities will later expand the project to other sub-Saharan parts.
Block Commodities will help African countries reclaim the value lost in their agricultural and extractive industries due to the use of inefficient supply and distribution systems. The Africans farmers’ agricultural productivity will increase and the farmers will get better returns for their produce all thanks to Block Commodities.
Block Commodities Partners
To ensure its success, the project block has partnered with FinComEco which is a subsidiary of GMEX Group and also partnered with VIPAholdings which is a leading provider of fertilizer and animal feeds materials in South Africa.
Block Commodities Conclusion
Investors interested in being part of this project can purchase FARMA tokens, which will represent a fractional ownership in the existing infrastructure. The token will be a true asset-backed token. FARMA token holders will get a share of the fees paid by the farmers.
This step will establish the African farmers as future global agricultural producers. Additionally, the use of blockchain technology will improve transparency and efficiency in the agricultural market allowing this market to grow. The use of blockchain technologies and cryptocurrencies in the agricultural produce markets shows that such new technologies represent a pivotal opportunity for emerging markets.