The Saudi Arabian Oil Company, more commonly known as Saudi Aramco, is a petroleum and natural gas company with headquarters in Dhahran in the kingdom of Saudi Arabia. Saudi Aramco is the latest oil company to strike a partnership with Vakt. The corporation invested five million dollars in Vakt blockchain technology. This investment has been targeted toward further improving the platform with an eye on expanding into the Asian market. Aramco Trading, a division of the oil giant, will also utilize the Vakt platform for trading and investing.
The system that VAKT uses to conduct physical energy transactions handles everything from trade entry through the final settlement. The platform reduces paper-based procedures, giving buyers and sellers a single source. The blockchain technology that Saudi Aramco has invested in will be used to revamp and streamline business procedures with the overall objective of increasing output and cutting expenditures in several different divisions.
Possibility To Improve Oil Trade Efficiency
Transactions involving physical energy are being managed by the Vakt platform from the time they are entered into the trading system until they are finally settled. VAKT has shown that its technology has the capacity to automate a presently manual process. Vakt is a decentralized digital marketplace that uses blockchain technology to provide a trusted shared ledger for all parties involved, buyers and sellers. An immutable and decentralized audit trail provides an additional layer of security for the whole system. Thus, all parties associated with a transaction have access to the same reliable data.
How Will Future Technological Advancements Impact Saudi Aramco’s Energy Business?
Aramco has consistently invested in developing better software for process industry clients to quicken the pace at which they get insights, take action, and influence output and business results. The Seattle-based business Seeq, which specializes in industrial IoT, just secured $24 million in a Series B fundraising round. Saudi Aramco, backed by other existing investors, spearheaded this funding round. Aramco’s next significant statement was that it would invest in Vakt. Saudi Aramco Energy Ventures aims to develop and apply technology within Aramco’s operations, and in this respect, VAKT is an outstanding option for consideration.
Blockchain Investment By Saudi Aramco – Why Is It Critical?
To expand the reach of its blockchain solutions, Aramco has established a corporate blockchain platform developed in partnership with IBM. Aramco’s all-encompassing approach to adopting blockchain technology consists of four streams:
- Developing in-house solutions
- Using existing resources
- Participating in industry associations
- Funding startup ventures
Blockchain technology has the potential to improve and optimize operations in many different areas, including cyber security, data resilience, confidentiality, data integrity, and the reduction of fraud. For Aramco, success means being the world’s most digitally advanced energy company. Consequently, the company is investing heavily in cutting edge technologies.
