Ghana, the West African nation, is adopting blockchain technology in order to thwart rising cases of illegal gold exports and revitalize the gold industry.
According to local media reports, the Ghana government plans to introduce a blockchain-based gold tracking system in order to ensure there is no leakage in gold supply by middlemen. Sammy Gyamfi, acting managing director of Ghana Precious Minerals Marketing Company (PMMC), claimed that the decision needs parliamentary approval.
The government plans to introduce a blockchain-based gold tracking system, according to Sammy Gyamfi who leads the Precious Minerals Marketing Company (PMMC) as its Acting Managing Director.
During his interview with GhanaWeb news portal, the legislative bill recommends establishing a new Gold Board institution responsible for acquiring gold from small-scale miners while creating price controls and countering smuggling activities.
The export of smuggled gold has cost Ghana approximately US$2 billion in annual opportunities for funding national public-development initiatives.
“The current system is failing the country. With this new setup, every licensed miner will be registered in a national database, and every production batch will have a unique digital code. As the gold moves through the chain from miner to buyer to exporter, each transaction will be recorded instantly and will be recorded instantly on a blockchain platform, he stated.
The bill enables the gold board to take exclusive control of gold purchases from licensed small-scale miners. This movie will establish order for an industry which has experienced disorganized oversight through multiple agencies involved in duplicating duties.
The successful approval of this bill will represent the first time blockchain technology receives nationwide implementation across the mineral sector of Ghana.
Also read : Robinhood to launch banking perks with 4% APY for Gold users
