VeChain Enters The Second Phase Of The Project With The Chinese Gas Giant

This April, the VeChain Foundation and Chinese gas giant Shanghai Gas (Group) Co., Ltd. agreed to work together to create the Energy as a Service ecosystem. The latter company is a major player in China. Its registered capital is 4.2 bln yuan (about $592 mln) and occupies about 90 percent of the Shanghai gas market. It is also the largest supplier in China in terms of customer base, storage and transport capabilities.

At the first stage of the project, information on the delivery of liquefied natural gas and information from the storage, showing the quality of liquefied natural gas, was stored on the VeChainThor blockchain. Shanghai Natural Gas is currently planning to start the second phase of the project, according to local Chinese media. For the second phase, it is planned to study the following:

• blockchain integration capabilities;
• promoting energy trade;
• logistics management through research;
• creating new financial opportunities in the energy sector.

Since Chinese President Xi Jinping made a speech last October in which he said that China must “take advantage of the opportunities” that blockchain provides, the country has made tremendous efforts to expand its use of blockchain. It is important to note that the market for blockchain-based energy solutions is growing rapidly. According to experts, by 2025, the value of this market in China will grow to $35 bln.

Image: Medium