While commodity finance players have been rocked by the effects of Covid-19, the oil price crash and fraud cases in Singapore, business is reportedly booming for blockchain platforms that target the sector. But to what extent can these technology solutions combat fraud, and will the decision by key banks to limit their exposure, or even exit commodity finance altogether, limit their potential to reform the industry? Felix Thompson reports.
From the large banks left exposed to fraud in Singapore to the smaller traders left struggling to access financing, various players felt the pinch in the commodity finance sector last year.