Vancouver, B.C., November 8, 2021. MineHub Technologies Inc. (TSXV: MHUB, OTCQB: MHUBF) (“MineHub” or the “Company”) is pleased to announce the launch of its Trade Finance network application, available to all platform users. The Trade Finance application is the first in a series of network applications MineHub will be launching in the coming months.
MineHub Trade Finance is a network application, bringing visibility, security and efficiency to financiers of commodity transactions, whilst digitising administration and communication between lenders and financiers. Integrated with the core MineHub platform, this service is an additional offering that further increases the value of the MineHub platform to its users.
Arnoud Star Busmann, CEO at MineHub and formerly of ING Bank, the world’s largest commodity bank, said:
“Having had multiple years of experience with the complexity and key risk drivers of commodity trade finance made this application the highest priority solution on our roadmap. The value proposition is very clear. Blockchain technology, and solutions like MineHub Trade Finance are likely to forever change the ways of working in the commodity trade finance industry with a key goal to unlock access to essential working capital critical for the world economy”.
MineHub is an open, enterprise-grade platform for digital trade, bringing transparency, resilience and responsibility to mining and metals supply chains. The platform connects the many parties involved in physical commodity transactions in a digitally integrated workflow by operating on the basis of shared information, secured by a global enterprise blockchain network. This provides greater efficiency, security and transparency relative to the current paper-based and manual processes.
Banks have been decreasing their exposure to commodity trade finance and the Asian Development Banks estimate that the global trade finance gap is already at $1.7 trillion. Some of the supply chain disruptions the world is witnessing are a direct consequence of a lack of trade finance liquidity. At the same time, institutional investors and alternative lenders have a surplus in capital looking for yield, and are looking for channels to get exposure to commodity trade finance as an attractive asset class. Now MineHub is opening up that channel.
The MineHub trade Finance application connects borrowers to their financiers via a secure communication channel to request finance, receive and share relevant documents and information authenticated by third parties like service and logistics providers. The service results in significant cost and time savings for both the lender and the borrower, whilst removing many of the currently present opportunities for fraud and errors.
The application enables financiers to be given access to the real-time transaction data set of each transaction, giving them a direct line of sight to relevant events, developments, collateral and assets they are financing. The origin and provenance of data and documents are recorded in an immutable audit trail secured by blockchain technology. Users can verify the authenticity of key documents like inspection reports, invoices and warehouse receipts, and improve control over key risk events like collateral releases and assignments. In addition, users can immediately verify compliance of transactions such as ESG lending criteria.
Key benefits include:
- Save on administration costs and time:reduce need for sending and reconciling documents across multiple channels; maintain all finance administration and communication in one easy to access location, organised per transaction; information is available in real-time.
- Reduce opportunities for fraud and errors: by providing financiers with digital eyes – for example, with direct and real-time visibility of transactions and collateral, the incentive and opportunity for fraud is dramatically reduced; ability to instantly verify authenticity of documents is transformational.
- First to act: events and developments that increase risk or affect the position of the financier are immediately visible, enabling immediate action to mitigate the risk.
- Improve access to capital: by automating risk controls and reducing complexity of administration, more financiers and insurers will be able to get exposure to this profitable financial service which is also essential for all supply chains to keep working.
MineHub is also integrating with partners to further increase the breadth and depth of trade finance services that users can access via the MineHub platform. For example, the recently announced partnership with Contour will provide MineHub users with access to electronic Letters of Credit.
About MineHub Technologies
MineHub is an open, enterprise-grade platform for digital trade, bringing efficiency, security and responsibility to mining and metals supply chains. MineHub connects the many parties involved in a physical commodity transaction in a digitally integrated workflow, operating on the basis of shared information secured by a global enterprise blockchain network. Users of MineHub are in full control of their supply chains, enabling them to optimize their use of resources, respond better and faster to customer needs and have confidence in the resilience, security and compliance of their operations.
Arnoud Star Busmann
CEO, MineHub Technologies Inc.
For further information regarding MineHub, please email info@Minehub.com or visit our website at www.minehub.com
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Cautionary Note Regarding Forward-Looking Statements
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains statements that are considered “forward-looking information” within the meaning of applicable Canadian securities legislation (“forward-looking statements”) with respect to MineHub including, but not limited to, statements with respect to MineHub’s future operational plans, the timing of such plans and anticipated customers. Forward-looking statements are statements that are not historical facts are generally, but not always, identiﬁed by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although MineHub believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, are subject to risks and uncertainties, and actual results or realities may differ materially from those in the forward-looking statements. Such material risks and uncertainties include, but are not limited to, the Company’s ability to raise sufficient capital to fund its operations, applications and for general working capital purposes, changes in economic conditions or ﬁnancial markets, changes in laws or regulations that could have an impact on the Company’s operations, dependence on its key management personnel and market competition. Other risk factors are identified in the Company’s prospectus dated August 18, 2021, available on the Company’s SEDAR profile at www.sedar.com. There may be other risk factors not presently known that management believes are not material that could also cause actual results or future events to differ materially from those expressed in such forward-looking statements.
Although the Company has attempted to identify risk factors that could cause actual actions, events or results to differ materially from those disclosed in the forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Also, many of the factors are beyond the control of the Company. Accordingly, readers should not place undue reliance on forward-looking statements or information. The forward-looking information is made as of the date included herein, and the Company assumes no obligation to publicly update or revise such forward-looking information. Forward-looking statements are based on the reasonable beliefs, estimates and opinions of MineHub’s management on the date the statements are made. However, except as required by law, the Company undertakes no obligation to update these forward-looking statements in the event that management’s beliefs, estimates or opinions, or other factors should change.