Volvo Buys Stake in Blockchain Firm Circulor to Monitor Cobalt Supply Chain
Circulor, a blockchain firm focused on traceability, has received investment from Volvo Cars Tech Fund. Volvo had earlier used the company’s tracking platform to monitor cobalt used in its batteries.
A major portion of cobalt mining is carried out in Africa under dubious environment and allegedly involves child labor. In a time when consumers wish to avoid purchasing goods made in a controversial manner, a dependable supply chain tracking system has become a necessity to have a clear understanding of how and where the raw materials and finished goods are produced.
Volvo also intends to utilize Circulor’s platform to track greenhouse emissions. As per Martina Buchhauser, chief procurement officer at Volvo, the collaboration will pave way for better sustainability.
“We are committed to an ethical supply chain for our raw materials and our partnership with Circulor has been instrumental in that regard. By supporting Circulor’s ongoing development we can expand the use of blockchain technology in our operations and contribute to a more sustainable business.”
Along with Volvo, three more investors namely SYSTEMIQ, Total Carbon Neutrality Ventures and Plug & Play participated in funding process.