Blockchain Backed Legalized Cannabis Trading- A Canadian company has seen a blockchain opportunity in newly legalized cannabis. DMG Blockchain Solutions (DMG) wants to track the cannabis supply through blockchain. Similarly, it would initially start this in Canada and then expand to all over the world.
Canada legalized cannabis on October 17th, 2018. DMG is seeking to launch a distributed platform for cannabis trading and hyperledger permissioned blockchain to make it safer for users.
“The legal cannabis industry is brand new. As a result producers, distributors, retailers and regulators are waiting for a solution. As they don’t have years of experience with existing technology.”
This is made to accomplish privacy of users’ data, DMG is using its own proprietary technology along with hyperledger blockchain.
“This is one of the reasons we have partnered with a globally known, respected and trusted technology partner, as they have the experience integrating platforms with existing systems and software.”
Current cannabis regulation in Canada is very tight in terms of licensing. DMG Blockchain Solutions seeks to enforce these regulations with its hyperledger blockchain. Till now marijuana was legal in Canada only for medical purposes since 2011.
DMG Solution’s hyperledger blockchain tracks not only cannabis but all of its side products like cannabis edibles, oils, and other products. This makes sure that companies producing marijuana products fall under government regulations and are safe for users. Government regulatory bodies have complete authorization to DMG’s blockchain platform.
“Companies have been approved by the Canadian government to cultivate and sell the product. And our intention is to have all industry participants on this blockchain. Similarly, want assurances that product is from legal sources and that the product is safe for consumers. This is why all stakeholders will want to participate in our blockchain – to access these markets,”
Blockchain Backed Legalized Cannabis Trading-The Canadian cannabis industry accounts for $23 billion. And global cannabis market accounts for nearly $500 billion.
“Canada is being positioned to be the global supplier of cannabis, and our blockchain platform can help enable this by way of product traceability for rapid recalls, ensuring a legal source of the product, and enhancing product safety, as well as facilitating and automating legal and tax compliance,”
Already DMG has started its collaborative discussions with cannabis industry major companies, licensed producers, quality assurance labs, retail distributors and government regulators.
The main objective of DMG is to ensure transparency in trading and achieve quick product traceability. DMG seeks for a continuous and genuine information flow among licensed producers, distributors, regulators, retailers, shippers, along with reporting and auditing systems.
DMG combines every bit of the information from all the industry players on its hyperledger blockchain and gives access to authorized producers, suppliers and end users. The smart contract within the trading system helps to detect any fraudulent activities, false products and illegal activities which can be enforced by the government.