Due diligence on commodity counterparty origin

asked by u/doyun74 · 2d · 1 answers

With all the shifting geopolitical sands, especially around energy and agricultural goods, how are people actually managing counterparty risk for origin of commodities? Forget the obvious sanctions list stuff; I'm talking about the layers of shell companies and re-exports that muddy the waters. KYC/KYB on the trading entity is one thing, but verifying the actual physical origin of the underlying asset without getting lost in a rabbit hole of docs is becoming a real headache. Any practical strategies beyond just trusting the paper trail?

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  • u/nour_yilmaz· 1 pts· 2d

    This is a huge challenge, especially for global supply chains. Are you finding that the larger trading houses are investing heavily in new tech like blockchain for origin tracking, or is it still largely a manual, documentation-heavy process for most?

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