5 Ways Digitalization is Reshaping Commodity Trading

Commodity Trading Apps: Advantages Of Market Digitalization

  • Positive impact on profit margins and saving time for traders to collect data contained in contracts
  • Errors reduction, cost control and yield management improvement
  • Ensuring organizational effectiveness
  • The ability to respond in real-time to important changes and reduce operational risks
  • The ability to create a more interconnected value chain
  • Delivering significant improvements in communication, collaboration and decision making
  • The ability to extract information with data analytics, to get real-time business intelligence and to reduce costs

1. Optimization of document flow and reduction of bureaucracy: contract management as the basis of trading

  1. After the acceptance of the basic conditions of a future transaction, the trader transfers this data in 1 minute inside the online platform using a mobile application, and a draft of the contract is formed, the necessary information is pulled by the system automatically based on data from the trader.
  2. Then the draft is automatically redirected to a lawyer, financier, logistician through the same platform.
  3. Responsible employees immediately receive notifications, make their review, make adjustments and a draft is generated within the company.
  4. The counterparty also gets access to the platform and makes their changes there. In this process it is not necessary to use emails.
  5. After everything is agreed by both parties the contract can be signed through the platform integrated to DocuSign.

2. Logistics optimization: efficient supply chain planning and quick strategic decision making as a method of generating additional profit and saving on direct costs

3. The procedure for checking counterparties as insurance against the risk of a possible default

  • collection of the necessary documents according to the requirements of the risk office
  • checking the validity of these documents
  • verification of the counterparty through various databases for open court proceedings
  • determination of the limit in money for trading with one or the other counterparty

4. Automatic settlement of Mark to Market as a method for the most accurate PnL forecast and selection of the optimal trading strategy

5. Accumulation of data from several world trading platforms within one online platform as a key tool for a trader when making a decision



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Igor Izraylevych

Co-founder and CEO of S-PRO, Entrepreneur, Advisor & Expert in Mobility & IT Strategy. Custom solutions for enterprise and startups http://s-pro.io/