We have already talked and wrote about the fact that data being „the new oil”, however it is an issue that we will touch upon more than once.
One of the evidences that data is the most valuable commodity of the 21st century is the data trading exchange, recently established in China.
The Shanghai data exchange is a pilot program, expected to lead towards the creation of more such exchanges and the creation of a national, regional and global data trading market. Foreign entities will be able to buy data on Chinese exchanges only on the basis of international agreements providing for mutual access to data. A total of 100 companies have signed agreements with SDE to ensure compliance and security of data transactions. External law and accounting firms have also reached agreements with the exchange to ensure the security of transactions.
On the first trading day, the offer included 100 data products in eight categories, including finance, transportation, and communications. Among the sellers were China Eastern Airlines, China Mobile Insight, ICBC and many more. Electricity data cover a wide range of industries. Commercial banks can refer to accurate, real-time electricity data to create innovative financial products and services for businesses.
“The establishment of the SDE has made it possible to transform the company’s electricity data into a value-added service. Based on the set of rules set at the exchange, State Grid Shanghai can provide processed data products that meet both data security requirements and buyer demand ” – said Xi Zenghui, Deputy Director, Internet Department, State Grid, Shanghai
SDE was created to address the major difficulties in data trading, including identifying data ownership, data valuation, building mutual trust between parties of a transaction, initiating transactions, and general supervision. Thanks to a unique number, assigned to each product offered on the exchange, it is known what requirements of the Data Protection Law are applicable in a given case. It also ensures full transparency and provides information on who and to whom, what kind of data is selling.
In the age of information data have become a key medium in activating the flows of people, goods, technology and capital, and China is keenly aware of this. In 2020, the Chinese government officially added “data” as the fourth factor of production alongside land, labor and capital.
The market for creating, collecting, processing and trading data in China is regulated by three laws: Cyber Security Law, Data Security Law and Personal Information Protection Law, which define the scope for collecting, processing and trading data both on the domestic and international market.
The SDE is just the beginning. The currently tested Chinese digital currency and trading platforms combining electronic transactions with the aforementioned currency, banking-related, customs, tax and logistics services are being added to this puzzle.
Based upon following articles:
Albert Borowiecki: https://crn.pl/artykuly/szanghaj-pierwsza-na-swiecie-gielda-handlu-danymi/
Kirana Aisyah: https://opengovasia.com/shanghai-launches-data-exchange/