PwC Acquires Minority Stake In Crypto Startup VeChain

Announcements, News | May 7, 2018 By:

Consulting giant PricewaterhouseCoopers (PwC) has acquired a minority stake in Chinese blockchain startup VeChain.

VeChain, which launched in November 2016, is an enterprise software designed to create, manage, maintain, and update shared data about products in the supply chain. VeChain focuses on four areas: anti-counterfeiting, supply chain management, asset management, and client experiences. It is one of the founding members of the recently launched Mobility Open Blockchain Initiative (MOBI).

As a part of a larger strategic partnership, PwC Hong Kong and PwC Singapore bought a small ownership interest in VeChain to integrate the startup’s service platform into its infrastructure, which will require the use of VeChain tokens in order to access and perform transactions. The VeChain token, which is trading slightly over $5, is currently the 15th largest cryptocurrency by market cap, worth $2.79 billion.

“We are glad to establish a deeper relationship with VeChain, which aims to build a trusted and distributed business ecosystem to help address long-standing challenges in supply chain management, food trust and anti-counterfeiting areas,” said Raymund Chao, the chairman of PwC Asia Pacific and Greater China. “VeChain’s mission aligns with PwC’s purpose of solving important problems and building trust in society.”

PwC is one of the famed Big Four tax and accounting companies in the world, which also ‎includes Deloitte, Ernst & Young (EY), and KPMG. In December 2017, PwC became the second of the big four audit firms to accept bitcoin for client invoice settlements after EY.

Last month, PwC and Chinese e-commerce giant Alibaba launched a blockchain pilot to increase supply chain transparency for Australian and New Zealand products.