Shanghai Data Exchange launched in Pudong

The Shanghai Data Exchange (SDE) was launched in the city’s Pudong New Area. A total of 20 data products were listed on the exchange, covering eight industries including finance, transportation and communications. State Grid Shanghai Municipal Electric Power Co and Industrial and Commercial Bank of China (ICBC) made one of the first transactions on November 25. According to State Grid Shanghai, commercial banks can use real-time electricity data to come up with innovative financial products and services for companies. Xi Zenghui, Deputy Director of the Internet Department of State Grid Shanghai, said that the establishment of the SDE has made it possible to transform the company’s electricity data into a value-added service. Based on the rules of the exchange, State Grid Shanghai can provide processed data products that meet both data security requirements and buyer demand.

The trading system used at the exchange is the first of its kind in China. According to the exchange, no transaction will be conducted if the data purchaser cannot explain the exact scenario in which the data will be used. While only one-on-one transactions are available on the exchange at present, one data product listed on the exchange will be accessible to multiple buyers in the future.

Located in the core area of Zhangjiang High-Tech Park in Pudong, the SDE was established to address the major difficulties in data trading, including identification of data ownership, pricing of data, reaching mutual trust between transaction parties, initiating transactions and overall supervision, said local authorities. Pudong aims to play a pioneering role in establishing standards and systems for data trading, communication and management. A total of 100 companies signed agreements with the SDE to secure the compliance and security of data transactions. Third-party law firms and accounting firms have also reached agreements with the exchange to ensure the safety of transactions. Zhang Weiqi, CEO of Fudata, said the company will be mainly responsible for providing safe and controllable technology services and management systems for data supervisors, users, providers and managers taking part in data transactions on the exchange, the China Daily reports.