You must have heard a lot about Blockchain technology. In this article, you will explore some of its amazing applications of Blockchain in the logistics industry that will surely surprise you. Excited to get started? Let’s begin.
Table of Contents
- Blockchain Definition for Beginners
- Incredible Applications in the Transport Industry
- Concluding Lines
Blockchain Definition for Beginners
Blockchain is a peer-to-peer, decentralized, distributed ledger technology that allows transactions to be secure and anonymous. Since this technology operates through a decentralized platform, it is known to offer transparency, immutability, privacy, and security. Basically, Blockchain serves two major jobs, and that is securing your data and building trust, and recording virtually everything of value. As technology is widely adopted across various domains, we can say that technology has gone far beyond its beginnings in banking and cryptocurrency, and its future is near.
Incredible Applications in the Transport Industry
Now, as we have gained a clear understanding of Blockchain technology, in this section, let’s explore how this technology expands to the logistics industry.
Maintains Communications and Ensures Trustworthy Shipments
A shipment has to go pass through multiple organizations and requires hundreds of separate communications. Due to any hiccup or lack of communication, the shipment could be misplaced or lost.
Blockchain, because of its peer-to-peer network, ensures trustworthy data across the logistics ecosystem. The technology ensures that all the steps involved are recorded on an immutable ledger securely in real-time. If any modifications are made while transitioning, it can easily be figured out.
Moreover, technology is beneficial for industries that need location data like, for instance, airlines require to find lost bags; car rental companies need to find misplaced keys, etc.
Easier and Cheaper Parkings
Do you know that with Blockchain, you can rent out your parking space? Yes, technology can also be utilized by parking owners to rent out their parking space that is unused.
Unlike the traditional system where the parking costs are comparatively high, P2P parking service connects people that own parking spots with people who are looking to park at an affordable price (around 10-times cheaper). Moreover, such a service provides parking owners with an opportunity to earn extra money simply by renting out their space.
Ride-Sharing with Blockchain
From providing the rental cab to the personal cab, Uber is offering every transportation service. But this ecosystem has several loopholes due to its centralized approach. But with Blockchain, due to its decentralized nature, drivers can connect with riders via an instant peer-to-peer protocol. With this distributed ledger technology, you can directly find the drivers without the involvement of cab companies, thus bringing more transparency and less intermediary fees.
Hitch A Ride with Cryptocurrency
Cryptocurrency, which is known for the first-ever use-case of Blockchain, can be utilized across various domains, including logistics. Hitching a ride is quite common these days, and riders usually pay using cash, debit/credit cards. What about making payments with the help of cryptocurrencies?
Moreover, since all blockchain transactions follow specific contract-bound agreement terms, transactions can be made instantly while the delivery of the product happens in a safer and efficient manner.
P2P Vehicle Charging
Electric vehicles have started gaining a lot of public attention, especially in developed countries. But a major challenge is in terms of range anxiety as a majority of the crowd fears running out of battery power on long-distance where there is no electric car charger available.
Applications based on Blockchain technology can allow individuals to share their EV chargers with other individuals, and in return, they can earn some extra money for their idle chargers. By offering peer-to-peer electric vehicle charging platforms, owners can offer their car chargers available for the public when they are idle.
From the above discussion, it is clear that Blockchain has the potential to transform the logistics industry in several ways, and it won’t be wrong to say that Blockchain’s scope is upsurging.
Hope, you liked the mentioned use-cases of Blockchain in the logistic domain. What do you think about its future scope? Let us know in the comment section.