UPS to use Blockchain to track Global Data


Tracking and tracing of information are one of the key features that many of the companies’ eye. It not only ensures that the information is correct but also builds the trust between the receiver and the sender. The traditional system of tracking of information is good and we have now got the real-time tracking feature also available, but somewhere it lacks transparency. In order to establish a completely transparent system, we need technology that can guarantee trust and transparency, Blockchain to track global data is what I am talking about.

The Blockchain is one of the fastest and dynamic technology that the developers and some of the big names are working upon. Despite its traditional usage limited to Bitcoin and other cryptocurrency exchange, it has now overgrown its traditional application and comes forth as a versatile technology which finds multiple usages. Tracking of data is one of the excellent features of Blockchain which makes it so sought after by many companies of the world. And the latest addition to its stalwarts is UPS.

Why Blockchain?

Well, many of you might be wondering why so much hype on the Blockchain, isn’t the current technology having enough potential to cater to the growing customer demand. The answer to this question is simple, though the current technology is having a high potential of tracking the information efficiently, it’s not quick and seamless. However, if we shift our focus to the Blockchain, its faster, easier, cost-effective and efficient.

What is the latest development in this field?

If we talk about companies which are focussing on using Blockchain in tracking and tracing of data then various big names have plunged into the pool, companies like IBM, Microsoft, Wallmart, Amazon are exploring various ways of using Blockchain as a part of their mainstream business operations. UPS the global logistics giants from the US have also filed a patent for their latest applications based on the Blockchain.  The objective behind this is to develop a system which can easily track their data.

United Parcel Service (UPS) which is one of the largest logistics companies from the US has applied for a patent. This patent developed by UPS will help the company track parcels around the world.  UPS has named the application as “Autonomous Service Selection System and Distributed Transport Database.”

Why there was a need for such a system?

An important question that arises here is why do we need a new technological intervention.  The reason why UPS shifted its focus to Blockchain is that the company feels that the current system has some bottlenecks which are a roadblock in the seamless functioning of the logistics industry. With the help of Blockchain, it aims at solving these problems and create a system which is absolutely seamless and efficient.

Some of the common problems that persist in the presented logistic model include the following:

  • The underdeveloped network which prevents delivery to remote locations.
  • Lack of coordination while transportation of the shipment
  • Special handling requirements
  • Need for an efficient tracking system

In order to cater to the variegated need of the customer, it is important to develop a system which can cater to all these problems and at the same time create a more effective tracking system. Such a system can guarantee continuous tracking of data and exchange of information.

UPS has developed an application which is based on the Blockchain. The application is called as Autonomous Service Selection System and Distributed Transport Database. As per the company, this ledger will have the sorting of data mentioned under various parameters like origin, destination and transportation parameters will help in the sorting of data and track the information.

The company also believes that smart contracts hold potential in the shipping services. UPS also emphasizes on the use of cryptocurrencies like Bitcoin and Ethereum as a mode of making payment to the shipping companies.


We still have to see whether this move of this logistic giant will help in boosting its business. It’s still too early to predict whether Blockchain will make it more efficient or its going to hinder its growth rate. Its too early make a prediction on the same. But we need to realize the fact that there is a need to make a shift to Blockchain. This will create a system that is transparent and at the same time guarantees a well-organized working of the system.

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