By using blockchain technology both businesses and consumers can reap the benefits of lower prices, better tracking and more profits.
Transparency brings trustless transactions to consumers and companies alike, and that is where the trustless nature of blockchain comes into play.
Consumers can see how their food was sourced, shipped and handled through each stage of its journey from the farm to their plates. Likewise, companies can create trust-based customer relationships, which will likely result in a higher profit margin.
For this process to take place, there must be a way for consumers to see where their food is coming from. Blockchain technology could provide just that solution. Unfortunately, as it stands now, most products are sold with no information about where they’re sourced, making it difficult for individuals who want better quality food at lower costs.
How can it be done?
There are many ways blockchain can provide this transparency, but perhaps the best solution is a decentralised database that records all food items with their origin and journey. In theory, this would make it easy for customers to see where the food came from, what it was shipped in and how users handled it during each stage of transport.
Of course, blockchain technology will not solve itself, and many roadblocks stand in the way of all of this occurring. However, let’s look at the success of companies like Amazon and Target and realise that they have entered industries where trust is necessary for success. In addition, we may understand how blockchain could help with protecting businesses from corruption.
Are trustless systems more secure?
In a blockchain system and cryptocurrency ecosystem, trustless transactions result from an operating system that works properly and does not contain corruption. It means that there is no way for bad actors to access the system, disrupt it or alter any of the data. As a result, bad actors will likely be locked out and unable to corrupt the ledger, ensuring that trustless transactions can occur as they’re designed to do.
Ultimately, blockchain technology could help with trustless transactions, making product sourcing easy and transparent for customers. However, it would require a massive overhaul of existing supply chains to provide this solution since they’re not designed with transparency in mind.
The time to embrace innovation for the Future of our supply chains is now and blockchain could just be its hero.
