IBM used the delivery of 108,000 oranges to test blockchain recording of the main shipping document and bill of lading. Blockchain did in “just one second” what takes five to seven days to do with traditional paperwork.
Blockchain-based electronic systems save document processing time while also cutting operating costs, according to a report by CoinDesk. In the mandarin oranges trial, for example, refrigerated cargo spent less time in port and storage, thus reducing electricity costs. Additionally, traceable, tamper-proof records storage improve security by eliminating the document fraud that plagues the maritime shipment industry . For it’s next pilot, IBM will use blockchain to track cobalt mined in the Democratic Republic of Congo through a Chinese refinery and a Korean battery factory to a Ford Motors plant in the U.S.
Blockchain will negatively impact employment in the international shipping arena. Specifically, there will be less work for those who handle paper manifests or work in ports and customs. However, faster deliveries can boost demand and potentially create a need for additional workers on pre-shipment tasks.
Blockchain is proving to be an excellent tool for the transport of goods. How might this technology be used in the transport of humans from one place to another?