Why does Blockchain matter?
Blockchain matters because no business operates in isolation. Blockchain technology provides a way for businesses to work together more efficiently through leveraging the collective knowledge of the group. By implementing blockchain-based business processes, businesses can save costs and improve their competitive advantages. New opportunities can be created by using blockchain technology to create new processes that were not possible before.
Use case scenario
The FDA has adopted food labelling regulations that require manufacturers to notify the public of any sugar added to their food. However, companies are struggling to keep track of whether their ingredients contain sugar, and how to prove it if they are challenged.
A food blockchain can help companies easily track the provenance of their ingredients, from farms to convenience stores. This would allow the company marketing the protein bar to show the origins of each ingredient, and prove that no sugar has been added. This way businesses can save both time and money.
Additionally, blockchain can be used to prevent foodborne illnesses and enable companies to trace bad ingredients that might be causing such illnesses. Because the food industry must follow numerous regulations (for our own safety and well-being), an enterprise blockchain would be essential to making this scenario work. In particular, blockchain can address the following concerns:
- Accountability: With blockchain technology, you can prove to the FDA and other companies that your institution is who you say it is.
- Privacy: Your competitor will not be able to see which vendor you are buying sugar from or how much you are paying.
- Scalability: You will be able to track a large number of food records.
- Security: All members must be trustworthy and information access must be secure.
- Motivation: Economic incentives encourage members to contribute data.
