The use of blockchain technology could be a way to improve the current supply chain for deliveries, as it would be able to provide a cheaper and more efficient logistics management system. UPS (NYSE:UPS) is just one of the many companies that believe blockchain will be the future of the shipping industry.
UPS just announced that they would be joining the Blockchain in Transport Alliance (BiTA), a group focused on developing blockchain technology standards and education for the freight industry. BiTA is looking to start a full-on secure blockchain system that will help optimize the standards of the shipping industry.
UPS clearly wants in while the “in” is still there to get. It doesn’t want to be left behind when this new sector suddenly takes off.
But why blockchain? Well, blockchain technology is capable of creating shared space for data. More than that, they create networks that have no single point of failure, with incorruptible data, and that can be maintained by multiple parties. Blockchains allow for a more secure and transparent form of data storage.
The shipping industry is in desperate need of a serious update. Different parts of the chain are run by different sectors completely, which can cause breaks that result in a package being lost or delayed. Blockchain technology would be able to solve all of that. Blockchain increases not only transparency, but also efficiency, making the process more cost-effective for everyone.
Featured Image: depositphotos/ricochet69
