Blockchain networks are praised for a lot of things, most notably their ability to ensure decentralized networks allow transactions between two or more parties with cryptocurrencies such as Bitcoin or Ethereum. However, it’s not as widely known that these networks are useful for other things as well, such as monitoring supply chains or for privacy reasons.
Now, it appears that the technology is being used in tandem with the Internet of Things (IoT) to save a potential $31 billion in food fraud over the net five years, if a new study is to be believed.
This information, provided to us by Juniper Research, claims that blockchain technology can streamline the food supply chain process, reducing fraud and actually help with regulatory policies regarding the industry.
The author of this research, Dr. Morgane Kimmich, stated the following regarding the matter:
“Today, transparency and efficiency in the food supply chain are limited by opaque data forcing each company to rely on intermediaries and paper-based records. Blockchain and the IoT provide an immutable, shared platform for all actors in the supply chain to track and trace assets; saving time, resources and reducing fraud.”
On top of the fraud defense, this technology will also ensure that “compliance costs” drop 30% by 2024.