Most of what we’ve heard about blockchain technology has been in the realm of cryptocurrencies such as Bitcoin. But this new technology will have wide-ranging business applications as true peer-to-peer networks become more widespread.
Smart contracts built on blockchain technology may eliminate the need for middlemen. Energy grids could use that tech to increase cybersecurity. And aerospace suppliers look to blockchain as a potential investment in keeping track of their supply lines and boosting efficiencies.
But perhaps one of the most unexpected – and impactful – applications of blockchain may be in agriculture.
Blockchains could ensure vegetable quality
The blockchain is a byproduct of Bitcoin, but its application range is infinite. Blockchain can have a significant impact beyond the internet, and it is likely the concept will be applied to all industries in the future. One example of this potential is in quality assurance – a process all businesses must contend with.
An active example of the impact of blockchain technology on agriculture is the increase in traceability of agricultural products. In Aya-cho, Higashi Morokata-gun, Miyazaki Prefecture, Japan, demonstration experiments are being carried out using blockchain technology to assure the quality of organic agricultural products. The data recorded includes who farmed the product, condition of the soil, nature of the pesticides and production environment. This proves the quality of the product. Agriculture experts are taking notice of these products, too, which trade at almost twice the market price due to the spotlight on them.
In the manufacturing industry, the traceability of parts has been advancing significantly. The same cannot be said for that of software, though the role of software in terms of products and services will become more significant in the future. When this happens, businesses must assure the quality of the software by disclosing who wrote the program and how it was written. The blockchain should be an important part of this assurance process.
Keep information in a virtual safe
In the years to come, a company’s survival will greatly depend on “the amount of useful information” it possesses. One example is Uber, a car dispatch service provider. They are a well-known business, but like any other, they are looking further into the future to see “how they can optimize the huge customer data base they possess for their next business endeavor.” Uber may just completely change the logistics of the world by making use of “movement of people” data accumulated by their dispatch service. Imagine the impact on Japanese business if leaders thought so deeply about the relevance of their future data and technology.
Since the introduction of IoT, the number of data-collecting sensors and amount of information collected from them has dramatically increased. IoT technology becomes more capable by the day. However, too many companies use a low-security system to manage high-value information. Japan is a developed country with a strong manufacturing base, and it is the only country that can create its own social infrastructure from beginning to end. If Japanese manufacturing companies were to turn their expertise into data and store it in a trustworthy blockchain, that shift would create huge value. Requests would come from all over the world from those who want to analyze the data. Furthermore, utilization of this data could bring about new innovations, such as a never-before-seen refinement of strong metals. Ultimately, to make use of this data, we have to keep it in a safe. That safe is a blockchain.