People have gone from the information age to the time of interconnection and this is why people have to adapt as many technological information they can, because everything turning into digitalization.
Making our world an interc
Technologies such as
Internet of things
Cloud computing
smart shipping
Big Data
Argumenta Reality
Drones
3D Printing
Artificiate Technology
Blockchain
BLOCKCHAIN
All of this is part of a technology vision called Internet of Everything and is the quintessence of the era we live in, this interface and the core of Industry 4.0 industrial revolution. Any technology that is written above can be a multipage book with various information and in depth analysis for us, but I will try to demonstrate a ‘sneak peek’ for one specific technology, BLOCKCHAIN. When someone, hears or reads about blockchain another technology comes through his/her mind and this is Bitcoin. Yes, the rival of banking has its roots from way back with the white paper of Satoshi Nakamoto, that published in October 2008 with title “Bitcoin: A peer-to-peer electronic cash system”. Inside, this particular white paper Nakamoto managed to introduce bitcoin, also devised the first blockchain database. So, as we can understand bitcoin isn’t blockchain but bitcoin wouldn’t be achievable without our beloved blockchain. In our mentioned example, blockchain managed to make acceptable transactions between the parties without the need of any intermediary, such as bank. With banking industry feeling the changing “touch” of this technology, soon enough other industries tried to understand and have a more in depth look to this technology and found that it can be helpful indeed. Also, Maritime industry wants to take privilege on blockchain. Before we take a closer look, I want to write a brief definition of what we call blockchain.
DEFINITION
Blockchain, originally block chain is a growing list of records, called blocks, which are linked using cryptography. Each block, contains a cryptographic hash of the previous block, a timestamp and transaction data. By design, a blockchain is resistant to modification of the data. It is an open, distributed ledger that can record transactions between two parties efficiently and in a verifiable and permanent way. Blockchain has a peer-to-peer network.
BLOCKCHAIN (SMART CONCTRACTS)
ADVANTAGES
Quick processing time and real time updates: Instead of mailing documents to various parties, exchange of information can become
Higher accuracy: Due to automated systems, errors are much less possible
Full Transparency: The information is stored in a place where everyone can have access provided that he has the required access key
Increased Security: All information is encrypted
Cost Saving: Saving documentation, procedural delays, blockchain reduce
Easier access to the market: The entry barriers will be less and the market will become more competitive.
Direct communication : No need of intermediates
CHALLENGES
Special contractual terms: Some terms are unique and very specific, that blockchain has to recognize
Higher flexibility: Some situation can only solved through commercial approach and blockchain as a sealed system will have a big challenge here
Global adoption of the technology
BILL OF LANDING
Bill of landing is one of the most paper needed process and a “have to be solved problem” for blockchain technology. Below, I quote you a brief comparison of manual and smart (blockchain) bill of landing
Blockchain bill: The only thing you have to do is to press the button for forwarding the bill while all the parties have the capability to view the document.
Conclusion
Blockchain shipping would mean greater transparency, competition and assurance so that shipments make it to their final destination. Blockchain can become as revolutionary as container as soon as every party will accept it and last but no least blockchain can be developed from great players into maritime industry and create competitive advantage
About the author:
Apostolos Panos: Master in Shipping Studies with orientation in Autonomous Shipping