A Netherlands-based team of supply chain firms and other industry players has launched a $2.3 million project aimed at applying the blockchain technol
A Netherlands-based team of supply chain firms and other industry players has launched a $2.3 million project aimed at applying the blockchain technology to logistics sector and computer security protocols to enhance data flow between trading partners. The initiative was first announced on 8th November 2016 and will be led by a public-private technology firm, TKI Dinalog. TIKA Dinalog will be joined by the likes of national research organizations like NWO and TNO. Together, the firms are expected to create a consortium that develops information infrastructure running on the blockchain technology, unite operational information, contracts and financial flows.
The announcement echoes several U.S initiatives that are aiming at applying the blockchain technology to logistics. For instance, Wal-Mart Stores announced that it would partner with IBM Corporation to use the blockchain technology with the intentions of improving its track and trace capabilities of food shipment systems meant for China. Bitcoin has been gaining rapid popularity, and its many potential applications, especially in the financial sector makes it ideal for logistics application. Blockchain could be a reliable addition to logistics sector since it creates a secure system and a digital version of transactions that can enhance a more logical data flow and communication.
The Dutch initiative says the effort is unique since it unites different partners in logistics business into one robust blockchain platform. Additional technical support is expected to come from public-private initiatives, complementary efforts, and the Netherlands Ministry concerned with economic affairs. Dutch’s leading institutions such as banks, colleges, universities and research institutions are also expected to participate in the initiative actively. The most noticeable names of these are the Windesheim University of Applied Sciences, AMN AMRO Bank in Amsterdam, Delft University of Technology, Port of Rotterdam, and the International Supply Chain Finance. The big names attracted to this project means that the blockchain technology has an integral role to play in redefining the flow of logistics data and communication.