Blockchain, the tech that gave rise to the creation of Bitcoin, is arguably the most important innovation to come out of the ongoing fintech boom. As a decentralized, distributed, and immutable ledger, Fortunly attests that its disruptive prowess goes beyond the financial sector.
Imagination is the only limit to the number of blockchain’s feasible use cases. One of its most viable applications is proof of provenance.
As the global “ethical sourcing” movement grows stronger, the pressure on major brands across different industries to join the bandwagon mounts. Blockchain is the logical solution to rendering supply chains more traceable and transparent, which are key characteristics to satisfy the sensibilities of many consumers.
Here are a few brands that are integrating blockchain into supply chain management.
As a strategy to stake out a claim for itself in the potentially lucrative worldwide electric vehicle (EV) market, Volvo is partnering with fintech firms to prove to consumers that it does not use child labor to manufacture lithium-ion batteries.
The Swedish automaker, with the cooperation of its battery suppliers, LG Chem and CATL, intends to use blockchain to track the journey of cobalt, a prized raw material for EV battery production, from the mineral’s point of origin to its XC40 Recharge.
Volvo’s move is consistent with the policies of some African countries to promote responsible mining. Nations such as Kenya and Rwanda are bent on reducing the demand for conflict minerals.
The largest food cooperative in America is adopting the Wholechain traceability system by Envisible. Topco wants to send a message to shoppers that its seafood items, such as shrimp and salmon, are sourced in an ethical and environmentally responsible way.
With the help of the Wholechain mobile application and QR codes, customers can easily learn about how the grocer’s products get from the sea to the store.
The retail giant has teamed up with IBM to render its leafy greens seamlessly verifiable with blockchain. Using the IT corporation’s Food Trust platform, Walmart is requiring its vegetable suppliers to indelibly input data onto the blockchain to improve the tracking of goods.
Fonterra is one of the first partners of Alibaba in its blockchain-driven food traceability platform called Food Trust Framework. Thanks to this collaboration, the New Zealand dairy titan is able to bring its tracked goods to Tmall in China.
A pioneering blockchain adopter in the fashion industry, designer Martine Jarlgaard has joined forces with London-based startup Provenance to tell the story of her collection. She used blockchain to record her supply chain in detail.
Using the QR code on the verified garment’s label, shoppers could see how the alpaca fabric made its way from a farm to Jarlgaard’s studio.
The US jewelry retailer, along with three other parties, has tapped IBM to implement the TrustChain blockchain project. The initiative is designed to prove the legitimacy of its diamonds and gold by forcing supply-chain participants, such as miners and shippers, to build a shared, tamperproof record.
In addition to eliminating counterfeits, Helzberg Diamonds also hopes to capitalize on the tech to identify gems and precious metals coming from conflict areas with less difficulty.
Thanks to blockchain, average consumers are becoming empowered to scrutinize the supply chains of their favorite brands. Hopefully, more influential global corporations will follow the lead of these ethical vanguards to finally solve the many injustices in the world in the near future.
The infographic you can find here: https://fortunly.com/infographics/how-startups-disrupt-the-finance-ecosystem-infographic/
Guest Author: Stefan Ateljevic