As such, blockchain has great potential to solve many pain points in the freight and delivery sectors. Blockchain has inherited security features that separate it from traditional IT systems used in logistics. Since the network always guarantees a secure consensus, participating parties can build trust without relying on a third party.Ĭheck out how this blockchain solution deals with counterfeit goods identification and brand protection Industry issues that led to the blockchain adoptionīlockchain in trucking and commercial transportation pledges to create document and transaction transparency across the freight landscape, enhancing the efficiency, agility, and innovation capacity of supply chains. The decentralized, immutable, and inherently secure nature of blockchains makes them an attractive medium for the peer-to-peer exchange of information, as is the case in logistics systems. Crypto algorithms make the blockchain immutable and guarantee the integrity of the data. The addition of valid transactions to the blockchain is guided by cryptographic algorithms that, at the same time, secure the network. The blocks are committed to the global blockchain after satisfying the decentralized consensus procedure. Network participating nodes share and ensure the synchronization of the distributed database without requiring a central authority.
What is blockchain?īlockchain records the expanding list of network transactions and organizes them into a hierarchical chain of blocks. Read on to find out about blockchain, how it crossed into the world of commercial transportation and trucking, the opportunities that blockchain is trying to capitalize on, how blockchain is changing the face of trucking and freight, and finally, the successful companies that already leverage blockchain. Blockchain is widely embraced by organizations, education institutions, and policymakers around the world. Next to AI and machine learning, blockchain technology is expected to stimulate major improvements in these areas. Blockchain technology, which became known from 2008 onwards through cryptocurrencies such as Bitcoin, is now a technology that promises to transform, amongst others, the logistics and transportation industries. Nevertheless, the transportation industry still demands improvements. Positive technological developments in logistics have enabled commercial transportation companies to efficiently service an all-time high demand, while, at the same time, adjusting to changing consumer preferences and expectations. In parallel, consumer demands for same-day shipping and the number of online transactions leading to expedited delivery have risen. Over the past two decades, trucking, logistics, and commercial transportation industries have undergone a significant amount of technological innovation. In logistics and transportation blockchain technology is increasing efficiency, decreasing costs, and enhancing end-user experience.
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