7.) Supply Chain
Similar to how it enables cryptocurrency, blockchain also enables another technology called smart contracts. Smart contracts, in essence, are automated transactions that can be carried out along the supply chain (i.e. When Factory A does X, Factory B automatically does Y). The key to making these work is to have a distributed ledger that allows for not only identity verification for transactions but also allows for a system of accountability.
There are already some emerging use cases in the enterprise space. IBM, for example, has partned with Walmart and Nestle, among other companies, to create the Food Trust to track produce shipments across the supply chain from farm to grocery store.
Skuchain, a company that developes blockchain technology for B2B trade and supply chain finance, has created a “collaborative workflow” between cotton producer Brighann Cotton, an overseas buyer, and their respective banks using blockchain technology. In a 2016 interview with IBTimes UK, Srinivasan Sriram, founder and CEO of Skuchain, said:
"If you take a typical supply chain, today almost everybody views this supply chain as independent transactions – the shipment of cotton, the manufacturer who purchases the raw material cotton, and the value adder who has a deal with the end buyer. Except that they all belong to the same digital thread. What we can do with Skuchain's technology is link that thread and there is a significant amount of value to all parties when that happens."
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