What is blockchain’s role in supply chain?
What is blockchain's role in supply chain?
May 7 – by Sean Galea – supplychaindigital.com
What is blockchain and how is it influential in the supply chain? Let’s find out.
Blockchain is essentially, as the name suggests, a chain of blocks. However, instead of a physical chain, there’s digital information (the block) stored in a public database (the chain). When a block stores new data, it is added to the blockchain. In order for this to be done successfully, four things must happen:
1. A transaction must occur – After making an online purchase, a block will group together thousands of transactions so that an individual’s purchase will be packaged in the block along with other users’ transaction information as well.
2. That transaction must be verified – Following a purchase, a network of computers checks over each transaction to ensure it happened in the way a customer said it did. The network confirms the purchase, including the time, amount and participants of a transaction in a matter of seconds.