Whenever the term “Blockchain” enters the room, it almost always brings to mind one fundamental aspect – transparency. The very essence of Blockchain lies in its ability to offer transparency to a process no matter how complex it is. Be it through decentralization, consensus, auditability, or other measures, transparency is always a by-product of Blockchain in one way or the other.
Considering this, it’s no surprise that the agricultural sector, which inherently requires transparency, emerges as an ideal candidate for the integration of Blockchain technology.
But before delving deep into how Blockchain augments agricultural supply chains, let’s take a quick, jargon-free detour into what Blockchain actually entails.
What is Blockchain?
Blockchain, on the surface, is just a database. It is a way to store transactional metadata to achieve certain characteristics such as immutability and decentralization through the integration of multiple concepts. These concepts include a consensus algorithm to validate digital interactions, hashing to ensure data is not tampered with, cryptography to achieve unparalleled security, peer-to-peer networks to achieve decentralization and many more.
By definition, Blockchain is a distributed ledger that maintains a record of transitions happening in chronological order. The transaction metadata is stored in blocks which are then cryptographically linked to ensure that the data can not be modified once it is entered into the Blockchain.
The transactions referred here represent any form of digital interaction between the network participants. For instance, if a Blockchain-based application maintains the record of names, transactions here would define all activities such as a person entering his name, updating the name, and accessing the name.
The Need for Blockchain in the Agriculture Supply Chain
Supply chain networks are highly complex. They may represent a very simple process of ensuring that the goods get to the customer, but the efficiency of a supply chain is a different story.
Even a simple supply chain network consists of at least a producer, supplier, transporter, seller, and warehouse company, and that too for just one product. Multiple products require multiple entities and all interactions between these entities have to be standardized.
Furthermore, the interactions between these entities are usually cross-border which brings compliance and legal aspects into the scenario.
Here, Blockchain emerges as a beacon, offering both security and efficiency. In an agricultural supply chain powered by Blockchain:
- Essential data, like goods’ weight, quality, cost, and ownership, is stored in the blocks.
- Smart contracts streamline and standardize digital engagements.
- Legal facets get embedded into these contracts.
- A peer-to-peer structure facilitates cross-border dealings.
- Digital currencies like ANRY token back the financial dynamics.
- Such a network creates an environment of enhanced visibility where the farmers can directly contact the seller rather than going through an intermediary.
- Visibility will also be achieved in terms of the quality of the produce. The end-user buying the goods will have complete details about the origin of the goods as the data exists on the Blockchain.
- The financial interactions will be much faster and have significantly lower transaction costs.
- Cross-border interactions will become seamless.
- Efficient compliance and payment network results in a lesser need for storing goods, resulting in better quality and price.
- The wastage of produce can be reduced significantly as the real-time demand and supply are matched.
Anryton: Taking Blockchain and Agriculture to the next level
The need for Blockchain in the agriculture supply chain is undeniable. However, the synergy between Blockchain and the agriculture supply chain goes much beyond the usual transparency and decentralization.
This is where Anryton comes in.
Anryton introduces a different perspective in the agriculture supply chain industry with its unique Blockchain-based approach.
While Blockchain introduces transparency in the agriculture supply chain, Anryton makes the best use of that transparency.
Anryton’s defined use cases and researched case studies can be used to create a fair digital economy where credible, authentic people come together to create their own private networks inside the digital ecosystem. This private network consists of entities that trust each other in the digital space even if they have never met in person.
Moreover, one of the fundamental characteristics involved in the formation of such an ecosystem is that every entity can look at the history and original rating of other entities. This established trust between the entities not just in terms of ethics but also in their core responsibility.
For example, a farmer can see that a particular supplier has always completed his part and has a good rating. So this farmer and supplier can come together to form a private network even if they do not know each other in real life.
The possibility of establishing a decentralized supply chain network introduces a new way for agriculture supply chains around the globe to operate. Further availability of digital cryptographic tokens and the use of NFTs to represent various documents allows Anryton to revolutionize the agriculture supply chain to its core.
Other groundbreaking implementations, like integrating KYC on Blockchain for crucial documents or using smart contracts for insurance automation, exemplify the radical change Anryton can bring to agriculture.
The agricultural sector has awaited significant transformation for a while. While there have been proposed solutions, real-world applications have been scarce. It’s high time that innovation marries execution, and companies like Anryton are blazing this trail. Soon, agriculture will reclaim its esteemed position because, without sustenance, all else loses significance.