The shipping industry has been growing for ages but became slow and steady while meeting the growing demand via phone calls and emails. The introduction of blockchain technology in the shipping industry is taking it by storm and achieving unimaginable magnitudes and is proving to be cost-effective and time-saving that has intrigued everyone. But what actually is blockchain technology? Blockchain technology has gained valuable supporters from numerous industries as it is based on cryptographic techniques to provide utmost security to user information and cost optimization.
The traditional shipment process included numerous stakeholders like customs authorities, brokers, cargo owners, freight forwarders, transportation, logistics companies, etc. The launch of blockchain container shipping has eliminated the intermediaries and third parties involved in the shipment process. Users can now track the status of shipment without compromising details, privacy, or confidentiality to anyone. Blockchain is cloud-based shipping where each transaction and other user details are sealed and secured electronically. The confidential information is stored in encrypted blocks linked together in a sequential manner of chain structure. The astonishing feature of blockchain container shipping is that due to the decentralized, shared digital ledger, modification of a single block is impossible without making changes in the entire chain. Therefore, the chances of performing malicious activities or falsifying data diminishes.
Dive deeper into the below-listed advantages of blockchain in the shipping industry:
- Shipment Speed
Manually managing all the shipment-related documents is a tedious task that slows down the logistics and other processes. Blockchain container shipping has digitized all the processes and made it quick and easy to manage tedious tasks related to order management, billing, shipment, tracking, and much more. Digitization has proved to be cost-effective and reliable, preventing tons of paperwork and associated costs. Additionally, users are also provided with blockchain payment gateways to ease the payment and transaction process. Automation has diminished the intervention of third parties and improved operational efficiency to a great extent, eliminating manual errors.
Blockchain is a distributed ledger technology where each involved party can access the shipment details stored in cryptographically stored blocks. Thanks to the crypto programming that user information is stored and relies on permission-based sharing to access the information. Since validated records in a blockchain are irreversible, data falsification is impossible, reducing the risk of fraudulent activities. Moreover, users can perform real-time tracking of their shipment, which provides accurate results, building customer trust and reliability. Accessing their secured data in real-time makes users trust you and connect with you for the long term.
- Transparency And Communication
All the involved parties require a necessary access key to access(view only) the information related to customers, carriers, orders, payments, etc. This makes it hassle-free for everyone from supplier to customer to track the status of shipment.
THE BOTTOM LINE
The introduction of blockchain technology has revolutionized the shipping industry and made it more reliable with confidential user information such as credit card details, addresses, and much more. This decentralized shared digital ledger makes it impossible to make changes in a single block of data without modifying the complete chain. The open and neutral blockchain container shipping system benefits all participants and makes users rely on it to track their shipment effortlessly.