It has been concluded that blockchain technology is the perfect solution to protect digital currency transactions, exchanges, and accounts, but its also a gret solution for protecting supply chains. Alibaba announced on Wednesday that they would be working on their own blockchain solution to closely monitor their supply chains, a move that has been necessitated as the company has moved beyond its own borders.
In March 2017, Alibaba teamed up with PwC to create a blockchain technology that enabled participants to be able to track food across international borders.
Food fraud had become a major concern, especially food that was coming to China. The new blockchain platform, known as the “Food Trust Framework,” enabled users to be able to purchase food online and be able to ensure that orders were tracked every step of the way.
This has led to the newest innovation. Working off the same concerns that were manifested with food fraud, the company has become increasingly aware that they must protect the supply chain of goods that are being shipped to consumers. The use of blockchain technology is expected to give the company a means to track and protect transactions all the way from the original purchase to its final destination at the doorstep of the business or consumer.
Alibaba has expanded rapidly as an online shopping center for consumers. Where it was once almost exclusively catering to Chinese consumers, the company has spread throughout Southeast Asia and beyond. This has created a greater necessity to not only provide adequate security for consumers’ financial information but to also ensure that transactions are not corrupted in any way.
In a report published by the World Trade Organization, Alibaba was lauded for their innovations. The report concluded that the effective use of blockchain technology could increase online sales internationally by as much as $3 trillion annually. Alibaba is looking to cut themselves a big slice of that financial pie, and their blockchain technology could be one major step to making themselves the leading online retailer for the next decade.
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