Supply Chain 101: What is Blockchain and How is it Transforming Logistics?

Blockchain has become a buzzword across industries, but what does it mean for supply chains? Blockchain is a digital ledger that records transactions in a secure, transparent, and tamper-proof way. By using blockchain, companies can address some of the biggest challenges in logistics, including transparency, fraud prevention, and inefficiencies.

What is Blockchain and How Does it Work

A blockchain is a decentralized database where information is stored in “blocks” linked in a chronological chain. Each block contains transaction data, a timestamp, and a unique identifier known as a hash. Once a block is added to the chain, it becomes nearly impossible to alter without changing all subsequent blocks—a feature that ensures data integrity.

Unlike traditional centralized systems, blockchain operates on a distributed network of computers. This means no single entity controls the data, making it more secure and trustworthy.

Benefits of Blockchain in Supply Chains

• Transparen…