Flow mind map

Blockchain in the Food Industry

01

03

04

02

work

Problems

Benefits

what

01

What is Blockchain?

More information

Blockchain formation

02

Uses

How does Blockchain work?

Blockchain formation

Benefits of Blockchain

• Increases transparency, quality, and safety. • Reduces costs from waste and recalls. • Provides verifiability and accountability through immutable records. • Enables real-time tracking for demand forecasting and supply optimization. • Provides financial inclusion and economic benefit for smallholder fishers. • Customers can verify product details via QR codes.

More information about Blockchain

- Blockchain works by grouping transactions from users into blocks. These blocks are then chained together in a chronological order using cryptography. - Each block contains a cryptographic hash of the previous block, a timestamp, and transaction data. This chaining of blocks makes the record permanent and unalterable. - Some key applications of blockchain include cryptocurrencies like Bitcoin, financial transactions, supply chain management, digital identity management, and voting systems among others. The technology has many use cases due to its security, transparency and decentralized nature.

What is Blockchain?

Blockchain is a decentralized, distributed ledger that records transactions in a verifiable and permanent way. It allows for increased transparency in supply chains.

How does Blockchain work?

Blockchain uses a distributed ledger system stored across a peer-to-peer network of nodes. The ledger contains blocks of records linked together with cryptography. Each block contains a hash of the previous block, a timestamp, and transaction data. When a new transaction occurs, it is broadcast to the network and miners validate it by solving a cryptographic puzzle. The miner who solves it first adds the pending transactions to a new block and links it to the blockchain. They are rewarded. Other nodes validate the new block's contents and linkages before adding it to their copy of the blockchain through decentralized consensus. This ensures the integrity and validity of the entire transaction history across all nodes in a trustless manner without centralized control.

Problems in the Food Industry

Lack of visibility into supply chains leads to product recalls, loss of consumer trust. 25% of global food is estimated to be wasted. Traceability is difficult with current paper-based systems.

Uses of blockchain

- Majid Al Futtaim pilots blockchain for UAE fruit/vegetable traceability from farm to shelf.

- TrashCash gives Indonesian fishers crypto wallets for direct payment, cutting out middlemen.

- ConnectingFood uses Azure blockchain for food traceability by capturing supply chain data.