Why is the supply chain introducing blockchain?

blockchain engagement certainly brings new opportunities to the supply chain-but the question is, what are the new opportunities?

, the era of digital supply chain has arrived.

, as AI, big data, blockchain and other emerging technologies flourish in the enterprise, updating operational processes to establish supply chain planning is becoming increasingly important. In this article, we will first clarify the specific concept of blockchain and review the practical impact of the technology in the supply chain field in the past few years.

What is Blockchain?

as the name suggests, a blockchain is a chain of blocks. But unlike gossip chains, digital information (blocks) are stored in public databases (chains). Each time new data is stored, the corresponding information is added to the chain in the form of a block. In order to successfully complete this operation, the entire system needs to perform the following four steps:

1. Execute transactions-After an online purchase operation, a single block combines thousands of transactions, which means that a single purchase transaction will be packaged in a new block along with other users' transaction information.

2. Verify transactions-After a purchase, the computer network checks each transaction to ensure that the content of the transaction is consistent with the customer's statement. The entire confirmation process takes about a few seconds and involves information such as transaction time, amount, and transaction participants.

3. Store the transaction as a block-Once validation is complete, the transaction will continue. All the details related to the transaction will be stored in a single block, and thousands of similar other transactions will also be added.

4. Provide a hash value for the block-After verifying all transactions on the block, we need to assign it a unique identification number, the hash value. After completing this step, new blocks can be added to the blockchain.