The Name of Transformation: Blockchain in the Logistics Sector

Decentralization (non-monopolistic/decentralized), although its most common associated use is cash transfer, is a concept that has begun to be voiced in every aspect of life.

The fact that our own personal data, from family information to our health history logs, is kept without any intermediary, explains how comprehensive this subject is.

It is possible to list many applications of this by giving examples from the supply chain. Let's examine this subject in a bit more detail under two subheadings: "payment flow and tracking" and "traceability and document tracking".

Payment Flow and Tracking with Blockchain

One of the most critical issues in the logistics sector is making payments and tracking cash flow. The supply chain carries out these transactions through established banks, just like its applications in almost every sector.

These institutions have a hierarchy among themselves and within themselves. In this flow, if a disruption occurs in any of the structures they have created and the flow cannot be maintained, the transaction cannot be performed. Banks receive commissions based on the transactions made by institutions and then move the payment. It takes a certain process for the money to be credited to the accounts.

In blockchain technology, however, since cryptocurrency transfers are decentralized, they perform the transaction without the need for such a flow. Required transaction information is encrypted and stored, and each is approved at the moment of transaction.

Thanks to this complex network structure, it is secure, and commission rates are low because there is no established organization. Cash transfer is rapidly transferred depending on the cryptocurrency and infrastructure used. Today, various cryptocurrencies have emerged for this purpose in the logistics sector. Examples include *TEU token and *Shipchain.

Traceability and Document Tracking with Blockchain

One of the bleeding wounds in supply chain management is document flow and tracking. One of the most important aspects that blockchain technology brings to the supply chain is transparency. Every movement in a commercial sense to be carried out with smart contracts is perceived as a node and linked to the flow.

Thus, paper transfers and authorization transfers generated by conventional methods during the transport of goods become fast and secure, thereby increasing traceability. At the same time, companies can become transparent in this field by integrating their insurance processes with the blockchain infrastructure. Bittrust technology can be shown as an example of this.

In summary, blockchain technology, which is widely spoken of today, has begun to make rapid progress in the field of supply chain and lead the transformation of this sector.

As Navlungo, we are strengthening our infrastructure by focusing on technology efforts to ensure that cargo tracking, document tracking, and workflow processes can be carried out with a blockchain-based structure in this context.