A blockchain is a cryptographically secure digital ledger. It has seemingly limitless potential to improve digital networks. Some experts even believe that it will usher in a new Internet. For businesses that interact directly with supply chains, direct access to decentralized and fair blockchain applications is becoming imperative. The construction and mining industry will be among the most affected areas of the global economy. Adopting blockchain technology is reinforced by tangible benefits that can be seen right away. Supply chain professionals begin to realize quickly how impactful blockchain might become.
Blockchain: A Revolutionary Technology
Blockchain has the potential to transform the construction and mining industry. Every significant operator will be affected. By 2020, the influence of blockchain technology is expected to become so influential that the entire global industry will adopt some type of blockchain application. Its impact will also motivate profound shifts in innovation. Automation and digitization will be central to the transformation
Advantages of Using Blockchain for Construction and Mining Equipment
The advantages of employing blockchain are far-reaching. It has already produced tangible benefits in several industries. For the construction and mining industry the benefits can be expected to range from:
- real-time information sharing
- advancing supply chain applications and make them more efficient overall
- eliminate wasteful intermediaries
- help streamline operations
- profoundly improve security systems
- improve purchase processing
- lower prices
- accelerate payment settlement
- virtually eliminate fraud
- add a level of unparalleled transparency
- reduce paperwork
- and improve many other processes
On their own, each of these aspects can significantly improve an operation. Together, they can radically transform an entire industry. Is it any wonder why blockchain and associated technologies are so aggressively being pursued?
Current State of the Industry
The advancements attributed to blockchain technology connect the supply chain in ways that legacy systems never could. It puts all participants of a blockchain on a common ground. Consider the potential of decentralized access to the same blockchain platform for each of the following participants:
- original equipment manufacturers (OEM)
- end consumers
As innovation advances and blockchain becomes more prevalent, its application will dramatically increase. Currently, there are several pilot programs in the construction and mining industry that involve blockchain in some way. For OEM and suppliers, the direct communication with a standardized digital ledger will better link daily operations of previously independent systems. For the end consumer, blockchain enables them to view the product journey and fosters a great sense of trust.
Forecasting the Impact of Blockchain Technology
There is a bright future for blockchain enterprises that cater to the construction and mining industry. The global economic forecast expects to see a significant increase in the use of blockchain technology. Using blockchain to support the operations in this industry will aid equipment systems, automation, and fintech. Blockchain technology is already influencing the development of systems for every major industry of the world. Equipment for construction and mining sectors have newfound potential. It’s a key element that drives interest in new businesses entering the industry.
Ultimately, blockchain will become as prevalent as the Internet. The usage of the term may be regulated to business professionals in the future. Popular interaction with blockchain will likely be known solely through cryptocurrency and tokenized assets. Nevertheless, blockchain will grow and remain a foundational part of the technology that drives digital development.