Blockchain technology is being integrated into multiple supply chains with different companies as the world explores the potential use cases. For instance, on the IBM Blockchain Platform, Volkswagen has decided to track their lithium-ion batteries in the electric car line, verify that the batteries are responsibly sourced. The company officially announced its involvement in IBM’s ledger platform on April 18th, adding that they hope the technology will help them to “increase efficiency, sustainability, and transparency in global mineral supply chains.”
Cobalt has already been integrated into multiple devices, ranging from smartphones to cars, and has become a necessity for consumer products, according to a recent blog by IBM. Unfortunately, the Democratic Republic of the Congo accounts for over 60% of global production, and this area is the home of around 2 million miners that are presently dealing with major challenges, which includes human rights violations. There are some cobalt mines that forced child labor, controlled by the intimidating insurgent militias.
The platform is powered by the Linux Foundation’s Hyperledger Fabric, and it allows companies to follow their materials with the use of a supply chain blockchain. The company’s announcement explained that this will help with the sourcing requirements of Volkswagen in that it will eradicate the need for third-party audits, which they presently use.
Both LG Chem and the Ford Motor Company have already gotten involved with the platform for their own tracking needs. Optimally, the group will end up including industries like aerospace, mining, and consumer electronics.
This whole blockchain solution was originally announced in January as the result of collaborating with MineHub Technologies. Anyone who is a registered manufacturer on the platform will see benefits, as well as the overall logistics of industries, evolve, saving companies money in the long run.