Is blockchain a solution for logistics and freight transportation problems?

Abstract

The fragmented market of freight transportation imposes several inefficiency costs as a result of delay, double-spending, disputes, and cancellations. While in such competitive market, every player seeks its own profit, optimisation at individual level also becomes harder due to invisibility and disconnectivity. Although tackling some of these issues are doable by synchronization, encryption and integration, it seems that blockchain not only incorporates all these solutions in one package, but also may provide other economic benefits. This paper discusses blockchain’ s potential in improving the inefficiencies in maritime supply chain and logistics, as well as limitations and challenges.