One of Alibaba’s subsidiaries, Lynx International, recently issued a press release announcing to the public that the company’s international logistic venture has started using Blockchain technology to improve its operations. The company claims that the integration of Blockchain Technology for Logistics to improve its operation keeps track of the entire logistic business chain such as customs, production details, inspection, transport method, and third-party verification, among others.
“Although the Blockchain technology started gaining popularity and acceptance across some industries recently, however; it shouldn’t be seen as a tool to manipulate fiat-based currencies. There are several benefits inherent in the Blockchain technology that industries can leverage on.”
Tang Ren, the technical leader of Lynx International, told a news outlet in China.
The gains of the Blockchain technology range from the elimination of middlemen while transacting business, seamless and fast payment, reduction transaction fees, and difficulties in modifying data, among others. No doubt cryptocurrency exchanges are leveraging on its immutability to offer users a seamless trading platform. Hence, any industry that adopts this Blockchain can benefit from its trustless nature and security.
Lynx International’s integration of the Blockchain Technology for Logistics into its operation does not suggest that the company is interested in the cryptocurrency ecosystem. However, in December, Jack Ma, the company’s CEO, asserted that he had no intention of investing in cryptocurrencies, but his company has plans to leverage on the gains of the Blockchain technology. The announcement by Lynx International may not be unconnected with Jack’s earlier assertion.
Given that other subsidiaries of Alibaba like AliExpress and Taobao are making waves in the e-commerce sector across China and other parts of the world, it is a nice idea for the parent company to leverage on the gains of the Blockchain technology to improve its logistics process. Apart from logistic business, Alibaba had earlier introduced programs that are Blockchain oriented in the food quality control and healthcare industries.
Media reports suggest that the mobile app developed by Taobao now support tracking logistics information when you scroll down the product page. When users click a product, logistic information will be displayed assuring users that the source of the product is legitimate.
Currently, over 30,000 goods imported from various ports in Hangzhuo, Shangai, Guangzhuo, Shenzhen, and Tianjin, have been successfully logged on Lynx International’s newly introduced Blockchain Technology for Logistics system. Mr. Tang asserted that the tracking process starts before a product arrive its destination.
“As soon as a shipment order is confirmed, and the goods are to be shipped to China from overseas, the logistics tracking process has already begun before the goods arrive China,”