Korean shipbuilding industry makes way for Blockchain
The cash-strapped shipbuilding and shipping industries in South Korea found a new lease of life in October 2016 when their government announced plans to provide support to the industry. The scheme to achieve this will involve software development providers actively participate in making the shipbuilding companies technologically robust. In its wake, California-based blockchain company HashCash Consultants plans to confirm a tie-up with a leading shipbuilding company to give its infrastructure a blockchain remake.
The government’s aim is to attract 250 or more orders of vessels by the end of 2020 in a bid to give succor to local shipbuilders suffering the consequences of faltering global demand. This would mean revenue worth some US$9.5 billion. The industry is also expected to receive five to six billion dollars of aid designated to take forward efforts for achieving greater efficiency and high value-added services. As a result of these constructive steps, the shipbuilding order volume in South Korea reached six million CGT, which is a four million dollar leap from its previous year.
The capital and the R&D assistance provided by the government (as per announcements of new measures made in November 2018) has put industry players in a position to collaborate with software development companies. HashCash Consultants is in talks to develop a state-of-the-art blockchain platform for a prominent Korean shipbuilder, and integrate its current technological infrastructure with the blockchain platform. The primary purpose of this is to enable effective resource management and product lifecycle management system. The preliminary stage of the project is speculated to commence in 2019.
A blockchain is basically a decentralized, distributed ledger in which every data is marked with a unique hash code and stored in interconnected nodes. This also renders it impossible to make unauthorized alterations in the data cache, endowing reliability and transparency to supply chains based on this technology. A blockchain also utilizes smart contracts to validate and record transactions transpiring within its network. Smart contracts, simply put, are computer protocols that function on predetermined conditions. Since these are completely automated, there are no possibilities for it to be biased toward any particular party.
A ship is constructed by assembling several separate components such as the propeller, engines, and electronic systems needed for navigation. Large shipbuilding companies utilize a wide range of products that allow them to construct vessels that meet the specific requirements of their clients. These could be LNG carriers, LPG carriers, drillships, tankers, full container ships, and other special purpose ships. These components may be manufactured by the same company or sourced from other manufacturers. Either way, it is crucial to maintain a transparent supply chain to ensure quality and efficiency.
The incorporation of blockchain will also have the added benefit of reducing paper trail as a majority of the operations that were traditionally done on paper will be executed electronically in a blockchain network. Since operations on blockchain (such as real-time reconciliation across nodes) take a fraction of the time normally taken by other systems, it also saves energy.
The South Korean government has prioritized its responsibility toward the environment while not compromising with its goal to strengthen its economy and bring about a paradigm shift in the shipbuilding industry. It has aimed to place orders for 140 Liquefied Natural Gas or LNG-powered ship from small and medium-sized shipbuilders by 2025. Not only are LNG-powered carriers in high demand across the globe, but it also has a low carbon footprint and low fuel costs.
About HashCash Consultants
HashCash Consultants started as a Blockchain Consulting Company in California. Today, HashCash products enable enterprises to move assets and settle payments across borders in real-time using HashCash Blockchain network, HC NET. Financial Institutions use HC NET for Retail Remittances, Corporate Payments, Trade Finance, and Payment Processing. HashCash also runs the US-based cryptocurrency exchange, PayBito and the leading Cryptocurrency payment processor, BillBitcoins. HashCash offers cryptocurrency exchange and payment processor white label solutions, comprehensive ICO services and customized use case design and development.