US:American Shipper, a publication and magazine dedicated to news about shippers, carriers, and third parties involved in international transportation, reported that the U.S. Customs and Border Protection (CBP) will begin to “live start testing” blockchain functionality to verify certificates.
During the CBP’s 2018 Trade Symposium in Atlanta, CBP Business Transformation and Innovation Division Director Vincent Annunziato discussed the revolutionary move made by the government to begin piloting the use of blockchain technology in the shipping industry. He stated that the motive for the initiative is twofold: for the smooth market adoption process for blockchain tech and for the preparation of exponential growth of the technology.
In this particular testing phase, the CBP will use blockchain technology to verify NAFTA and CAFTA certificates produced in September. If all goes well, the technology would allow the agency to obtain and verify more accurate information about suppliers and origins of imported goods.
Annunziato added that CBP is collaborating with the Commercial Customs Operations Advisory Committee (COAC) on the use exploration of blockchain technology in the possible use of intellectual property environment to identify licensees and licensors.
The supply chain has been always considered a potential field waiting to be revolutionized by blockchain technology. The secure and “trustless” storage of information through blockchain technology teases the potential future of “data without borders”. If blockchain becomes integrated within the supply chains around the world, it could completely replace paper processes by seamlessly streamlining the information flow.
While there is a mountain of kinks that need to be worked out before blockchain can become fully integrated, namely interoperability, CBP and COAC remain optimistic about the technology, and are beginning to test the waters.