Most people wouldn’t think that blockchain and hemp farming have anything to do with each other, let alone put them in the same sentence. But blockchain technology has many applications beyond cryptocurrency, including agriculture as well as supply chain monitoring and food safety assurance. As the uses for hemp-derived CBD expand to include foods, beverages, pharmaceuticals, and more, blockchain technology holds the potential to provide the supply chain transparency that manufacturers need and consumers will increasingly demand.
What is blockchain?
A blockchain refers to a string of data-filled “blocks.” Each of these blocks is timestamped and linked to the block before it. Developed to be a permanently verifiable means of recording data, a blockchain is highly resistant to modification or tampering, meaning that the data can also be trusted to be accurate. As such, blockchain technology is being used to provide transparency, security, verification, and audit-ability across a range of industries and processes.
How is blockchain being used in agriculture?
Blockchain can be used to verify the entire agricultural process, from seed to final product. It allows for tracking and verification of each step in the crop production process, starting with planting and including fertilizing, pesticide application, harvesting, extraction and isolation, packaging, and distribution. Each step in the process can be recorded and verified with time, date, and geolocation as well as a secondary means of verification.
What does blockchain have to do with CBD?
Blockchain has the potential to provide greater transparency across a range of industries, including the fast-growing CBD market. Because blockchain allows the tracing of CBD from hemp seed to store shelf, it can provide end-to-end supply chain visibility. This includes supplying proof that organic practices and standards are met, as well as substantiating claims about purity, consistency, and quality.
In an age of increasing consumer skepticism about the validity of marketing claims, the use of blockchain can provide transparency about the true origins of foods and other products, as well as trace the processes involved in their production. By providing unprecedented visibility into the growing and production process, blockchain-verified CBD production can help product brands increase consumer confidence and build loyalty.