The collapse of Maersk’s TradeLens initiative is a warning about the viability of logistics and transportation blockchain consortia. Launched in 2018 as a joint venture between Maersk and IBM, TradeLens aimed to transform global supply chain management using blockchain technology to improve transparency, efficiency and security. Despite initial enthusiasm and adoption by several key players in the industry, the struggles and eventual failure of TradeLens highlight the inherent challenges and limitations of blockchain consortia in complex and multi-stakeholder environments.
One of the key challenges facing blockchain consortia is. . as TradeLens gains widespread adoption and collaboration among industry players. While blockchain technology offers better information sharing and interoperability, realizing these benefits requires buy-in from various stakeholders, including shipping lines, port operators, customs authorities, freight forwarders and other logistics service providers. Convincing these disparate entities to join forces and share sensitive information on a common platform can be a daunting task, fraught with organizational, regulatory and competitive hurdles.
TradeLens, despite attracting many high-profile players, including global shipping. giants such as CMA CGM and MSC…
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