Exploring the Potential of Blockchain Applications in the Mining Industry

Posted by Oodles Technologies on February 11th, 2020

Blockchain is transforming almost every industry by providing solutions to digitize complex processes and make them efficient. It provides transparency and security in business transactions and ensures that the state of information associated with designs, documents, and other business contracts remain unalterable. These blockchain attributes make it useful and relevant to the mining industry.

It might surprise you that blockchain’s capabilities extend beyond cryptocurrency development. Although technology is arduous to understand, the benefits it provides to enterprises are quite straightforward.

Enhanced Compliance

Using blockchain solutions can make compliance quite easier and less complicated for mining and metals companies. Companies that focus on adapting to increasingly technical developments to equipment, being socially responsible, and enhancing transparency across different levels of the company can all benefit from blockchain app development.

Strengthened Security with Less Errors

Mining companies can safely ship materials with solutions built using blockchain for supply chain by tracking them at each step of the process. Also, they can get rid of paperwork, and their chances of being lost, damaged or destroyed. They can greatly reduce errors, and significantly raise the level of safety and transparency across the network.

Efficient Business Transactions

With blockchain smart contracts, it can be quicker and easier to deal with countless business transactions per day. Blockchain’s biggest potential lies in its capability to facilitate mining companies to achieve end-to-end transparency while expediting business transactions across mineral supply chains. Transparency and efficiency are vital industry considerations that mining companies need to fulfill, as the industry is becoming more consumer-focused.

If you are a mining company wanting to explore and experiment with blockchain implementation to achieve supply chain transparency, visit our blockchain supply chain development services.

Blockchain Applications in the Mining Industry

Safeguarding from Cyber-attacks

The mining industry is at the top in receiving spam messages and notifications. Using blockchain’s digital ledger can enable them to track each transaction while ensuring security with data encryption. Also, it eliminates the dependency on intermediaries for operations, which ultimately leads less exposure of information to hackers, as smart contracts manage the validation automatically and electronically. That way, the blockchain acts as an extra security layer for the mining industry.

Cost Reduction

Mining companies are established across the globe. Consequently, they face the challenges of costly cross-border payments. However, blockchain provides efficient, secure, and cost-effective remittances. It eliminates security issues while expediting the transaction execution process with smart contracts. Additionally, with blockchain-powered cross-border payment solutions, mining companies can get rid of costly exchange rates.

Reconcile Amount Produced and Sent to Processing Plants 

It is quite challenging for mining organizations to consolidate the data of the amount produced in mines and sent to processing units. If we deploy a blockchain solution combined with appropriate measurement procedures and technologies, it can automate the reconciliation process. Then, the solution can have each esteem enlisted in the record book automatically. 

IoT Data Processing

Most of the miners use Blockchain to process the data generated by connected devices more effectively. For instance, blockchain and IoT supply chain solutions can enable companies to connect a vehicle with a warehouse and facilitate them to coordinate and order new stock, with automated payment processed on delivery.