We at Blockchain Corporation positioned ourselves to become global leaders in cannabis cultivation research, processing and distribution, as well as the implementation of blockchain technologies for purposes of cannabis life cycle and supply chain management
The cannabis industry requires a technology infrastructure to support and improve the multistage cultivation process of cannabis. Most cannabis software solutions today are built primarily around regulations to help cultivators’ compliance with government rules. This causes frustration due to the thousands of dollars spent on software that is not easy to use and provides limited value.
Supply chains in the emerging cannabis industry are relatively unsophisticated. Upstream, licensed producers have limited experience, having handled only medicinal cannabis to date, which represents just 10% of their maximum target volumes. Midstream, distributors also lack certain capabilities and will need to adapt to a new business model and regulatory environment.
Medical cannabis legalization have resulted in an increased role concerning law enforcement and government regulation in the cannabis industry. Regulators require detailed information regarding a medical cannabis cultivator’s business: where the product comes from, the results of any testing that has been done, the specified amount produced, and distribution.
Suppliers often manipulate their product quality and quantities, pushing for higher prices while offering low product quality. This causes great concern as the end buyer will never be certain of the product life cycle, how the product was grown, what the actual product is and how the product was packaged and handled.
A major challenge faced by pharmaceutical companies is to reduce the number of counterfeit products entering the market. Companies that attach anti-counterfeit labels on their goods provide customers with confirmation that the product is exactly what it claims to be.
A significant problem in the cannabis industry is that most medical cannabis dispensaries are barred from depositing or withdrawing from top banking institutions and thus have to rely on cash-in-hand operations, which is incredibly difficult considering the amount of money handled daily.
The Blockchain Corporation team is committed to solving problems in the medical cannabis industry and focusing attention on implementing real-world blockchain technology solutions to ensure consistent crop growth of excellent quality and quantity. It aspires to streamline the cultivation life cycle of the cannabis crop and deliver pinpoint supply chain solutions to enhance product trace ability.
Blockchain Corporation will do this by positioning itself as an early adopter and implementer of a combination of Blockchain and Hyperledger technologies to manage the medical cannabis production life cycle and supply chain. Key focus areas are cultivation life cycle management and supply chain management.
The cannabis industry requires a technology infrastructure to support and improve the multistage cultivation process of cannabis. Blockchain Corporation has identified three major areas which need to be addressed.
· Process and cost analysis
A process will be implemented to track all nutrients and materials used for growing a cannabis crop to calculate the cost per gram by plant, batch and strain.
· Genealogy tracking and optimization
This system will help CannaCor keep a record of a strong, diverse genetic portfolio, which will track the genealogy of each plant and create new hybrids based on cultivators’ preferences.
· Product quality and consistency
Currently cultivators struggle to produce a harvest of consistent quantity and quality by following repeated processes. In order to improve this aspect of cultivation, our system will track a batch and capture all information pertaining to its genealogy, exact amount of water and nutrients used, the precise pH, temperature and humidity at each stage of the batch’s cultivation process.
Blockchain Corporation will create a network of processes that moves the product along from the suppliers of raw materials to the organizations which deal directly with users. The three major steps in the supply chain blockchain process are as follows:
· Decentralized data record
Blockchain technology provides the utmost transparency in the decentralized recording of data. It ensures the supply chain record is secure, transparent, verifiable and immutable.
By integrating blockchain technology into packaging, the cannabis industry and its affiliates (retailers, shop owners, etc.) will be able to track the precise real-world movement of their cannabis inventory on an individual shipment basis. When a product is scanned, no data needs to be entered. It is all covered by the back-end software, eliminating the need for training staff to operate the system.
· QR code scanning
The company will make use of tracking technology which can communicate with modern smartphones, making implementation of this system simple for producers, retailers and consumers alike.
With blockchain technology , extra costs can be reduced while maintaining the security of the transactions. Also, the intermediaries in the supply chain are eliminated. This reduces the risk of fraud and duplicity of products and enhances accurate record-keeping and savings.
With multiple participants in the complex supply chain, building trust in the system is essential for smooth operations. The blockchain is characterized by immutable record-keeping which prevents the information from being tampered with on all levels.
The most common use of blockchain in supply chains is to improve trace-ability. It will enable cannabis cultivators to quickly track “unsafe” products back to their source and determine where they have been distributed.
Blockchain has the potential to become the basis of new operating models, but its initial impact will be in driving operational efficiencies. Costs can be reduced in existing processes by removing intermediaries or eliminating the administrative effort of record-keeping and transaction reconciliation.
The potential for transparency, both internally and externally, can provide cannabis cultivators with the opportunity to:
· replace certain back-office functions
· provide unprecedented cohesion to internal cultivation procedures
· show an account of consensus with an audit trail of transactions that have been cryptographically encoded
By seeing everything in real-time, it is much easier for the employees to manage excess inventory, clear stock, manage stock-outs and help reduce employee errors. The inaccuracies can easily be calculated, reducing costs and maximizing revenue.
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