Much of the current talk surrounding digitisation of trade examines Blockchain. Whilst this is a key development for the future, as we have mentioned in previous blogs, perhaps a more exciting evolvement is the Internet of Things (IoT).
It is estimated that the IoT will have 50 billion sensors connected to the Internet by 2020 and 1 trillion by 2025 (DHL and Cisco, Internet of Things in Logistics, 2015).
The IoT embeds sensory and wireless technology within objects, making it possible to digitally transfer ownership of all kinds of physical property. The technology has an additional benefit in that it also provides the ‘object' with the ability to transmit data in respect of identity, existing condition and the environment in which it is based.
In the trade world, advantages could be obtained in a number of scenarios including:
Based upon recent developments, it is clear that a lot of attention will be focussed upon the Blockchain. The IoT will need, by default, a ‘Ledger of Things' and this is where Blockchain will play an important role.