Bitcoin Global News (BGN)

January 17, 2019 -- ADVFN Crypto NewsWire -- The global mining industry is fraught with weaknesses that slow down its progress.

A report yesterday from Cointelegraph estimates that wastefulness in the space ranges from a heavy reliance on paper-based processes to manual instead of machine-based data processing and beyond. If these areas were improved, then the industry might rise above its’ current value, which could stand anywhere between $600 billion and $1.8 trillion, according to different sources.

Judging by the previously mentioned article from Cointelegraph, one particular blockchain-based solution might be the one to do this. Reportedly, IBM has connected with a company called MineHub Technologies that aims to “digitize the mining & metals industry,” to help them fulfill their goal using the blockchain.

On MineHub’s main website, they estimate that doing this will result in $320 billion in new value for the global mining industry. If you are questioning how this possible, the answer lies in creating a solution that will allow mining companies to digitize their supply chains with the help of the blockchain. What this boils down to is the blockchain’s core use case as an immutable ledger.

If all of a company’s supply chain data was consistently available in real-time in a way that illustrates every step of the production process unquestionably, then the industry would be far ahead of where it is today. Implementing such a solution however, will not be easy. As with any blockchain network, it will only gain value if enough users in its’ target market adopt it. As this particular partnership has the goal of creating an industry standard, reaching this point will be even more difficult.

Network effects reign supreme and are nearly impossible to harness in this case without the approval of almost every major industry player. Because of this, educating these players with hard data on the improvements that adopting this technology will bring is key.

 

 

By: BGN Editorial Staff
 

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