Cryptocurrencies has brought about a revolution that started with Bitcoin. As the market evolved, more platforms were created and specialised use cases were built on Ethereum platform. These use cases cater to different industries that have specific inefficiencies and lack of transparency.
Agriculture is one such sector. It is highly disorganized, very difficult to maintain standards, dealing in perishable products, have long supply chain but short shelf life, complex transport networks and require coordination amongst thousands of suppliers and logistics providers before the produce can reach the consumer.
Union Chain is a blockchain based solution that aims to create a Decentralised Autonomous Organisation (DAO) to bring about immense efficiencies in this market.
The agriculture supply market has many problems but Union Chain is currently addressing three major ones:
Food safety is a major concern with dipping quality, lack of standardisation of produce, problems of pilferage, traceability, poor storage conditions and counterfeiting. Food is such a perishable item that if it is not delivered in time and transported in the right conditions, it will lose its value and can even harm the consumer creating a possibility of lawsuits for the provider.
Low Production efficiency
Production is mainly done in small farms without any efficiencies that come with scale. The means of production are outdated and little or no automation or equipment is used in the production.
Industry finance and credit
There are very few avenues for credible organized finance to this sector. Since it is comprised of small scale businesses, they do not have access to finance. Their operations are largely scattered and that creates another problem in getting new loans to buy equipment or new seeds or any raw material that is required to have a good yield.
Union Chain was born out of the need to solve these three problems of this multi-billion dollar market. By using blockchain-based solution with the help of Artificial Intelligence, big data, Internet of Things (IoT) and cloud computing.
Internet of Things for data collection
With agricultural produce, it is difficult to track because it is difficult to gather all the data at production, verify it at storage and at the end consumer’s end. Union Chain aims to do this by using the latest Internet of Things technology. This technology involves installing micro-sensors to the packaging and it can be scanned and tracked anywhere in the supply chain thereby providing a bird’s eye view of all the produce at any given point in time. This prevents the produce for going stale, deters counterfeiting and is easy for all access points to use.
Decentralized Autonomous Organisation
One of the problems in agri-business is the involvement of too many stakeholders. Cooperation and coordination amongst so many stakeholders is a huge problem. Union Chain solves this problem by creation of a DAO, an organisation that is run by the people who are its stakeholders and is governed by the rules built on the blockchain. DAO is one of the biggest innovations in the blockchain industry and is being used to ensure the governance is fair and that all stakeholders can participate in a fair market.
Here, a DAO lowers the cost of transaction, breaks across barriers and facilitates easy transactions. The entire DAO will be governed by Union Chain token and the economy will be supported by immutable transactions on the blockchain.
Union Chain upgrades the banking finance and credit system. With standardisation and decentralisation, the assets will be divisible and can be owned in part by any actor in the tokenised economy. This brings in the possibility of scale and efficiencies that come with scale.
Union Chain will also have Smart Contract based offerings based on the data provided by each farmer. So if a farmer is worried about bad weather, they can purchase an insurance to cover that via Union Chain. The smart contracts are a part of the DAO and can be paid by the token economy and if there is a casualty, the DAO will also pay the farmer by the tokens. This facilitates provision of services without having to go through the red tape and paperwork.
The technology is built on four layers – the application layer, the contract layer, dialogue layer and the contract layer.
Union Chain will provide a Smart Wallet, an information system that will provide a view of the end-to-end data in the system, the hardware needed to install and run the systems in an integral way.
An agricultural brain is built-in the solution to provide a complete networked infrastructure on top of the industrial and commercial hardware that various players at each stage of the supply chain will be using.
UNION token is the fuel of this futuristic economy. There will be 1 billion tokens out of which only 20% will be sold to the public.
Union Chain is an exhaustive technology platform that covers every detail and stakeholder in the agriculture supply chain. With the integration of various technologies right from blockchain to AI to big data and the Internet of Things, the future of agriculture can be easily visualised to be efficient and transparent. The economic model that will be fuelled by the token UNION will ensure there is liquidity, trust and transparency. The sector’s needs are addressed in the perfect possible solution.