The Role Of Blockchain Technology In Supply Chains Against Cyber Threats

Abstract:

The use of blockchain technology in supply chains has the potential to significantly enhance the security and resilience of supply chains against cyber threats. This paper explores the fundamentals of blockchain technology for supply chain management, potential security attacks in blockchain-based supply chains, and the security of smart contracts and their execution environment. It also examines how every link in the supply chain can be secured against cyber threats, and evaluates whether blockchain technology can indeed improve the cybersecurity of supply chains.

Introduction:

Supply chain management is the process of effectively moving work-in-progress inventory, including raw materials, from their place of origin to the manufacturing point, and ultimately to the consumer. This process should be efficient and follow a strict schedule to ensure that products reach consumers when needed, while minimizing costs and building brand loyalty. Meanwhile, blockchain is a digital ledger that enables tracking, agreement exchange, smart contracts, and payment using cryptocurrency. Transactions are recorded into blocks that form the chain, creating a distributed and secure digital ledger.

Blockchain technology can serve as the backbone of a digitized supply chain, helping businesses and consumers track products from pickup to delivery. By providing a permanently saved digital ledger, blockchain ensures secure and reliable information sharing and transactions, reducing fraud, errors, and tracking fees. While blockchain was initially developed for the financial services sector, it is now being explored by....