Global shipping leaders join IBM and Maersk blockchain platform

Two of the world's largest container carriers announced a full integration onto IBM and Maersk's TradeLens blockchain platform.

CMA CGM, a French container and shipping company, along with MSC Mediterranean Shipping Company have joined the TradeLens network to enable a complete digital transformation of their supply chains.

Marvin Erdly, head of TradeLens for IBM Blockchain, told Cointelegraph that as supply chains become digitized, manual paper-based processes, like processing bills of lading, are removed from the equation.

"These processes are now embedded in blockchain networks and smart contracts that are trusted by all parties involved," he said.

Erdly further shared that both CMA CGM and MSC, together with Maersk, will act as platform foundation carriers by running nodes on the TradeLens network.

"The initial challenge faced by the TradeLens network was reaching a critical mass. The more entities we have on the network, the more valuable the network becomes. The COVID-19 pandemic has pushed the platform into having a critical mass. Other entities will now want to join, ultimately creating a network effect. This is why CMA CGM and MSC joining is such an important milestone."

The platform, which is powered by IBM Blockchain and IBM Cloud, makes it possible for entities to access data, while keeping sensitive information private for organizations.

Re Simha, global chief digital and information officer for MSC, noted that TradeLens is an important initiative in the digitalization of global shipping and logistics, mentioning the platform clearly has the potential to help carriers and their customers increase transparency and reduce errors and delays.

Simha further noted that by integrating with TradeLens, the company can begin to show their customers and business partners how they can create value using a blockchain platform.

Ironically enough, getting customers to understand the value of a blockchain network should become easier due to the pandemic.