In this episode of LokadTV, we dip our toes into the rather contentious waters of Blockchain and Bitcoins. Bitcoin has, in particular, captured the imagination of the media and it’s easy to see why. With a mysterious, anonymous inventor, “bad guys” making fortunes with get-rich-quick frauds and random students becoming overnight millionaires, it certainly has all the makings of a box-office hit.
In this discussion, we strive to leave behind the mania surrounding cryptocurrencies and instead try to make sense of it all from a supply chain perspective. We discuss in more depth the importance of Bitcoin for Blockchain technology and endeavour to get to the bottom of how it can work in practice in the supply chains of tomorrow.
For example, many supply chain systems have been in place for decades and function with a “security through obscurity” approach, where the infrastructure is so complex - as well as being out-of-date and nonsensically constructed - that it completely discourages hackers. Bitcoin is the complete opposite, it’s open-source and transparent.
We wrap things up by elaborating how Blockchain isn’t secure enough without Bitcoin and that the two need to function together, the fact that money is involved because it fundamentally creates trust through economic incentives, which we expand on with real-life examples from aerospace.
00:45 Just to clarify a bit, are we talking about blockchain or about Bitcoin?
03:00 Is there no other way of securing these blockchains at all?
04:01 What can supply chain chains actually do with Bitcoins? Do you have an example in the real world?
07:04 What about supply chains that are already very secure, where counterfeits are almost nonexistent? Do those supply chains have anything to gain from Bitcoin?
10:38 The aerospace industry is incredibly regulated. Do you think it can ever fully trust Bitcoin?
11:57 What does it mean security through obscurity?
14:35 Where should supply chain executives place Bitcoin? Should Bitcoin be a priority for them?