Cannabis & The Blockchain
Recently, there has been a handful of companies attempting to unite both the crypto world and the marijuana industry.
If successful, this could have an incredible impact on tracking cannabis supply chains through blockchain technology. This would make it easier for all parties involved in the production and sale of recreational and medical marijuana.
With states such as California, Colorado, Washington, Alaska, Oregon, Massachusetts, Nevada, and Vermont legalizing the use of marijuana, it seems like now is better time than any for technologies like this to emerge in the United States.
One of the companies looking to make this connection happen is Hyperledger. They are an open source software with a goal to created shared ledger databases that support business transactions from any industry.
420 Blockchain is built on Hyperledger and provides cannabis products with a unique ID. This unique id is then placed on the blockchain to provide Seed-to-Sale traceability, compliance with state and local government, analytics to better understand customer behavior, while also providing payment solutions.
By producing smart contracts tailored to specific states, 420 Blockchain’s ledger offers the cannabis industry a way around the fact that marijuana laws are different in different states.
With such fragmentation in the industry, infrastructure in the blockchain provides growers, distributors, and sellers a way to tie into an unified backbone that transcends state boundaries.
Budbo, which is a company we have chosen to invest heavily in during their recent ICO period, is a California startup that is building a “global blockchain-based immutable ledger.”
In Budbo’s whitepaper, their platform is described as a system “on which dispensaries, manufacturers, and growers can get the most accurate data possible on patient and user preferences.”
The blockchain’s ability to dependably track and record every action ‘from seed to sale’ is the next big thing that will enable this industry to grow.
We expect the blockchain to affect many other industries like it has cannabis over the next couple of years.