Blockchain Ship Register Developed By UK-Based Maritime Society Lloyd’s Registerbr>
British maritime classification society Lloyd’s Register (LR) has partnered with Applied Blockchain to develop a prototype that can register ships into class using blockchain technology.
Lloyd’s Register is a technical and business services organization and a maritime classification society, wholly owned by the Lloyd’s Register Foundation, a UK charity. LR is known best for the classification and certification of ships, and inspects and approves important components and accessories. It created the first register of ships in 1764, a tool used to provide merchants and underwriters information about the quality and condition of vessels they chartered and insured.
Based in the Level39 FinTech Accelerator in Canary Wharf, London, Applied Blockchain is a blockchain applications development company, focusing on distributed ledger technology and smart contracts. The company is self-funded and has built private blockchain applications that are now live in production environments, being used by real customers, including Shell, KLM, United Nations, Toyota, SITA, Lloyds Register, and a range of blockchain startups.
The two companies created a prototype blockchain platform designed to enable more efficient shipping registration. The prototype is currently demonstrated at the international maritime trade fair SMM taking place in Hamburg, Germany from September 4-7.
Nick Brown, LR Marine & Offshore Director, said that LR has been testing blockchain for ship registration and they have identified multiple potential sources of value by adopting this technology in relation to the management of the activities required as part of this process.
“A blockchain-based register provides immutability and auditability, therefore providing enhanced trust in the information provided on the platform and also potentially facilitating the trusted information to be available ‘up-to-the-minute’ allowing financing, insuring, payments etc to be provided more dynamically,” Brown said. “This value discovery project has culminated in a prototype blockchain-enabled register tool. We are now focused on how we can extend the value to other stakeholders in the maritime supply chain.”
Gary Pogson, LR Lead Technical Specialist, Marine and Offshore, said that they have taken a systems approach in undertaking this project, exploring customer needs to derive requirements.
“In looking at potential solutions, we’ve been careful to ask whether blockchain is a valid component of a solution,” Pogson said. “In our view, applied carefully as part of a well-designed system, it is uniquely disposed to offer additional value and set a foundation for the maritime industry’s future needs.”
Adi Ben-Ari, Founder and CEO of Applied Blockchain, said that his company has worked with Lloyd’s Register to understand how blockchain innovation will shape the future of the maritime industry. He said if implemented correctly, “blockchain technology has the potential to bring greater efficiency, security and trust to maritime industry transactions.”