Primary school kids today cannot envisage a world where smart phones did not exist. Equally, when infants of today reach primary school, they will be incredulous previous generations did not know the farmer or fisher who provided the food they ate, the sustainability of the harvesting nor whether the supply chain was ethical.
Now, just imagine those future primary school kids had a world where farmers, fishers, chefs and consumers knew and trusted the ethics and sustainability of the supply chain participants from the farm and boat to the consumer. Imagine still a redistribution of power and benefit with an equitable food system between producers, value adding logistics partners, chefs and consumers.
Imagine further a world where technology provides the efficiencies needed to repair an increasingly fractured ecology: Where fish stay in the water until they are ordered and vegetables stays in the ground until required; where the 50% of waste in our supply chains disappears.
Two Hands is on the path to deliver this future by unleashing the power of blockchain technology with a Next Generation business model. The Two Hands team, based in Melbourne, Adelaide, Shanghai and Silicon Valley, is one of the first globally to monetise a blockchain application solving critical real-world issues.
Today, supply chains are failing humanity. Food supply chains still largely operate on paper-based records, which creates interdependencies between intermediaries and ample opportunities to falsify records.
Blockchain technology has provided the promise of a solution. By providing a cryptographically secure and immutable record of transactions and associated metadata (such as origin, contracts, process steps, microbial records), blockchain promises to bring greater traceability, transparency and efficiency to the exchange of value and information between all supply chain actors.
There are a number of blockchain traceability applications now available globally, but most have been built to overlay existing food supply chains, or are a generic solution serving a number of industries. They can be great tech, but not directly satisfying supply chain stakeholders, especially producers, last mile distribution and consumers. The key weakness of these solutions stems from the fact they preserve the existing multi-enterprise supply chain structure.
Recognising this, Two Hands has partnered with GoChain – a Silicon Valley based tech company with world leading distributed leger and blockchain technology. Using GoChain’s blockchain-as-a-service platform enables Two Hands to focus on solving the real-world pain points specific to producers, restaurants and consumers. GoChain enables Two Hands to scale and accelerate its future.
Our insight is the potential of blockchain and other technologies can only be realised if the food supply chain is reengineered to re-establish closeness and trust through-out the supply chain between the producer and consumer. The ability of our marketplace to transact information and value at the same time, without the need of many controlling intermediaries, combined with a Next Generation way of doing business, are key to Two Hands efforts to build a supply chain where all players are engaged and act ethically, transparently and collaboratively.
The Two Hands Marketplace
The Two Hands marketplace provides the ecosystem for fishers and farmers, logistics partners and restaurants to operate in a supply chain with trust and transparency. Participation in the marketplace requires acceptance of our governance rules and regulations.
Performance measures are built into the marketplace, supported by blockchain tech, to hold to account each participant. Ultimately, as the marketplace evolves, the community curation of each supply chain actor will take place.
The intent for our digital marketplace is to become indispensable to our users – fishers, farmers, chefs and consumers. To achieve this, our marketplace will provide more than just information relevant to the buying and selling of product. We envision providing an ‘ecosystem’ – a virtual universe of information, ideas, inspiration, data – that meets other needs of the various users unrelated to the business of product buying and selling. Our technology is focussed on a greater consumer experience and, by providing this, Two Hands builds life-long relationships with its users.
The touchpoints of the Two Hands technology with our supply chain are outlined in the diagram below. The QR code, shown at various locations, indicate points where information is uploaded to the blockchain during the product’s supply chain journey. The colour coding shows the different layers of the Two Hands technology interacting with our blockchain at each step of the supply chain.
The centrepiece of the technology platform involves the interplay between the distributed ledger and our Two Hands marketplace. Data from blockchain drives the performance metrics that feeds the marketplace. Similarly, transactions processed in the marketplace will ultimately be served to our blockchain for financial smart contract management.
Fulfilling the blockchain technology capability
Two Hands is building a global marketplace governance model involving a public curated registry (PCR) (also known as a token curated registry) with a “Jedi global council” overseeing governance, rules and behaviours. The purpose of the registry is to incentivise ethical behaviour within the marketplace where ethics, sustainability, trust, transparency and collaboration are key.
The registry works to retain and reward ‘good’ actors while removing ‘bad’ actors (i.e. participants with poor performance or unethical, unsustainable behaviours such as food fraud and environmental negligence). Actors removed from the registry will also be removed from the Two Hands marketplace. The reputational effect of an efficient PCR will provide end consumers and other potential supply chain participants with information on:
- The credibility and corporate social responsibility of Two Hands’ marketplace
- The trustworthiness, credibility and sustainability of Two Hands marketplace participants
- Whether they wish to join the Two Hands marketplace
Blockchain technology is much bigger than track and trace applications. The world has not seen the great beauty in blockchain technology… yet. Blockchain has the potential to distribute power and make ethical and sustainable actors of everyone. It is the mega change Two Hands offers.
About Two Hands
Two Hands is a B2B managed marketplace, restoring provenance, traceability, ethics and human connections between food producers and restaurants. We are one of the few companies globally to monetise a blockchain platform, solving US$100bn global problems of food fraud and supply chain inefficiencies.
Directly connecting producers and restaurants enables reinvention of the supply chain, with significant reduction in costs, which we share with our key users. We generate ~20% cost savings versus traditional supply chains by (1) eliminating multiple middlemen, like the Chinese wet markets and wholesalers; and (2) reinventing the role of remaining supply chain participants. These participants are committed to a shared vision and collaborative approach, leading to an ethical supply chain.