On 19th August 2019, BiiLabs Editor issued a report about the new partnership between IOTA distributed ledger technology and CellWine, a wine Management App, for innovative wine cellar management services.
IOTA is an open-source distributed ledger that powers the future of the Internet of Things (IoT) free of charge microtransactions and offers data integrity for machines. Cellwine is a technology company that promotes wine-loving culture by offering personal cellar assistant services.
The Future of the Wine Industry with DLT
The global wine revenue potential is expected to rise as the wine lure develops essence over time. Growing at a compound annual growth rate of approximately 5.8 percent, between 2017 and 2023, the wine market revenue will exceed $420 billion by the end of 2023. The sensitivity of growing exceptional wine depends mostly on the conditions of the maturity of the product. These include specific storage conditions such as no exposure to sunlight, constant cold temperature, and relative humidity.
Such delicate conditions offer a challenge to wine lovers and collectors, especially those in urban areas. In the long term, information about wine cost, production data, or wine collection value may become bulky to a collector. Many people have learned to improvise in many ways, which still give rise to other challenges.
To rid the industry of such problems, company CellWine has collaborated with a blockchain technology company, BiiLabs Alfred, to offer an innovative wine cellar storage system. BiiLabs is a fintech firm that seeks to evolve businesses by implementing blockchain technology. Cellwine offers cellar storage, tracks your wine cellar, updates your wine investment value, and collects preference data to provide customized wine suggestions.
Cellwine services utilize IOTA’s sharing concept in its Cellwine Butler mobile application that consolidates multiple cellar storage facilities. CellApp can offer real-time cellar statuses with the help of integrated third-party logistics.
IOTA Implementation on Wine Traceability Platform
BiiLabs Alfred API solves data authenticity problem by using encryption. It uses DLT to create a digital footprint on recorded data and store it on Tangle. Through Tangle, which is IOTA’s revolutionary distributed ledger technology (DLT), the company has been able to solve inefficiencies of the blockchain technology. IOTA looks to empower machines and humans to take part in flourishing new free economies by providing a secure, scalable, and feeless transaction platform. This concept is employed to CellWine’s cellar storage sharing.
IOTA consists of a stream of transactions grouped instead of transactions grouped into and stored as blockchains. To participate in the Tangle network, a person needs to only perform a small computation to verify the previous two operations, and the two subsequent verify the current transaction. This system is called pay-it-forward and is carried out free of charge. Tangle can store information securely within its operations and spread more significant amounts of data across multiple bundles or linked transactions.
As a decentralized peer-to-peer system, IOTA makes data tampering impossible. CellWine co-ventured with Blockchain-distributed ledger technology expert BiiLabs, to give every wine cellar its Blockchain identify and to provide storage history records of cellars. BiiLabs API guarantees the authenticity of data by using encryption. Their decentralized database is also updated cryptographically to ensure proof of existence for every bottle in CellWine cellars and CellWine certification data authenticity.
With IOTA’s Tangle, the advantages include proof of existence (PoE). DLT secures all data through the hash algorithm that gives a unique digital footprint to output per the input records. A hash value offers complete verifiability and can develop into credentials. However, since the data is stored off-chain, credentials could lack content and therefore provide only proof of the existence of data and not necessarily the details of the data. With Tangle’s provision of unique bottle identity and history of records storage in wine cellars, Cellwine can quickly provide a tamper-free and therefore trustworthy database to their customers. This makes their certification reliable.
As reported on Blockchainreporter, VeChain is another company that delivers internet of things solutions like IOWA, through VeChainThor (VET), its dual-token blockchain-as-a-service (BaaS) platform. It is a public blockchain gets its value when users create activities within its ecosystem. Through VET a wine traceability platform, an encrypted tag, which is designed for wine products, is attached to a wine bottle. The NFC chip, as it is called, will provide customers with access to all information about the wine bottle. VeChain uses a smart chip known as NFC chip, QR codes, and RFID trackers to place enterprise Internet of things on the Blockchain.