How Blockchain Will Help Solve Wine Industry Challenges

Around the world, high-tech solutions like blockchain are increasingly being utilized to verify excellent wine and detect counterfeits.

Fremont, CA: The global wine business has soared to new heights, but experts estimate that every fifth bottle of wine sold in the world is phony, and every third bottle of French type is. This represents a loss of $60 billion to the global economy and tens of thousands of deaths per year due to the usage of low-quality counterfeit items.

The global wine business has soared to new heights, but experts estimate that every fifth bottle of wine sold in the world is phony, and every third bottle of French type is. This represents a loss of $60 billion to the global economy and tens of thousands of deaths per year due to the usage of low-quality counterfeit items.

How does blockchain help in solving the challenges of the wine industry?

Wine adulteration is the industry's most serious issue. Large-scale wine companies spend millions of dollars each year fighting counterfeit wines, implementing protection measures that outperform the Federal Reserve's efforts to defend the US dollar. For example, the world-famous Bordeaux wine maker Grands Vins de Gironde was fined $ 500,000 in April 2018 for selling low-cost table wines under the appearance of higher-priced types. As anybody can trace the wine's origins, such occurrences will become rare or disappear entirely thanks to the blockchain. Even if the manufacturer creates a forgery, it can be simply and swiftly identified by comparing the data used with the winery's true capabilities.

Temperature and humidity are the two most important factors that impact wine quality. The recommended storage temperature for strong wines is 10–12° C, while for dessert wines, it is 14–16° C, and it should not vary more than 3–5 degrees per day. Humidity is also vital, since its ideal level (60–70 percent) prevents the crust from drying up and mold from growing. According to polls, 90 percent of consumers want to be able to verify these and other aspects when buying wine, and more than 70 percent are willing to pay a greater price for it.

This need can be solved via blockchain, which allows tracking key metrics in real-time throughout the life of a wine. These data are stored in the blockchain network and made available to anybody so that they may examine the storage and transportation conditions of the "solar drink."

Users and appraisers will be able to receive detailed information about each bottle by digitizing the wine production process and writing the essential data to the blockchain. If wine producers include a rating system and the option to leave reviews, it will aid in the evaluation of taste, not just for the entire variety, but also for each particular batch.