The Australian government is awarding $4.1 million in grants for two blockchain-based pilot projects to study the potential of blockchain technology in supply chain systems.
Prime Minister Scott Morrison’s government says the investigation will help ease regulatory compliance burdens, according to a press release on Monday.
The government has invested approximately A$5.6 million (US$4.1 million) in Everledger, the provenance blockchain startup, and technology consultancy Convergence.Tech.
Through its Blockchain Pilot Grants program, the government hopes that companies will increase the productivity and competitiveness of Australia’s critical minerals and food and drink sectors.
Everledger has been awarded A$3 million (US$2.2 million) to explore the use of blockchain in the digital certification of critical minerals during the extraction and transportation phases.
The Morrison Government hopes the Everledger search will help companies in the mining industry adhere to compliance regulations as demand for Australian products increases globally.
Covergence.Tech has been awarded A$2.66 million (US$2 million) to help automate reporting processes under a commodity-based tax, which is an excise duty, on goods and services, including alcohol.
Convergence seeks to reduce compliance costs associated with creating, storing and transporting products in the food and beverage industry, according to the press release.
Christian Porter, Australia’s minister for industry, science and technology, said the grants will show the potential of blockchain technology to help companies reduce costs and red tape throughout the supply chain process.
“These two successful projects will also highlight opportunities to improve the technical and regulatory environment for blockchain in Australia, bolster blockchain literacy and support collaboration between Australian governments, the private sector and blockchain companies,” Porter said.
The blockchain grants coincide with the country’s National Blockchain Roadmap, a 52-page roadmap outlining a five-year plan for how blockchain technology can be used to reduce compliance costs, develop the technology, and expand it. internationally.