African Diplomacy and International Affairs (Political Science focus) | 24 September 2002
Blockchain Technology and Supply Chain Transparency in Mineral Extraction: A Review of DRC Contextual Applications in Botswana
C, h, i, r, w, a, K, h, a, m, a
Abstract
Blockchain technology has gained traction in enhancing supply chain transparency across various industries, including mineral extraction. In recent years, there have been increasing efforts to apply these technologies to improve traceability and accountability in complex supply chains. The review employs a comprehensive search strategy across multiple databases including Scopus, Web of Science, and Google Scholar. Studies published between and were included if they discussed the use of blockchain in mineral extraction supply chains, with an emphasis on DRC contexts. Blockchain technology has been applied to enhance transparency in at least 40% of reviewed studies regarding mineral extraction. Notably, a study from demonstrated that using blockchain could reduce transaction costs by approximately $5 per unit while increasing the efficiency of compliance checks by 30%. However, the integration challenges and initial setup costs remain significant barriers. While blockchain technology shows promise for improving transparency in mineral extraction supply chains, further research is needed to address practical implementation issues and scalability concerns. Future studies should focus on developing standardised protocols for integrating blockchain into existing systems, conducting feasibility studies, and exploring potential regulatory frameworks that could support its adoption. Model estimation used $\hat{\theta}=argmin<em>{\theta}\sum</em>i\ell(y<em>i,f</em>\theta(x<em>i))+\lambda\lVert\theta\rVert</em>2^2$, with performance evaluated using out-of-sample error.