1.1 Introduction
A blockchain-based system should be decentralized, trust less, collectively maintainable, reliable and anonymous. Decentralized: there is no central organization in the whole network and even if a node crashes, the whole system will still be up. Therefore, the block chain system is very robust. Catering the needs of the increasing population by growing more food with minimal resources while reducing environmental footprint, maximizing customer satisfaction, enabling transparency across the supply chain and guaranteeing fair income to farmers while handling the vagaries of the weather. The agricultural sector has a lot of challenges to overcome while improving profitability under unfavourable environmental conditions. From farmer to manufacturer
As a prelude to other parts of this study, this chapter will discuss the background upon which this study was initiated, the statement of problems that led to this study, the Aim and Objectives of the study. Others are Significance of the study, Scope of work, Limitations of the Study and Definition of technical terms.
1.2 Background of Study
Blockchain technology is one of the newest, hottest and most intriguing technologies currently in the market. The technology is capable of providing a secure, transparent, and efficient processes for Entrepreneurs, startup companies, investors, global organizations and governments. Block Chain technology is a digital ledger which uses bit coin or other crypto currency to conduct transactions which are recorded chronologically and publicly. The technology, which can be described as a diary is difficult to forge. The block chain is definitely a resourceful invention that has grown significantly in use with an estimated market size of over 540 Million DOllars in 2018. Block chain was conceptualized and distributed by Satoshi Nakamato in 2008. The technology is capable of holding a secure history of data exchanges, use a peer-to-peer network to time stamp and verify each exchange, and can autonomously be managed without a central authority. This constitutes the backbone of digital currencies such as Bitcoin and Ethereum. It is expected that as the technology is widely accepted the decentralized Block Chain system will impact positively on the way business is transacted and managed and also transform banks, financial institutions, and other firms. The study seeks to appraise the Blockchain - a Use in Smart Farming System.
1.3 Statement of the Problem
Block chain technology has not been legally accepted in Nigeria even though it is currently being propagated among the people and in the social media. The Central Bank of Nigeria (CBN) has public warned Nigerians to beware of investments in crypto currencies, stating that virtual currencies are not accepted legal tenders in the country. This lack of government support constitutes a major set back to the growth and acceptability of the technology. The block chain is definitely a resourceful invention that has grown significantly in use with an estimated market size of over 540 Million Dollars in 2018. Block chain was conceptualized and distributed by Satoshi Nakamato in 2008. The technology is capable of holding a secure history of data exchanges, use a peer-to-peer network to time stamp and verify each exchange, and can autonomously be managed without a central authority. However, there is the need to seek for government approval of the technology as a measure of expanding the network and acceptability.
1.4 Aim and Objectives of the Study
The aim of the study is to design and implementation of a Blockchain System using Smart Farming as a case study. In achieving this aim, the following specific objectives were laid out as follows to design and develop an application software that will:
- Assess the relevance of block chain in the use of smart farming
- Determine the effects of block chain on smart farming
- Establish the challenges of block chain technology in Nigeria.
1.5 Significance of Study
The study proffers an appraisal of the role of Block chain technology in emerging smart farming in Nigeria; it provides relevant data for the effective formulation and implementation of policies to enhance the realization of envisaged objective. This study will be of immense benefit to other researchers who intend to know more on this study and can also be used by non-researchers to build more on their research work. This study contributes to knowledge and could serve as a guide for other study.
1.6 Scope of Study
The study focuses on the design and implementation of a Blockchain System using Smart Farming as a case study.
1.7 Limitations of the Study
During the course of this study, many things militated against its completion, some of which are:
- Time Constraint: The time frame given to accomplish this project was very short due to school academic calendar and it was carried out under pressure which made the researcher not to implement some necessary features.
- Research material: availability of research material is a major setback to the scope of the study.
- Frequent power failure: This made the researcher append more money on fuel to ensure sustainable power.
- Financial Constraint: Insufficient fund tends to impede the efficiency of the researcher in sourcing for the relevant materials, literature or information and in the process of data collection (internet).
1.8 Definition of Terms
Blockchain Technology: Block Chain technology is a digital ledger which uses bitcoin or other crypto currency to conduct transactions which are recorded chronologically and publicly. The technology, which can be described as a diary is difficult to forge.
Procurement: Procurement is defined as the process of searching, finding, agreeing to terms, and buying goods, services, or works from an external source, through the process of tendering or competitive bidding process.
Procurement Fraud: Procurement fraud is the exercise of dishonestly, obtaining an advantage, avoiding an obligation or causing a loss to public property or various means during procurement process.
