Applications and Use Cases

AI and Blockchain Transforming Cannabis Industry

February 23, 2021

AI and blockchain technologies are streamlining the booming cannabis industry, and particularly the delivery market. Florida-based NxGen Brands has announced they are integrating cryptocurrency, blockchain and AI as part of their core secure delivery model.

The company chose the technologies in response to customer requests for payment alternatives and improvement to security design. The new technologies will augment the company's SaaS licensing model for its dispensaries, which are located throughout the US.

NxGen said the new design will ensure its customers benefit from high levels of compliance, validation and security to meet the demands for state and federal oversight. Blockchain will be used to confirm and register a transaction  so that it may not be modified. When a dispensary sends an order using the company's secure network, it will begin with a secure identifier assigned to the transaction, which will be registered into the blockchain. All additional activity will automatically be included and the event will become registered.

The copay is is also using AI to enhance its delivery network and software design. The technology will help NxGen to keep up with the fast pace of the cannabis industry and enable the company to migrate to other revenue generating models for delivery and supply chain integration. It will also assist with streamlining real-time operations and facilitating higher performing application output.

"I am proud to see the how the final version of the delivery application will allow not only compliance at all levels, but will also assist in transport analysis, real time efficient routes for drivers and suppliers," said Angel Burgos, CEO of NxGen Brands. "Being able to forecast arrivals and deliveries from within the network will be invaluable as operations streamline themselves."

AI and blockchain are increasingly being used throughout the cannabis industry to increase the scale, efficiency and safety of the entire network and supply chain design. AI is also being integrated to boost sales by tailoring search and product recommendations, as well as individual delivery capabilities, to individual customers. Chatbots have also been implemented to aid customers in choosing the correct strains, while AI and machine learning are helping businesses boost operational efficiencies.

"Blockchain, steadily gaining adoption in other markets, could be the next game-changing technology for the cannabis industry," claims a report in Cannabis Business Times. "Proven in mainstream food safety, pharmaceuticals and other sectors, blockchain-powered platforms offer potential benefits for everyone, from breeders with new genetics to consumers shopping dispensary shelves."

Edited by Maurice Nagle



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