Posted: November 28th, 2023

Adopting Blockchain to Track Seafarer Credentials and Reduce Risk of Fraudulent Certification

Adopting Blockchain to Track Seafarer Credentials and Reduce Risk of Fraudulent Certification

The shipping industry relies on qualified seafarers to safely and efficiently transport cargo across the world's oceans. However, the current paper-based system for tracking seafarer qualifications is vulnerable to fraudulent documents, posing risks to maritime safety and security. This paper examines how implementing a blockchain-based system could revolutionize how individual seafarers' credentials are recorded, verified and authenticated, helping to reduce instances of fake or duplicated certificates entering the industry.
Blockchain Technology and Seafarer Credentials

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Blockchain is a distributed digital ledger that can record transactions in an open yet secure manner. Each transaction is recorded as a "block" of data that is time-stamped and linked to previous blocks, forming an immutable chain. For seafarer credentials, individual qualifications and endorsements could be recorded as blockchain transactions, with seafarers owning a unique digital identity (Baz et al., 2021). Authorized entities like training centers, administrations and employers would be able to add new credential records to the blockchain, while seafarers and other stakeholders could easily verify credential status. This level of transparency and traceability could help address issues of fraudulent documents in the current paper-based system (Drewry, 2020).
Pilot Projects and Potential Benefits
One pilot project saw ship manager Anglo-Eastern work with blockchain startup ShipChain to digitize records for 100 seafarers on its vessels. Preliminary results found the system reduced paperwork and sped up verification times compared to traditional methods (ShipChain, 2018). Other research has explored how blockchain could integrate with existing regulatory frameworks from the IMO and ILO (Baz et al., 2021). Potential benefits of a blockchain system include streamlined credential management, reduced fraud risks, automated processes like extensions for ongoing training, and time/cost savings for companies and administrations (Drewry, 2020).
Challenges and Future Outlook
While blockchain offers promising solutions, widespread adoption faces challenges. International cooperation would be needed between groups like the IMO, ILO, and shipping industry associations. Integration with legacy systems and existing regulations requires careful planning and testing. Data privacy and digital identity management must also be addressed to gain seafarer trust. With further research and pilot programs, blockchain has the potential to revolutionize how seafarer qualifications are tracked globally through an open yet secure digital system (Baz et al., 2021; Drewry, 2020).
Conclusion

The current paper-based process for managing seafarer credentials is inefficient and vulnerable to fraudulent documents. Blockchain technology provides an opportunity to create a transparent, traceable and tamper-proof system through which individual seafarers, companies and other stakeholders can easily and securely share and verify important qualification records. While challenges remain, pilot projects indicate blockchain could streamline processes, reduce risks and help ensure only qualified seafarers serve on commercial vessels. With cooperation across the maritime community, a blockchain-based future for seafarer credential management may soon become reality.
References
Baz, J., Gajanayake, R., & Ieromonachou, P. (2021). Blockchain technology in maritime education and training: A review of applications and challenges. WMU Journal of Maritime Affairs, 20(1), 3-21. https://doi.org/10.1007/s13437-020-00225-5
Drewry. (2020, January). Blockchain in shipping - potential applications and challenges. https://www.drewry.co.uk/maritime-research/blockchain-in-shipping-potential-applications-and-challenges
ShipChain. (2018, November 8). ShipChain and Anglo-Eastern partner to digitize seafarer records using blockchain. https://www.shipchain.com/blog/shipchain-and-anglo-eastern-partner-to-digitize-seafarer-records-using-blockchain

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