Driving Web3 Logistics Innovation: A Success Story with dKargo

In a world where logistics meets blockchain, dKargo is at the forefront of innovation, leveraging blockchain to create a more efficient logistics ecosystem. In this interview, we highlight their journey, challenges, and how Nodit supported in helping them achieve success to build and scale a seamless Web3 logistics service.

How dKargo Tackled Blockchain’s Limitations

Like many pioneers in blockchain adoption, dKargo faced significant challenges in its early stages. Initially built on Ethereum, they encountered scalability bottlenecks, high transaction fees, slow processing speeds, and poor user experiences—obstacles that hindered their ability to deliver a robust logistics solution.

To mitigate Ethereum’s high gas fees—which at the time had spiked to around 30,000 KRW (roughly $25) per transaction—dKargo transitioned to another L2 blockchain network during their closed beta phase. While the migration initially seemed promising and achieved a 99.7% success rate for transaction processing, significant issues emerged:

• Chain Reliability: During critical updates or outages, the blockchain network experienced unexpected halts, disrupting services entirely.
• Real-Time Processing Limitations: For logistics operations, real-time QR code scanning and status updates were essential. However, the performance of the network fell short, making it unsuitable for seamless, real-time integration.

Developers had to work around the clock to monitor system stability and ensure there were no interruptions, but the chain’s lack of maturity and reliability ultimately led dKargo to conclude that it wasn’t fit for their needs.

To overcome these hurdles, the team explored other blockchain options and eventually decided on a custom mainnet tailored to their specific requirements, paving the way for a more efficient and scalable logistics ecosystem.

Technological Infrastructure: Arbitrum

dKargo selected Arbitrum to address their scalability and performance needs. This choice was influenced by several factors:

• Rollup vs. Standalone Chains: Standalone chains presented issues related to infrastructure costs and the trade-off between consensus mechanisms and performance. Arbitrum's rollup approach allowed dKargo to leverage Ethereum's security and consensus while enhancing performance, aligning with their operational requirements.
• Ecosystem and Community: Arbitrum's extensive user base and high Total Value Locked (TVL) made it an attractive option. Additionally, the listing of dKargo's token (DKA) on Upbit enabled users to pay fees using the token, facilitating a seamless Layer 3 integration.

Despite Arbitrum’s high scalability and performance, dKargo faced the critical challenge of building a logistics platform that could deliver real-time updates with enterprise-grade speed and reliability in the Web3 space. To meet their operational demands, they required an infrastructure partner capable of ensuring low latency, high stability, and seamless maintainability.

How Nodit Enabled dKargo’s Scalable Growth

dKargo sought an infrastructure partner capable of delivering enterprise-level speed and reliability in a Web3 world. Their logistics service required real-time updates, which posed unique challenges when working with global infrastructure providers.

• Latency Issues with Global Providers: Initially, dKargo explored global infrastructure solutions but faced a significant issue: high latency. When using international services, the latency across overseas servers was unacceptably high for their real-time logistics needs. This challenge highlighted the need for improved locality, leading dKargo to prioritize a domestic infrastructure provider in South Korea.
• Why Nodit Stood Out: After trying various domestic blockchain infrastructure providers, dKargo found that Nodit was the only one to not only understand their requirements but also provide quick feedback and proactively propose solutions. Nodit’s responsiveness and technical expertise set them apart as an ideal partner.
• Dedicated Nodes for Seamless Operations: dKargo now uses Nodit’s Dedicated Node service. With Nodit’s Dedicated Node, dKargo achieved fast and stable operations with real-time updates and minimal latency. The scalable infrastructure supported growth without disruptions, while Nodit’s robust support allowed dKargo to focus on enhancing their logistics ecosystem. By overcoming these challenges, dKargo built a scalable, world-class logistics platform in the competitive Web3 landscape.

What’s Next? dKargo’s Vision for the Future

dKargo is laser-focused on building a transformative logistics platform powered by blockchain. Their roadmap is ambitious, beginning with the testnet launch in Q1 2025. This phase will allow them to gather user feedback and conduct stress testing to ensure their system’s reliability and scalability.

In Q3 2025, dKargo plans to launch their mainnet. Unlike many blockchain projects that aim to attract decentralized applications (dApps), dKargo’s focus is on optimizing their logistics services. By leveraging advanced technologies such as rollup enhancements and incorporating external server solutions, they aim to create a highly efficient and robust ecosystem.

To expand their user base and ecosystem, dKargo is working on connecting B2B and P2P services to their platform. They plan to leverage blockchain technology to improve operational efficiency while continuing active marketing efforts targeted at their token community. These steps reflect dKargo’s commitment to fostering a vibrant and sustainable user ecosystem.

Conclusion

dKargo's strategic decisions and collaboration with Nodit underscore their commitment to revolutionizing the logistics industry through blockchain technology. By addressing scalability challenges and enhancing user experience, dKargo is poised to set new standards in Web3-based logistics services. Their partnership with Nodit has been instrumental in overcoming challenges and delivering scalable, efficient solutions.

🔎Want to Know More About Nodit?

Nodit is a platform aims to provide reliable node & consistent data infrastructure for scaling your dapps in multi-chain environment. The core technology of Nodit is a data pipeline that performs crawling, indexing, storing, and processing of blockchain data, along with a reliable node operation service. With processed blockchain data, developers can leverage on-chain and off-chain integration, advanced analytics and visualization, and even AI modeling to build exceptional Web3 products. Nodit, as an infrastructure partner of Aptos, provides full node and indexer APIs for the Aptos ecosystem.

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