Blockchain and its help in companies to combat counterfeiting – cryptocurrencies

Auburn University has partnered with global brands to use blockchain technology against counterfeiting, chargebacks, and off-balance inventory, resulting in losses of approximately $ 181 trillion a year.

In a document published on April 3, 2020, the laboratory RFID from Auburn University explains the results of a proof of concept the feasibility of using RFID tags and blockchain technology to combat these negative measures for businesses.

Auburn RFID has partnered with major brands like Nike, Macy’s, Khol’s, and many others in the global market to develop a blockchain with IBM’s Hyperledger Fabric that enables retailers and their suppliers Effective and real-time tracking of every item from its creation to its sale and final delivery to the store for its public offering.

The first test phase is started Chain Integration Project Initiative (CHIP) He used three basic tools:

• A web application that enables participants to send and retrieve data from the chain of products they deliver
• A blockchain client that is used to check the entrances and exits authorized by the various participating providers and retailers
• A blockchain level for storing all data to be standardized in the web application and for ensuring that all marked elements in the blockchain match.

More than in 2019 223,000 items, including more than 147,000 from Nikewho had serious and persistent problems with manufactured products, including children’s coats, bras and shoes as the most affected.

Data is generated using RFDI tags (Radio frequency identification) Automatically scanned in several production facilities, distribution centers and sales outlets.

Blockchain means more savings for these companies

So far, tests have been successful and even the technicians point out that the system can be improved further.

Auburn also emphasized lParticipants must turn away from using central services such as that of the university To maintain the blockchain and standardize the data, explain:

“Regardless of the solution chosen for the next phase of the initiative, each participant (ie, end users and solution providers) is expected to play a more important and self-sufficient role within the blockchain ecosystem.”

Almost all suppliers and retailers participating in this system can monitor only a small part of their entire supply chain using the RFID tags used in the tests.

Despite the amount of money saved by using this new and innovative system to efficiently store a product from the initial stage in the production line to the end user, efficiency is increased. maximum so that everyone, manufacturers, marketers, dealers, sellers and consumers can be convinced of the originality of the product that they have in their hands.

In this way, Nike uses New Balance as a major company to use blockchain technology to fight counterfeiting and promote the authentication of its products.

Last year it was announced that Nike is working on a series of blockchain-compatible sneakers under the name “CryptoKicks”, but so far the American giant is not very familiar with this project.

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