If you haven’t been thinking about these questions, you need to start doing so. See, in a world where trust is waning, it is a commodity that you can’t afford to give easily. It’s good to trust in humanity. It’s better to have an ally that not only backs that trust but also proves it. Vechain’s Traceability Solution is that ally, and in this article, we take a deep dive into how it functions.
What’s The VeChain Traceability Solution?
The VeChain Traceability Solution is a Blockchain-based product tracking platform running on the VeChainThor Network. It enables the timely mapping of commodities right from their production to their final destination.
The solution uses QR codes, NFC chips, smart contracts, and Internet of Things (IoT) devices to trace a product as it moves through the supply chain. It depends on the VeChain ToolChainTM for proper functioning.
ToolChainTM is a blockchain-based Software as a Service platform that enterprise clients can use to build and scale digital solutions. In this way, they can achieve distributed and trustless ecosystems.
What Are the Applications of The VeChain Traceability Solution?
The VeChain Traceability Solution has a wide range of applications. Here we discuss four of them:
- Drug and vaccine tracing
- Food and Beverage Provenance
- Anti-counterfeiting and Digitization of high-value products
- Issuance of digital Vehicle passports
Drug and Vaccine Traceability Solution
Vaccines are among the essential medical products manufactured today. They play a critical role in protecting people from infectious diseases, which cause millions of deaths every year around the world.
However, due to a lack of traceability systems, these life-saving medicines often end up causing harm rather than helping patients. VeChain has collaborated with DNV GL and Bayer China to develop a drug and Vaccine Traceability Solution.
Ensuring Transparency and Accountability
The VeChain DNV GL solution uses sensitive IoT devices to capture and record all data relating to a vaccine on the VeChainThor Blockchain. This data includes its manufacture, transportation, storage, cold chain distribution, and use.
This platform allows patients, doctors, hospitals, pharmacies, regulators, governments, and consumers to track every step of the supply chain using smart contracts. It also provides transparency and accountability throughout the entire process.
The CSecure Platform
Similarly, the Vechain Bayer China Solution helps tract vaccines from production to use. Named “CSecure,” it stores batch numbers relating to a drug onto the blockchain. One can then use timestamps and user identification information to track every drug as it moves across the supply chain.
VeChain’s vaccine traceability solution mitigates vaccine scandals through:
- Pin-point accountability and backtracking.
- Targeted recall and disposal of questionable products.
- Realtime data-based early warning and risk management.
- An exclusive ID for every vaccine on the VeChainThor blockchain, each dose of a vaccine will have a unique identifying code that end-users can scan to retrieve a complete history of the product.
Provenance for Food and Beverages
Food safety has become an important topic today. Apart from the growing concerns about food quality and security, we’ve seen incidents where unsuspecting customers have bought contaminated foods. The result has been sickness and even death.
The World Health Organization (WHO) suggests that a tenth of the global population falls ill from eating contaminated food. Food fraud costs the global food industry an estimated US $40 billion annually and continues to rise.
From Farm to Fork
Food fraud is the deliberate mislabeling of goods to deceive buyers about quality, origin, identity, quantity, price, or other attributes.
These incidents highlight the importance of ensuring traceability from farm to fork. But there’s one problem; fragmented data systems and supply chains impinge on accountability. Here’s where VeChain’s food and beverage provenance solution comes in; it provides transparency into the entire food production process.
Collaborating Through Smart Contracts
Through it, participants in the supply chain collaborate using a transparent and trusted data platform. Consumers can acquire detailed information on their desired products by scanning the QR codes on them. This time includes their source and ingredients, their movement, and inspection reports.
Smart contracts provide proof of their movement from one stage to another. They bear the timestamps and cryptographic signatures of the parties that handled the products. Thus, they allow for their verification.
Anti-counterfeiting and Digitization for High-Value Products
The Global Brand Counterfeiting Report 2018 had projected that counterfeiting would have reached $1.82 Trillion by 2020. Growing demand for the resale of luxury products raises concerns over the authenticity of pre-owned goods. Since the sector remains unregulated, it loses sales worth billions to online counterfeits.
VeChain’s anti-counterfeiting solution enables brands to digitize their products. They can use smart NFC tags to establish linkages between a product and its unique identity on the blockchain. This unique digital identity ensures the product’s traceability through its life cycle.
Authentication by Storytelling
Additionally, each product has a landing page with its description, marketing, and traceability information. Besides enabling its traceability, the information is essential for its authentication and storytelling.
The storytelling aspect is crucial for digital marketing purposes as it gives consumers personal experiences of previous owners.
Brands can use VeChain’s ToolChain API to tokenize their products without needing to develop Non Fungible tokens. Additionally, they can use the platform’s mobile wallet to embed the transfer function on the product.
The function improves supply chain transparency curbing overproduction and cross-channel sales.
Digital Vehicle Passport
Odometer tampering is rife in Europe. A 2017 study European Parliament study reported that up to 40% of secondhand cars sold across the EU are “clocked.” As a result, EU citizens incurred losses of EUR 8.9 billion annually.
Car dealerships cannot identify all the cases of odometer clocking—consequently, it’s the buyers who bear the cost of this fraudulent activity.
Storing Critical Data
VeChain has developed a digital vehicle passport solution to tackle this issue. The solution registers and stores a car’s critical data on the VeChainThor blockchain. This data spans the vehicle’s lifecycle.
This digital vehicle passport will enable manufacturers, repair shops, insurance providers, technical experts, and even banks to share data. It will get its data feeds from the car’s computer, operating systems, and direct inputs by users.
Every digital passport will show a vehicle’s ownership, its usage, and service records. Additionally, it will show its correct mileage. For transparency, other related parties will record the information but not the owner.
Improving Record Validation
In the end, this data will form the basis of automobile sales, financial support, insurance packages, and trading in secondhand markets. It’ll reduce the cost and improve the efficiency of data and record validation.
This system’s payoffs include:
- Reducing due diligence efforts by a potential buyer, an insurance company, or a financier.
- Explore new business models regarding energy, parts market, car sharing, etc.
Trust is indeed wearing thin globally. This reality heightens the need for foolproof means of verifying the authenticity of any product we intend to buy or consume. Here’s where VeChainThor’s Traceability solution comes in. Utilizing Blockchain technology enables you to track any product or commodity from the production line to the final consumer.
It uses QR codes, NFC chips, smart contracts, and IoT devices to give you up-to-the-minute information on the product you’re tracking. Not only does it show who’s accountable for what stage of the product’s movement, but it also helps in authenticating it. It is one ally you cannot afford not to have.