Are you aware that fake products have a negative impact? These products can cause lawsuits, loss of sales, product recalls, consumer injuries, consumer trust, and long-term harm. The most dangerous thing about fake product is airbags that break down during car crashes, counterfeit lithium-ion batteries that explode, and fake prescription drugs that lead to accidental overdose. In addition, it includes fake cosmetic products that cause skin reactions. To get more to this topic, you can visit bitcoinxapp.com.
Blockchain Technology to Detect Counterfeit Products
Manufacturing industries are conscious of fake product dealing, which impacts companies’ sales and profit. It is crucial to identify genuine products and prevent fake product manufacturing through the supply chain. Use of blockchain technology to ensure the authenticity of products plays a vital role and provides safe purchase of products.
Blockchain works as a decentralized, digital, and distributed ledger that keeps transactional records called blocks. These blocks are stored in databases called chain that maintains the entire network. Blockchain technology plays a significant role in detecting fake products through barcode readers. This process enables a barcode of products associated with a Blockchain-based management system.
This system keeps all records of product details and provides unique code for each product in the database. It gets the unmatched code against entries in the blockchain database. This system matched the code and provided notification to the customer. If the code does not match, it demands further information from the customer about the details of the product. It identifies where the customer bought the product to detect the fake product manufacturer.
Blockchain for Provenance
The Blockchain assists in handling fake product identification by demanding the proof of origin/source of any product. Blockchain is undoubtedly the trusted tracking system for the supply chain. In addition, it is also a trustworthy platform for mining raw materials and the creation process of the products.
Blockchain has a robust system that can identify the origin of the product, and legal enforcement agencies develop the fake nature of the suspicious products. However, it is helpful for companies to get maximum protection.
Companies use blockchain technology as provenance by using smart tags associated with different aspects; it can identify the manufacturer’s place, track location, and get relevant information in the supply chain.
Smart tags have several common types as follows:
- QR Codes
These are known as Quick Response Codes and are readable through smartphones or tablets. It can encode information, including internet addresses and phone numbers.
- RFID Tags
These are known as Radio Frequency Identification Tags that utilize radio waves to connect the information to readers. It is a device that discharges radio waves and receives a signal back from an RFID tag.
Even in electronics, blockchain technology has proved the best way to detect counterfeit products. Concerning the above statement, it is challenging to recognize counterfeit products because they appear legitimate and function properly for some years in the starting.
Since electronic items have destructive internal components, it is difficult to detect from the exterior parts. And it leads to the risk of product malfunctioning that may lead to severe problems.
Blockchain technology can play a role in detecting fake products on the e-commerce platform. It includes laser-etching a data matrix on the identification plate that enhances its security system by adding invisible ink on top of the container. In this way, this digital blockchain ledger can keep and authenticate records and maximize security, track and trace the form that establishes each process.
It is complex to identify between real and fake products because they look nearly alike and have the same packaging and branding. However, counterfeit drugs are highly contaminated and infective and cause harm to a human’s health. Many experts report that counterfeit drugs have caused thousands of deaths so far. Each year, many people die because of these fake products.
In recent years, companies utilized a blockchain platform named MediLedger Network that tracks prescription drugs across the globe. Companies test electronic inert-operable systems in pharmaceutical and other drug-making industries to keep the track record of the products and identify fake medicines.
It is undeniable that Blockchain has extensive functions and benefits in multiple industries. Interestingly, the latest innovations in Blockchain are continuously rising and tend to be more beneficial in detecting fake products in the future.