We are moving toward the era where Trust Gap is increasing and again technology has come to rescue us as it keep happening in past.
We believe that the use of blockchain technology provides a number of truly unprecedented breakthroughs for certain public-interest information, such as the supply chains of consumer products.
By using blockchains, we can create a system that allows an incremental, piecemeal adoption model, gracefully building in utility as adoption increases, but without an inhibiting cost/benefit ratio in the initial stages of usage.
Genuinety is built to create a relationship with the material world which is broken. Competitive advantage of open, transparent supply chains and sustainable manufacturing.
The creation, exchange, and use of material things, however, has many potential negative consequences: environmental damage, exploitative extraction, unsafe work conditions, forgery, and the huge amounts of valuable material wasted at the end of product life.
Despite various efforts, full “chains of custody” that tell the stories of products remain largely rudimentary and difficult to verify. Fragmentation of these efforts makes them open to fraud. To connect the dots, nominally neutral, not-for-profit or governmental entities are commissioned with the task of creating a centralized data storage to enable a flow of trusted information.
In the face of these efforts, we must ask ourselves: can one organization be trusted to broker all data about every product’s supply chain? The truth is that no single organization can, and that relying on one party (or even a small collection of cooperating parties) creates an inherent bias and weakness in the system.
Recent years have seen a surge in attacks undermining the protection mechanisms erected around centralized systems. While many attacks exist that directly target the hardware itself, the easiest way to circumvent the strongest security component is social engineering, which targets the weakest human component. By leveraging those with the most elevated access rights, an attack that targets IT and operational support administrators could eventually lead to the system being fully compromised (which is why there are often anti-coercion procedures in place for sensitive financial systems).
With the blockchain, security is different: it does not matter who or where the user is, because all information provided to the blockchain is accepted only if it is authenticated. This authentication is provided in the form of an unforgivable digital signature: a cryptographic mechanism that — in a manner analogous to a physical signature but significantly more secure —allows someone to prove their identity without enabling someone else to impersonate them in the future (see call-out box for more details).
In any deterministic system, it is possible to strictly verify and audit the actions within the system as correct; indeed, the inputs and outputs of the system serve as a record of the various interactions (e.g., automated bank transfers in the case of a payroll system or ordering additional components in the case of a stock control system) that have led the system into its present state. While this is true in theory, to perform this audit in practice comes with one proviso: all information concerning all inputs must be provided. In traditional systems, this is expensive, impractical, or impossible. The inputs to a business system typically include heterogenous types of data coming from a wide variety of sources, and the auditing itself, which would essentially require “playing back” such inputs, would be technically challenging. Furthermore, auditing may require strong knowledge and assurance of operator identity, which can often be compromised or flawed in a system with many actors.
A blockchain is different, as by design it is perfectly auditable. Each individual operation or interaction, such as the provision of a new employee or the recording of outgoing stock, is perfectly recorded and archived. Auditing is thus as simple as joining the blockchain network, as this allows one to “replay” the operations of the past in order to build a correct model of the present. Combined with the absolute guarantees of authenticity for every interaction, strong and agile data systems can be facilitated that are at their core resilient to coercion and human factors.
Public/private key infrastructure allows us to mimic a physical signature by way of provably registering our identity with a digital document or instruction without at any time giving others the ability to further produce such signatures for other instructions or documents.
Notionally, physical signatures are difficult to reproduce, especially on demand, leading to their common usage as a way of proving that counterparty is engaged under a particular agreement. In the digital age where facsimiles are trivial to create and face-to-face engagement no longer the norm for most transactions, they no longer serve their purpose: access to a signature generally leads to ability to reproduce the signature.
By design, every transaction along a supply chain on the blockchain is fully auditable. By inspecting the blockchain, Smartphone applications can aggregate and display information to customers in a real-time manner; furthermore, due to the strong integrity properties of the blockchain, this information can be genuinely trusted. A thoughtful user interface that sheds light on the digital journey of a product can empower better purchases by giving users a true choice that they can exercise.
There are substantial broad effects of bringing near-frictionless transparency to consumer purchase decisions and product identity; clearly there is likely to be an additional “virtuous” component in purchase decisions, especially among mid-level purchases where a marginal increase of 20% to the price does not affect the willingness to buy. Additional levels of guarantee over genuine articles are a high-value use case. While an initial introduction of this technology may be in the form of a discrete and removable label, easily verified through a Smartphone-readable QR-code, a more progressive possibility would be a conspicuous hologram tic or RFID tag, embedded in the brand label, allowing the owner to prove the authenticity of the product at any time by accessing the data on the blockchain through the tag.
The success of the proposed systems relies on the registration of identities and recording of transactions and information. This enables actors on the supply chain to carry and prove the defining attributes of their material products to any actor further along the chain. Certain users, however, might be concerned about their privacy or the privacy of their suppliers further up the chain. Technologically, it is possible for identities to be protected in a blockchain-based system, while still transferring other salient information. For example, manufacturers in the middle of the supply chain could securely pass a certificate with full authenticity downstream while keeping their identity private. For customers, the described system provides the ability to check important attributes of purchased goods without necessarily seeing the full intricacies of the supply chain that created them. The system also allows for the trusted proof of ownership thanks to Public-Private.
Key Infrastructure (see above) without revealing their identity of owners to the system. In fact, customers could even use the system to sell a good on a secondary market, allowing the chain to continue post sale throughout the product lifecycle.
With blockchains data can be accessed and verified by all actors, rather than solely by the original certifier.
Our team is constantly building different use cases to leverage Blockchain at different points of the Supply Chain. Genuinety, one of our products is for anti-counterfeiting and end-to-end process management using our Blockchain network. Our other focus area is to build an effective inventory management system right from Manufacturer to retailer.