Blockchain technology is breaking its way in the fashion industry by providing an effective tool against counterfeited products. The newest company jumping in on the blockchain wagon was H&M, who tested product integration with the blockchain platform VeChain on their in-house brand Arket.
After some rumors on Reddit and Twitter, H&M has officially confirmed their cooperation:
“Arket has done a small Proof of Concept (POC) through pilot testing with VeChain to use blockchain technology to secure product data traceability in the value chain,” the spokesperson told Hard Fork.
“The test was made on a wool beanie from the autumn 2018 collection.”
The inbuilt NFC chip can be easily scanned by the Vechain app to display tracking data of product origin, supplier and material. They have published a small video to see how the function works:
— Dimitrios Neocleous (@_DiNeocleous) November 2, 2018
Consumers can easily scan products with the app right in the store to check authenticity before purchase.
VeChain is one of the blockchain companies and cryptocurrencies (VET) offering a Blockchain-as-a-Service framework. They focus on helping to trace products throughout the supply chain and provide proof of source with an incorporated tag. They have also collaborated with shoe-artist SBTG to provide Adidas shoes with NFC chips and tracking ability.
More and more high-profile fashion companies start to realize the potential of blockchain in their field. Distributed Ledger Technologies give extra value not just to the company to fight to counterfeit, but give extra value to the consumer by giving a trusted source with blockchain. Besides the technology could help to track movements across the supply chain and help to manage global inventories more efficiently.