Major fashion brands have already started adopting blockchain in the fight against counterfeiting.
LVMH – parent companies of Louis Vuitton, Cartier and Prada use blockchain, an intelligent database, as a way to help customers identify genuine products from brands. In addition, these products can be easily traced, suitable for resale.
According to Antonio Belloni, CEO of blockchain technology LVMH will provide an encrypted certificate to help users feel secure about their transactions. Louis Vuitton will use blockchain to combat counterfeiting. Photo: SCMP. Given the complex structure of the blockchain, these certificates cannot be hacked or modified by outside sources. The counterfeiting situation has caused billions of dollars in losses for the big fashion brands. According to the company Frontier Economics , the total transaction value of counterfeit goods reached 991 billion USD in 2022, double the level in 2013. This includes counterfeits in the luxury goods, consumer goods and medicine sectors. Jewelry brand Cartier tested the technology for its product return policy. Customers only need to capture the status of the product before exchange and upload it to the blockchain system to prove that the product they sent to the company has not been swapped or damaged. “A simple model but helps to strengthen the trust between us and the customer,” said Cyrille Vigneron, CEO of Cartier. He also said that auctions should also use the same technology for items with great value. Blockchain technology is being used by fashion brands. Photo: icontechnic. According to Belloni, the blockchain model should be set as the industry-wide standard. Aura Blockchain, the main platform of the project, has contacted many other luxury brands. Subsidiaries of LVMH such as Louis Vuitton, Bulgari, and Hublot have started experimenting with blockchain technology. The next candidate to be tested is most likely the jewelry brand Tiffany, also a member of the group. “Trust is at the core of this industry, and we will do our best to preserve it,” says Belloni. In addition, customers can also sell used brands more easily and transparently thanks to the benefits of blockchain.
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