Blockchain Based framework for Anti Counterfeits in the Supply Chain

Abstract

Supply chain management has become a critical focus for companies transporting goods between multiple entities. Modern supply chains are complex and involve various levels, invoices, payments, and individuals and organizations over extended durations. The absence of transparency and traceability within the supply chain ecosystem has led to the circulation of counterfeit products, posing severe risks. Blockchain technology has the transformative potential to revolutionize the entire ecosystem by enhancing visibility. Blockchain-enabled supply chains store comprehensive provenance information for each component, providing access to the respective manufacturer, distributor, and consumer, improving accountability and transparency. However, this heightened transparency could compromise the system’s privacy. Implementing a blockchain-driven supply chain introduces privacy risks that must be carefully considered. This research explores two distinct blockchain-based methodologies to resolve issues of privacy, traceability, and counterfeit products within the supply chain sector. The first methodology implements a permissioned blockchain solution with a Centralized Data Store (CDS) for encrypted data storage, executed on Hyperledger Sawtooth. Despite displaying an impressive throughput capacity of up to 17 transactions per second, this approach acknowledged the potential drawbacks of network bandwidth limitations, which could affect transaction times. To counter this, deploying multiple CDS replicas was proposed to enhance bandwidth and overall performance. The second methodology introduced a comprehensive blockchain system without CDS, allowing the manufacturer’s sole control over product creation to enhance protection against counterfeiting. This system incorporated the Proof of Elapsed Time (PoET) consensus and advanced privacy algorithms, including AES symmetric key, ECC asymmetric key, SHA256, and SHA244. Performance evaluations conducted on the Hyperledger Sawtooth platform revealed that the inclusion of these privacy algorithms did not substantially impact system efficiency. Furthermore, a detailed privacy analysis indicated the system was well-protected against poteni tial attacks, effectively safeguarding product numbers and encrypted fields. Both approaches successfully addressed critical concerns in the supply chain domain using blockchain technology, offering practical solutions to tackle counterfeiting, ensure privacy, and improve traceability. Future investigations should compare these methodologies under real world conditions to fully understand their potential benefits and shortcomings.