Now, the renowned magazine CIO Applications awarded Vault Security Systems AG with the blockchain solution ivault as one of the Top Blockchain Technology Solution Providers 2020. Our platform offers the highest transparency for supply chains and best product and brand protection to date by preventing the unnoticed entry of counterfeit products into the supply chain.
This blog article provides you with a brief summary. You can read the complete article by CIO Applications here:
Almost all companies lose value in the market because counterfeit or stolen products become part of their supply chain without their knowledge. The low-quality counterfeit products then arrive at the upset buyers’ as supposed originals.
ivault is an efficient track-and-trace solution that enables the detection of counterfeits in the supply chain. Using distributed ledger technology, ivault makes a completely transparent, traceable and therefore the most secure supply chain possible.
In the interview with CIO Applications, Arman Sarhaddar, CEO and founder of Vault Security Systems, describes how ivault came into being: After he himself had been robbed, he came up with his idea:
“What if I put every physical item into a database with serial numbers? I would then have all the information recorded. With that idea being patented, it lead to the formation of the company.”
How does ivault help to overcome the challenges that companies face?
The global problem is the loss of billions of dollars in revenue on the part of large companies and, on the other hand, the endangerment of human lives by counterfeit products that do not comply with required security standards and, especially in the case of counterfeit drugs, can have fatal consequences.
That’s why we have developed a blockchain solution that uses distributed ledger technology to secure the supply chain and is easy to use for both companies and consumers.
ivault helps companies to track their products through the entire supply chain from manufacturing to end users by recording and time-stamping all transactions. Once a transaction has been registered, it cannot be changed by anyone, guaranteeing the authenticity of the goods.
Essentially, this minimizes the likelihood of counterfeits entering the supply chain undetected.
Understandably, counterfeiters will avoid companies that have the ivault blockchain solution implemented into their supply chain, because they will not make any profit anymore by infiltrating these companies’ supply chains. It is likely they will seize to sell counterfeits via illegal distribution channels too, because every buyer can easily check via the ivault app on every smartphone, if a product is a fake.
Companies can easily implement this blockchain solution, because the existing databases in their supply chains can continue to be used.
Technical characteristics and functionality
ivault is accessible via web browsers. The product information is registered either manually or by using a QR code, NFC chip or RFID chip. The information includes material and ingredients used in the product, as well as data on their origin.
From production to the end user, every detail is recorded with a time stamp to bring transparency to the supply chain. If someone wants to access this information, they can quickly scan the product with the ivault app on any smartphone and check all the product details on the website.
This means that the end user can also easily verify the authenticity of a purchased product. In addition, ivault enables end users to protect private property and assets. With the global search engine ivault, anyone can find lost or stolen items in real time.
We have already announced one of our use cases in the past: Golisan protects its supply chain with a blockchain solution from ivault that is individually tailored to the dietary supplement manufacturer. The valuable saffron extract is one of the most counterfeit-prone spices of all. The higher the value of a product, the more likely it is to be counterfeited. For more technical information, you can read our blog article with a video explanation of the functionality in detail.
What’s next for Vault Security Systems AG?
We are currently focusing on supply chain protection and there are numerous ways in which we can use our blockchain solution.
For example, in the automotive industry, our blockchain solution will have a huge impact. In the case of Ferraris and Porsches, which cost around $5 to $6 million, buyers want to ensure that every part in the car is an original. Our platform gives them the security they need.
We are also working to extend the reach of our platform to various sectors, including medical device manufacturers and pharmaceutical companies. A medical device company, for example, lost about $100 million a year to counterfeit products. ivault can help quickly identify counterfeit products in the supply chain and thus help rebuild a company’s reputation.
In the worst case, a counterfeit medicine can cause more damage than a disease itself. We are therefore aiming to expand our platform within the healthcare industry within the next year. Geographically, we want to bring our blockchain solution into the European Union, the United Kingdom and South America.
https://vaultsecurity.io/wp-content/uploads/2020/04/image002.png257260Patrizia Sinistrahttps://vaultsecurity.io/wp-content/uploads/2019/11/logo-1030x183.pngPatrizia Sinistra2020-04-24 09:15:462020-04-24 09:20:13CIO Applications: ivault among the Top Blockchain Solutions 2020
In our last blog post we provided a detailed forecast on counterfeit drugs in view of the current crisis caused by the outbreak of coronavirus. Here are some additional thoughts, summarized in 5 theses on coronavirus and counterfeit drugs… as well as the blockchain.
With the blockchain, companies can not only protect their supply chain against counterfeit drugs. In addition, everyone could easily check with their smartphone whether a purchased product is original or fake.
With the application of blockchain technology in the pharmaceutical sector, Europe can now seize the opportunity to become a global blockchain pioneer. CEO Arman Sarhaddar’s contribution to the future of a Blockchain Europe has now been published by the renowned blockchain news platform Industry of Things as well.
The recent corona-apps to donate data should also be based on blockchain technology, as this is the only way to ensure optimal data security and protection against hacker attacks.
Thesis 1: Counterfeit drugs of the year 2020
Thesis 2: Counterfeiting market in developing countries
Thesis 3: Drug repurposing: Using the already approved to fight corona
Thesis 4: The lack of cybersecurity
Thesis 5: Blockchain for supply chains
Battling coronavirus… and counterfeit drugs that have not yet been thought of.
Thesis 1: Vaccines and drugs to treat corona patients will be the drugs of the year… and so will counterfeit drugs.
The examples of Viagra and antibiotics (see below) show that popular and urgently needed drugs are counterfeited particularly frequently, of course. The demand for the remedies against coronavirus is huge and the supply will inevitably lag behind.
For even if all conceivable production facilities are mobilized and pharmaceutical companies work together instead of competing with each other (as is usually the case), production will need one thing above all: time.
While the first million, let alone the first billion, of drugs are produced, at the same time counterfeiters will produce imitations and counterfeit drugs cheaply on a massive scale. These can quickly be sold online through illegal distribution channels.
Moreover, as soon as the first corona drugs leave production, the counterfeiters will be able to infiltrate the supply chains of pharmaceutical manufacturers and sell potentially dangerous counterfeit drugs in the legal distribution chain.
Fake drugs could potentially cause more damage than the coronavirus itself. But it is not only human lives that are at stake. The producers of the coronavirus drugs are only partially rewarded with fame and heroism, because the counterfeit drugs, that made it into the legal distribution chain, will cause massive damage to their image, which will compensate for every good deed.
Thesis 2: On the counterfeiting market of developing countries, cheap counterfeit drugs appear as unrivaled “better” offers.
The demand for coronavirus cures will come from all countries equally and counterfeiters will proceed exploiting the poor. They are already taking full advantage of the counterfeit market in poor countries:
About 30% of the drugs in Asia or South America and up to 50% in Africa are counterfeit drugs.
Poor countries have many loopholes, such as the complete lack of import controls due to lack of personnel in some cases, through which counterfeit drugs can be distributed without any difficulty.
Counterfeit drugs can easily be offered at a lower price. For poor countries and many of their institutions, these seem to be “better offers” and the originals in comparison are no longer a competition.
Every 2nd or 3rd drug in Africa is a fake! Taking medicine in poor and developing countries seems to be a game of chance. Whoever only catches the despicable fake without any active ingredient can be considered lucky. According to the WHO, 60 % of all counterfeit drugs contain no active ingredients, while about 16 % contain completely different active ingredients. These are mainly counterfeit antibiotics – the most needed medicines.
Industrialized nations are safer from counterfeit drugs due to appropriate drug law controls and close cooperation between manufacturers, wholesalers, pharmacies and the authorities. Nevertheless, we do not remain unaffected by large-scale counterfeiting crime: In the United States, around 1.5 million counterfeit birth control pills containing too little active ingredients were seized.
Another example is Sildenafil, better known as Viagra: In 2006, 2.5 million fake Viagra pills were seized in the EU alone. In 2007 there were 3.4 million. [Source]
The “professional” counterfeiters who have successfully infiltrated legal distribution channels in Europe or the USA before will be those to occupy the coronavirus niche of the counterfeit market.
Thesis 3: The counterfeiters may already have started to manufacture counterfeit drugs of those pharmaceuticals that are eligible for repurposing.
Thanks to global supply bottlenecks, the trade in counterfeit medical equipment is already increasing dramatically.
In addition to the development of new drugs against the coronavirus, a large number of clinical studies are being conducted to repurpose existing drugs like antiviral medicine, that originally has been developed to treat other diseases.
This is because it is more likely that a drug that has already been approved will bring the desired cure first. A completely new drug needs much more time to be available to the general public.
On average, the development of a new drug costs approximately 1 billion euros, because it has to go through a much longer process: from development and clinical studies, through drug law controls and initial approval, to production… which has to begin with the establishment of the production facility. A drug that has already been approved does not have to go through all of the above steps again, a production facility is ready to use and a certain amount of a the drug is already available. [Source]
Currently, fake COVID-19 drugs are no longer an exception on the internet. But mass distribution of counterfeit drugs will begin when people are officially informed that an effective remedy against the coronavirus is available.
And this process of informationvia media and news has already begun. For example, it has become known that the common Japanese flu drug Avigan has a very good chance of being effective against coronavirus – and Germany has already stocked up on millions of packages.
Of course, this is what the counterfeiters know as well, and they might have already started producing. Counterfeit drugs of these promising drugs can easily brought to the market thanks to the knowledge conveyed by the media and news.
Just think about it for a second: How many people have already searched the Internet for a way to purchase a pack of Avigan? And how much are they willing to pay to get such a promising drug?
Thesis 4: The counterfeiters will find it easy to get the necessary information from pharmaceutical companies and their distribution partners because of a lack of cybersecurity.
For one thing, the problem is the use of computers at home, from which many home office employees currently access the internal servers of companies. But, given the crisis, those who can stay home should of course stay home.
At this point, companies must ensure that information security and data protection is guaranteed on every PC in every home office.
However, it is not only home computers, but also the trend towards corona apps, which has now arrived in Germany. The Robert Koch Institute (RKI) provides an app to “donate data” and emphasizes that it is a voluntary donation of personal data, which is stored and evaluated pseudonymously using an user ID for each individual.
However, the controversial measure has prompted criticism from data protection experts. Although some degree of privacy is guaranteed, the collected data is stored centrally and is therefore not sufficiently protected against hacker attacks.
A blockchain solution could help by storing the health-related personal data in a decentralized database and thus make the data unhackable.
Thesis 5: Europe has a chance to become the leader in the field of blockchain now – by using blockchain to make supply chains counterfeit-proof.
“Tracking and tracing of ingredients is crucial, especially in the medical sector. […] Customers of medicinal products and pharmaceuticals want to be sure that they have not purchased a counterfeit. For them, the quality of the ingredients plays an essential role and in case of damage, the weak point must be clearly identifiable.”
Europe now has the opportunity to take the role of a global blockchain leader by implementing the most intelligent solution for the supply chain management of pharmaceutical companies: the blockchain.
This technology not only offers the most effective protection against counterfeit drugs entering the supply chain. It also simplifies the detection of counterfeits and the tracing of the weak spot, as it provides the highest possible supply chain transparency for the manufacturer.
But that’s not even all of it: On top of that, every buyer could check the authenticity of a purchased drug by scanning a QR code on the product packaging via an app on his or her smartphone. This way, each individual can tell if a drug could be a fake.
Current methods for increasing protection against counterfeits are intelligent and complex – after all, counterfeiters should not succeed in producing authentic counterfeit drugs – but they are not necessarily practical and neither are they very efficient.
1. One example is the counterfeit protection securPharm:
“During the production process, the marketing authorisation holder affixes the safety features to each pharmaceutical package. The data of the unique identifier (serial number, product code, batch number, expiry date) are applied to the pack in clear text and in the form of the Data Matrix Code and uploaded to the centralised database of the pharmaceutical industry. Before the pharmaceutical is dispensed to the patient, the Data Matrix Code is scanned for authentication, thereby reconciling the pack data with the data in the system.”
The one big mistake is that the data is stored centrally and can therefore be easily manipulated by sophisticated hackers. Counterfeit drugs in the legal distribution may not be recognized because the data has been tampered with.
The blockchain, in contrast, stores data in a fundamentally different way: data is distributed among nodes (computers) in a global network. This is the key feature of blockchain technology: It is a decentralized database.
Thus the blockchain creates much more information security. The blockchain is virtually unhackable. All entries are individually encrypted on the computers, changes must be confirmed by all computers in the system, so that data cannot be manipulated anymore.
“Securalic® taggants use hidden markers to authenticate products from the inside out. This smart approach to anti-counterfeiting involves concealing tiny identifiers inside a variety of materials that tell people where the materials really come from. It’s a bit like giving products or even materials like plastics, coatings, or inks their own unique fingerprint. And because all of our taggants are strictly monitored and handled through a restricted supply chain, it is virtually impossible for unwanted parties to even know they’re there.”
The microscopically small particles can be added, for example, to printing inks for product packaging or other materials. But how practical is such a process?
BUT it requires a special detector device to check the product for authenticity. This device must be in the possession of producers, wholesalers, small pharmacies and even the individual buyer to really guarantee product safety – which is neither very realistic nor a practical solution.
On top of that: If a fake turns up how can you trace back where it came from?
With the blockchain, in contrast, it is possible for each individual consumer to check a product’s autheticity on every smartphone. Thus blockchain not only ensures optimum brand protection, but also product and patient safety.
Such a high level of protection against counterfeits can only be provided by the blockchain and nothing else. The blockchain thereby serves as an effective deterrent against counterfeiting crime, because it is easy to trace back where counterfeits have entered the supply chain.
To our knowledge there is no other system that is more practicable and effective. The only hurdle left for Europe to position itself as a blockchain leader: We must act NOW.
In short: Earlier this week Arman Sarhaddar, CEO and founder of Vault Security Systems AG, published a guest article on a leading German news website on blockchain. Our blog entry will provide you with a detailed summary of the 3 things that are being focused on in his German article.
Arman wrote, the principle of double-entry bookkeeping was invented over 500 years ago. It was intended to bring more transparency and better traceability. The new method revolutionized accounting and paved the way for global capitalism. However, an intermediary was needed to track and confirm the entries of the two parties involved. Blockchain technology now wants to stand in for exactly this intermediary party.
Arman Sarhaddar – inventor of the innovative product ivault. The renowned German website blockchain-insider.de features our startup Vault Security Systems AG as one of Europe’s pioneering blockchain companies next to Telefonica Germany and Amazon Web Services Germany.
What has already been implemented and can be described as established in the financial sector, will soon be successfully transferred to any industry that relies on an auditor, certification or intermediary in any process: from accounting and auditing to origin verification and claim handling. They all start to benefit from solutions based on blockchain technology.
It is essential to have the unquestionable assurance of using an authentic product in the case of medicines and medical products or high-priced branded goods – to name just a few applications that have already proven themselves in practice. Blockchain can provide complete traceability of any supply chain, thus giving all parties the necessary security.
1. Not everyone needs detailed knowledge about
how blockchain works
The fact that a large part of the population does not have a precise idea of how the distributed ledger technology works is not a problem: it is even a basic principle of the blockchain that its application happens in the background, as a basis on which processes and user interfaces are built on. What is important is not how it works, but that it does work and that it makes things easier, faster and cheaper.
2020 could be the year in which Blockchain is first used on a large scale. Many solutions that improve and innovate processes and methods are ready for the market or will be very soon, as we were able to see at the World Economic Forum (WEF) 2020. There was one jumping point in particular that was discussed among blockchain and IT experts at the annual meeting there: For the technology to be fully adapted, it is crucial that the various solutions become interoperable.
On top of that, the World Trade Organization (WTO) has already outlined the need for interoperability in a position paper:
It states that the blockchain community is aware of the urgency and is actively seeking technical solutions, some of which are now being tested and further developed. Also our impression of the WEF confirms that in the coming years different blockchains, both public and private, will become compatible with each other. The possibilities of a unified blockchain ecosystem will be almost unlimited and will influence every industry sector.
2. Legal hurdles in Europe
Before this happens, the comprehensive application of blockchain technology, especially in Europe, is still facing some hurdles. One of the major challenges lies in the current lack of legal certainty. The fact that data are not stored centrally, but rather decentralized (that is they are distributed in a network of computers), is a core feature and basic requirement of distributed ledger technology.
Once stored, data cannot be changed. This is the main advantage of the technology, because there is no need for a third party in whom all market participants must trust and there is no central storage location that can be attacked by criminals or paralyzed by technical faults. Product safety, information security and cybersecurity are thus provided by blockchain technology.
However, in the EU the right to have stored data corrected and deleted is enshrined in the DSGVO. This collides with the revision security of the blockchain, in which subsequent changes are fundamentally excluded. In Germany, the Federal Ministry of Economics and Technology is aware of the problem and is working with the digital association Bitkom to find solutions. The Swiss Federal Council is also actively working to further strengthen the country as a blockchain center. At the end of 2019, a draft law has already been passed which, among other things, will increase the legal security of the blockchain.
3. Early blockchain training provides
a competitive advantage
Not only governments are becoming increasingly aware that blockchain will become a key technology in the future. Companies are eagerly trying to build up expertise in this area as well. It is therefore hardly surprising that blockchain and cybersecurity expertise might be one of the most sought-after applicant qualifications this year. The demand for experts is constantly growing – but university degrees and certificates in blockchain technology are still a rather new thing.
Profiling tools used by HR professionals are therefore hardly able to assess the expertise of specialists, which makes it even more difficult. With external training programs, managers can promote the further training of their employees and build up competencies in-house.
Companies that recognize and meet this need early on will gain a real competitive advantage, especially over American and Asian companies. For this, we must cast off our initial scepticism and open ourselves up to the new technology. To get there, we definitely need more concrete examples of applications to clearly communicate the benefits of blockchain technology.
For less technology-savvy decision-makers, we should focus on communicating efficiency gains rather than dwelling on the technical details. You can read about the use case we are currently working on here. And for more detailed updates, you can listen to what CTO Martin Beyer says about the application here.
Both the individual European countries and the EU are actively working to promote blockchain technology. The need to adapt the legal framework so that Europe can play a pioneering role in this field has been recognized by the legislators. It is up to the decision-makers in companies to build up expertise, identify possible usage scenarios and efficiency gains and take steps to implement these in reality. All in all, if the legislative adjustments and the innovative energy of European companies interlock, Europe will continue to assert itself as a driving blockchain force.
https://vaultsecurity.io/wp-content/uploads/2020/03/arman1_full_body_BW-CUT.jpg470790Patrizia Sinistrahttps://vaultsecurity.io/wp-content/uploads/2019/11/logo-1030x183.pngPatrizia Sinistra2020-03-20 11:06:282020-04-06 14:06:13Europe as blockchain pioneer (with ivault leading from the front)
WEF 2020: Once again ivault was represented at the World Economic Form Annual Meeting in Davos. Arman Sarhaddar, CEO and founder of Vault Security Systems AG, CTO Martin Beyer and Project Manager Philipp Röhner visited WEF 2020.
“The atmosphere among the blockchain and IT experts is very positive. Everyone is looking forward with excitement. Many solutions that improve and renew processes and methods are already market-ready or will be very soon. Blockchain experts are also strongly represented at the WEF 2020. The fact that there is more than just talk is demonstrated, for example, by the consortium of partners from all sectors on the governance of digital currencies, which was initiated this year.”
– Philipp Röhner, Project Manager, Vault Security Systems AG
Davos WEF 2020, from left to right: Arman Sarhaddar, CEO and Founder, with Philipp Röhner, Project Manager, Vault Security Systems AG. Foto: Martin Beyer, CTO.
Insights from WEF 2020, Davos
Once again for us the WEF 2020 in Davos was a great chance for networking and getting to know many other blockchain experts among renowned companies and startups. For example, we met Alex Panas, Director of Business Development of LATOKEN, who stated that, in his opinion, our application was the best idea he heard about at WEF and we are on the right track.
“The 50th anniversary of the WEF was very positive for ivault, since we not only received numerous confirmations that our product fits well in the world we are living, but also excellent connections have been made.”
– Arman Sarhaddar, CEO and Founder, Vault Security Systems AG
After getting to know so many great minds and of course meeting old friends and partners from WEF 2019, we are happy to have planned further meetings in the near future. We will post about it in the blog here.
All in all, blockchain is taking off but is still hampered by a negative image and regulatory issues. The word blockchain is still conjuring up associations with crypto criminality in most peoples’ minds, which is one of the key challenges for pioneers that are using blockchain technology in quite different ways today. Nonetheless, blockchain will change society in the near future.
One of the most important topics at WEF 2020 was environment and climate, next to the introduction of a global digital currency. It also has a major impact on the blockchain scene. There were some presentations of companies that directly address the SDGs (Sustainable Development Goals), social or ecological problems. As a solution provider for the fight against crime and counterfeit products, which are often highly polluting, we are therefore in good company with ivault.
PS: To travel to Davos is always worth it for these views of Switzerland alone.
More information about ivault
ivault provides access to the world’s first database platform and search engine based on blockchain technology to combat and solve counterfeiting and theft crimes on a global scale. There is an international patent for the lost and found concept in the pipeline.
1. Lost and found: ivault for everyone
In the past only a small part of the population with the appropriate know-how was able afford security for assets, information and property. In the future ivault will make this level of security available to everyone and – even more important – affordable for everyone.
Currently, there is no application to easily report items as lost or stolen in real-time. Therefore, it is difficult to find these items again or to return found items to their rightful owners. With ivault users can now easily register their assets – such as smartphones, watches, laptops, bikes, cars and anything else – in the blockchain via the ivault app. Those who have been robbed can search for them.
The ivault database can be accessed freely at any time and from anywhere. Whoever identifies and reports a lost or stolen item will be given a finder’s reward.
The ivault blockchain protect’s your belongings and provides for data security. Only you can see what information you stored in your personal wallet on the decentralized server. The blockchain is hacker-proof and your data cannot be manipulated anymore. You can always show proof of ownership and on top of that check if a product you bought is an original with the ivault app.
2. Counterfeit and fake products: ivault for businesses
Up to this date, traditional logistics and data management systems have not been able to prevent counterfeit and stolen goods from entering the supply chain. The resulting consequences are enormous: massive financial losses for companies, a ruined reputation for brands, and perhaps most seriously, fatal incidents for consumers in the medical sector.
By implementing distributed ledger technology (blockchain) in the supply chain management, all actions performed can be recorded, tracked and time-stamped – 100 % supply chain transparency from the beginning of production to the end consumer. Once a transaction has been recorded in the blockchain, it can no longer be changed. Thus the authenticity of a product can be guaranteed.
For brands, the ivault blockchain can help to reduce the risk of counterfeit and/or stolen goods entering the supply chain. For the users it becomes much easier to prove their ownership clearly. Thereby manufacturers offer buyers optimum protection.
Even if a consumer resells luxury goods to a second-hand shop or a private buyer, the change of ownership is recorded in the blockchain. The buyer is thus assured that the seller is the rightful owner of the item and that he is buying an original product.
Would you like to know more about how ivault.app works? Leave a comment in the comment section below. We are looking forward to answering your questions. You can also subscribe to the ivault newsletter here for the latest news.
https://vaultsecurity.io/wp-content/uploads/2020/01/IMG_0775.jpg981750Patrizia Sinistrahttps://vaultsecurity.io/wp-content/uploads/2019/11/logo-1030x183.pngPatrizia Sinistra2020-01-29 13:52:562020-04-06 18:06:10Blockchain: ivault at World Economic Forum WEF 2020
In short: Arman Sarhaddar answered one important question in his presentation at the Park Hyatt Hotel in Zurich: Why does ivault use blockchain technology? There are 6 benefits of the blockchain which you can read more about in this blog entry that comes with another video of the CEO and founder of Vault Security Systems AG.
Arman Sarhaddar, CEO and founder of Vault Security Systems AG. Park Hyatt, Zurich.
Why do we use blockchain?
And why do we avoid to just rely on basic encrypted servers? There are millions of hacker attacks on encrypted servers per day. This tremendous amount of illegal activities is captured in this live graphic cybermap. By now, every tenth company in Germany is affected by these hackers’ attempts to steal data. Information security simply isn’t provided by standard encrypted servers anymore. So, in Arman’s words, we don’t do blockchain because there is such a hype building around blockchain, but because it is safe. It provides security for the costumer as well as the company, that can protect its supply chain against counterfeit with the ivault app.
In this video Arman gives 6 more reasons why we should use blockchain in general. Don’t forget to change the settings in the bottom right corner of the YouTube video to turn on English subtitles, if you don’t understand German. You can also read about this 6 blockchain advantages below.
6 advantages of blockchain technology
In the video Arman talks about 6 good reasons why we are using blockchain or distributed ledger technology and why it accounts for better data protection. In short, the highest possible cybersecurity is provided by:
The distribution of data among nodes (computers). These nodes are connected to a global network and stand in as the “blocks” of the blockchain.
The blockchain is therefore safe. One of the safest technologies in the world maybe. All entries are individually encrypted and secured.
So, once data have been uploaded and entered in the blockchain, it cannot be changed, tempered with or manipulated anymore. It’s simply not possible.
The anonymity, furthermore, guarantees that the blockchain is protected against external attacks.
And this is the case for any kind of data, because everything is programmable. So any kind of data can be entered in the blockchain.
A time-stamp is giving to every information stored on the blockchain. So it provides us with a really high transparency as well.
Would you like to know more about how ivault.app works? Leave a comment in the comment section below. We are looking forward to answering your questions.
If you have not yet subscribed to our ivault YouTube channel, you should do so: Click here to go to ivault on YouTube. We will soon be uploading more video content of CEO Arman Sarhaddar. You can also subscribe to the ivault newsletter here.
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In short: This blog entry is the second part of the 3-part blog series on the information event at the Park Hyatt Hotel in Zurich which was held to demonstrate the current status of the ivault product development. In the first article we gave you information about the lost and found patent and how the B2C and B2B platform connected. This part also serves as the continuation of the article about the Swiss company Golisan, which you can quickly read here.
Martin Beyer CTO, Vault Security Systems AG.
CTO Martin Beyer about the use case Golisan
Chief Technology Officer Martin Beyer has more than 20 years of experience in leadership of multi-cultural technology and development teams realizing award winning products in the field of mobile apps, color and appearance, virtualization, cloud services and many more. As he says in the video below, he is the one to look after the technological realization and implementation of CEO Arman Sarhaddar’s ideas about the ivault blockchain.
He demonstrated in his presentation how the application ivault.app works. The first custom-made B2C-solution to protect a business’s supply chain against counterfeit products was designed for the Swiss company Golisan. In this video you will be able to be part of the first view minutes of his power point which we had to shorten for privacy and data protection reasons. Don’t forget to change the settings in the bottom right corner of the YouTube video to turn on English subtitles, if you do not understand German:
As we mentioned in the first blog entry, the B2C platform is largely based on the B2B model. So, what are the advantages of what Martin is telling us here for the individual consumer?
Product safety and cybersecurity concerns both companies and individual users of products, that is the B2B and B2C sector. In the end, the consumer – in this case: the buyer of the Golisan saffron extract drops – with the ivault app on his smartphone can scan the QR code that was printed on the package. He will be given all the information about the product and most important, as you can see in the screenshots from Martin’s presentation below, the comments:
“Product is genuine.” – It is with 100% certainty the trustworthy original. The customer got what he bought. or
“There is a high risk, that this product is fake.” – It could be a fake, for example when the QR code of a company’s product using ivault.app is fake and the app says: No information found.
Product safety with ivault.app – “Product is genuine.”
This is how any information about any product can be provided, e.g. origin of the components and further instructions on how to apply the product. Thanks to the distributed ledger technology the information once added in the blockchain cannot be changed or tempered with anymore. And if someone tries to forge a QR code – a vain endeavor since it is not possible – the ivault app cannot find information about the scanned product. That’s how the individual user knows that there is a high risk, that the product is fake.
Product safety with ivault.app – “There is a high risk, that this product is fake.”
Would you like to know more about how ivault.app works? Leave a comment in the comment section below. We are looking forward to answering your questions.
If you have not yet subscribed to our ivault YouTube channel, you should do so: Click here to go to ivault on YouTube. We will soon be uploading more video content of CEO Arman Sarhaddar and more interesting information about the ivault concept. And if you want to get more information on this, you can subscribe to the ivault newsletter here.
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https://vaultsecurity.io/wp-content/uploads/2019/11/martin-e1575033375148.png508790Patrizia Sinistrahttps://vaultsecurity.io/wp-content/uploads/2019/11/logo-1030x183.pngPatrizia Sinistra2019-12-03 00:15:492020-03-20 14:04:05Martin Beyer about the ivault application and Golisan
On Thursday, November 7, 2019, the management team of Vault Security Systems AG invited investors, friends and partners to an information event at the Park Hyatt Hotel in Zurich to demonstrate the current status of the ivault product development.
This blog post is part of a 3-part series that will provide an overview of the 3 informative presentations by CEO and founder Arman Sarhaddar, CMO Lothar Rentschler, CTO Martin Beyer and the concluding discussion round. This part deals with the company’s focus on B2C and B2B.
ivault – Protect what’s your’s.
B2C: lost and found patent
At the beginning of this exciting event, Chief Executive Officer Arman Sarhaddar told his own personal story: He himself was robbed a few years ago and not only suffered enormous financial damage. It was mainly personal possessions of great sentimental value – a complete music studio, expensive art objects and Persian carpets that he lost forever. In an earlier video, the CEO already told about this loss, which inspired him to start Vault Security Systems AG – together with a team that believes in the idea of protecting assets with the Blockchain and passionately (and from the beginning free of charge) supports the revolutionary product ivault.
So, in 2018, in addition to the idea of developing the ivault product for the B2C sector, a patent application was filed in the USA. The lost and found patent refers to the use of blockchain technology by each individual private user who wants to protect his material possessions and find them again if they are lost or stolen. Anonymity is an important aspect here: if a user places jewellery, his mobile phone or his sports car in the decentralised database, which is accessible to everyone, via ivault App or alternatively via the website, he remains anonymous. Neither the neighbour nor ivault can see which valuables the user has registered. Only in the event of a reported loss or theft is this information transferred to the centralized server and can it be viewed publicly in order to retrieve the item in question.
Arman Sarhaddar on the ivault blockchain in the B2C area, Park Hyatt Zurich.
After one year, the lost and found patent also became an international patent. Distributed ledger technology provides the population with a higher level of security for their property than ever before. If you look at some figures, you can see immediately and easily that there is no doubt about the need for this product:
Every week, 15,000 laptops are lost at airports – an absolute nightmare for business people, not because of the financial damage, but because of the loss of important data and work that has not yet been backed up. The family father and hobby photographer in this situation is likely to be upset by the loss of his children’s pictures.
Approximately 5 bicycles are stolen per minute worldwide – that is 2.9 million bicycles per year. In the case of motor vehicles, the figure is as high as 5.5 million, i.e. 13 per minute. If these bicycles are resold by the perpetrators, they can be easily identified and found by the previous registration on ivault. This will drastically reduce the currently extremely high numbers, because ivault makes the criminal business of the perpetrators riskier and much less lucrative.
In Germany alone, 100 million lost (or stolen) items are reported every year – in the USA the figure is as high as 400 million. You may have a good insurance policy that reimburses you for the current value of your racing bike or motor vehicle if the situation is clear. With stored data such as family photos or important, perhaps confidential business data, the situation is quite different. How much do you think ivault can reduce these dizzying numbers in the next 10-15 years? Leave us a comment below.
B2B: ivault for companies as the foundation for the B2C platform
In the past, we have reported many times on the supply chain solution that ivault offers in the B2B sector to protect companies’ value chains and make their products counterfeit-proof.
The B2B area is the foundation for the B2C platform. The business model is therefore two-pronged and includes both the B2C and the B2B platform and offers different functionalities for companies and end users. The problems ivault addresses – the rapidly growing counterfeiting market, loss and theft, financial loss and fatalities, and ruined reputation – affect both individual consumers and large businesses. With the current state of development, ivault has already created 70% of the basis for all further areas of application and use cases.
The ivault business model: overview of the functionality of the B2C und B2B platform.
ivault has developed a product with a user-friendly interface that allows users to register valuables easily and uncomplicatedly using the app or a website. The Asset Management Dashboard is based on distributed ledger technology. The standard ivault solution is practical and easy to use for both individual private users and small businesses. The system can be adapted to individual customer requirements. Here ivault offers numerous flexible solutions.
This concept focuses on customer happiness and customer centricity. After all, it is important to first listen to your users and customers and then offer the relevant solutions. This is what Chief Marketing Officer Lothar Rentschler refers to in his presentation on marketing. Watch a video recording of his presentation here: Change the settings in the bottom right corner of the YouTube video to turn on English subtitles, if you don’t speak German.
If you have not yet subscribed to our ivault YouTube channel, you should do so later: Click here to go to ivault on YouTube. We will soon be uploading more video content from the event at Park Hyatt – including some exciting answers from Arman Sarhaddar to critical questions from investors and business partners present and a presentation by Chief Technology Officer Martin Beyer. The next blog post will focus on the implementation of the revolutionary idea, which the CTO will demonstrate in detail on the pilot case for the Swiss food supplement manufacturer Golisan. In an earlier blog post we have already given some insights into this first supply chain solution from ivault, which you can read here again.
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Arman Sarhaddar, the CEO and founder of Vault Security Systems AG was invited to write guest articles for Industry of Things, a German online platform for expert insights on topics we are all interested in like Internet of Things (IoT), Artificial Intelligence (AI) and Blockchain technologies.
This blog entry is giving you a translation of what Arman is talking about in his first guest article which is available in German here.
In short, Arman explains, that Amazon’s transparency program is still not the ultimate answer to the problem of counterfeit products. But the fact that one of the world’s largest online retailers is announcing that it will provide more transparency when it comes to product authenticity shows the urgent need for action.
The struggle with counterfeit products
A few weeks ago, the e-commerce giant Amazon announced that it was rolling out its transparency program in Europe. Manufacturers can then provide their authentic products with a QR code that provides retailers and customers with unambiguous proof of authenticity. In this way Amazon wants to counteract the flood of fake products and create more trust among its customers. The approach is basically welcome – but Amazon Transparency has limitations especially when it comes to some special groups of products.
With the Transparency program, Amazon is primarily concerned with improving its own image. The reputation of the US company has suffered from fraud, falsified valuations and product imitations, particularly among retailers. But Transparency is not equally suitable for all products. It is a form of labelling that works for goods that are actually primarily about authenticity, such as clothing and bags. However, this is not enough for products with an elaborate supply chain where claims for damages play a role. Examples include medical products. Customers in this sector have to be sure that they have not purchased a counterfeit, that could in the worst case be harmful to health. This is why tracking ingredients is critical in the medical sector in particular.
3 reasons why blockchain can help
First, once fed in data is unchangeable, subsequent manipulation is excluded. Another blockchain characteristic is that all available information is stored and verified decentrally on all computers connected to the network.
Secondly, the blockchain is virtually unhackable, since changes always have to be made in the majority of nodes.
Thirdly, transaction costs can be significantly reduced by skipping middlemen. In particular, the use of Smart Contracts simplifies data management and automation.
An example of how tracking can be implemented on the blockchain is the ivault pilot case with the Swiss company Golisan GmbH. Golisan produces herbal extracts which are sold online – mostly via Amazon. In view of counterfeit products and in terms of quality assurance, it is important to the manufacturer on the one hand to guarantee the authenticity to the customer and on the other hand to be able to trace the origin of the ingredients completely. Counterfeit food supplements are a lucrative business because they are less strictly monitored than prescription drugs. Fake products are sold via Amazon in particular, so the online giant recently sent a warning to affected customers.
Apart from the potentially serious consequences of taking counterfeit dietary supplements, the counterfeits have a negative impact on the business balance and reputation of the actual manufacturers. Beyond the authenticity guarantee, the manufacturer’s goal is to monitor the entire supply chain to provide maximum security for its customers. For this reason, all suppliers have access to the blockchain and can store information on the ingredients: from the harvest of the plant raw materials to their further processing and the container in which the product is sold. For this application, it is advisable to use software that has been developed for this kind of collaboration so that data can be exchanged with other areas of technology. This also facilitates the integration of the blockchain into the existing supply chain management.
Blockchain solutions can be implemented in a resource-saving way
One of the biggest points of criticisms frequently voiced about blockchain technology is its comparatively high energy consumption. However, a distinction must be made between mining activities, which are necessary for crypto currencies and are actually very energy-intensive, and applications for companies, such as securing the supply chain. The latter takes place in a private blockchain and without the computationally expensive proof of work. So the energy requirement is no higher than that for common web apps. Additionally, since fewer nodes are involved, the transaction speed can be increased.
Examples such as Amazon’s Transparency show that companies are concerned with the security of their goods against counterfeiting, but they are not yet exploiting the full potential that would be possible with blockchains. The technology has long since arrived in practice and simplifies processes beyond crypto currencies that were previously cumbersome or even impossible to carry out. When selecting a technology partner, companies should consider whether the solution can be well integrated into the existing IT. This will lay the foundation for more transparent supply chain security and valid proof of authenticity.
What do you think?
Industry of Things brings together experts from IT and industry to facilitate interdisciplinary exchange across boundaries. Not only more than 40 editors report on current developments in the Internet of Things and industry, but also experts whose proximity to practice offers a new perspective on applications, technologies or IT security as well as political and current topics. Arman Sarhaddar is from now on sharing his expert knowledge on blockchain and InfoSec on this high-ranking platform as well. We will keep you updated on a regular basis.
In short, part of Vault Security Systems AG’s management team represented the new brand ivault at the 2019 Malta AI & Blockchain Summit. We were excited to have the chance to get to know some of the 100 Startups, 700 Investors, 5500 delegates, and 150 exhibitors.
As you might guess, it was a great opportunity to network with other companies and professionals in the fields of blockchain, big data, artificial intelligence (AI), internet of things (IoT), and quantum technologies.
ivault is growing by the minute
As you can see in the list provided above, this year we have already been to the World Economic Forum in Davos, and the Global InsurTech Summit in Istanbul. The Malta AI & Blockchain Summit is such a huge event that the island, which is a country of its own, has truly become the “The Blockchain Island”, if not “The Blockchain Country”.
2018 was the year Malta cemented itself as The Blockchain Island with the launch of three bills during the Malta AI & Blockchain Summit last November.
In 2019, the Blockchain & AI Nation is moving beyond the hype. The Maltese Government will enact a world first: a fourth bill, giving a D.A.O. its own legal personality. In addition, a task force is also working around the clock on a set of incentives that will support businesses in Artificial Intelligence.
Malta was another great opportunity to meet a lot of inspiring minds and their pioneer companies in blockchain and AI technologies. In the picture below, we had a chat with Hamza Afifi, the organiser of the summit.
From left to right: Lothar Rentschler, our CMO; Hamza Afifi, the administrator of the Malta AI & Blockchain Summit; Arman Sarhaddar, our CEO.
Due to the number of participants and visitors, we did extensive networking and capitalised on numerous new connections. Of course, the great lectures were noteworthy, too. With approximately 200 speakers, we didn’t get the chance to listen to every single one of them (even though we were interested in all of these). The keynote presentation was given by Joseph Muscat, the Prime Minister of Malta.
We also participated in some workshops and conferences. Our core issues were of interest:
Blockchain for Transport & Logistics, and
Blockchain for Healthcare.
These were all panel discussions with several participants.
People were also inspired by ivault, our global blockchain-based platform to protect company supply chains against counterfeit. Of course, we talked about InfoSec / Cybersecurity and GDPR Compliance as well. In just a few days, our network expanded grew significantly. In fact, we can’t wait for the next big event – hopefully we’ll see you there, too. In the video “Highlights | AIBC Summit May 2019” below, you can get an insight of the amazing atmosphere on the premises. The power of the forward-thinking attendees is striking.
What do you think?
If you didn’t have the chance to get to Malta and want to find out more, you can read this article about the first day of the AIBC Summit. Or you can read their magazine “Block”, a biannual publication on the pioneering applications of AI & blockchain technologies with a specific focus on the industry in Malta. It gives a quick overview of our experience there.
https://vaultsecurity.io/wp-content/uploads/2019/05/Titelbild-BLog.jpeg7071261Patrizia Sinistrahttps://vaultsecurity.io/wp-content/uploads/2019/11/logo-1030x183.pngPatrizia Sinistra2019-06-02 00:01:222020-03-20 14:12:52ivault at Malta AI & Blockchain Summit 2019
In short, ivault, our revolutionary product is once again in the spotlight: CEO Arman and COO Urs are interviewed by well-known CNN journalist Amanda Kayne. Watch the full-length interview below. You will certainly gain some new insights about the ivault Blockchain.
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Companies benefit from ivault
In our last blog post we told you about Arman’s successful appearance at the 2019 InsurTech Summit in Istanbul. A video was posted on LinkedIn, which you can watch here. But today we have even bigger news for you!
CNN Money’s ivault interview will be broadcast on television by CNNMoney Switzerland from May 27 to 31, 2019, and naturally, our product is the centre of attention as CNN anchor Amanda Kayne speaks with our CEO, Arman, as well as our COO, Urs.
For over 20 years, CNN’s Amanda Kayne has been known for her insightful reporting and engaging interview style. With a history of hosting guests ranging from Bank Julius Baer to SIX to Google, among others, it’s hardly surprising that she asks the right questions.
Chief Executive Officer and Founder Arman Sarhaddar starts by describing the product. For those who don’t yet know, ivault is a global network that registers and identifies its users’ assets, for example, lost or stolen items. This not only has advantages for the individual user, but companies such as Golisan also benefit from the innovative use of distributed ledger technology. These companies can use ivault to prevent counterfeit products from entering their supply chain, thereby damaging their reputation and destroying their customers’ trust.
We already know how Arman developed the idea from one of the first videos about ivault. Arman told the story of a personal theft that prompted the idea for the new platform. Having this techonology back then would have made it possible to track his stolen belongings.
Arman Sarhaddar proudly introduced the ivault product in an interview with CNN today.
Urs E. Gattiker, Chief Operating Officer, explains in more detail how blockchain technology works in the video below, and how easy it is to track if, for example, original parts were used to repair elevators or airplanes. Whether luxury goods like cars and watches or plant-based dietary supplements like Golisan‘s products (which have already been registered in the blockchain), you probably won’t find another technology that makes it so easy to ensure the safety of products in every imaginable area.
As Urs clearly explains, information security (InfoSec) also plays a vital role for Vault Security Systems AG. And hardly anyone knows more about data privacy and cybersecurity than Urs. Our team attaches great importance to ensuring the GDPR compliance of our customers organisations, according to EU standards.
So, what’s the goal now?
In the interview (see video above), Urs addresses a massive global problem:
…the latest data from the OECD already show that [in] 2016… 6.8% – and by the year 2020 it will be 10% – of all imported products into the EU, […] are counterfeit. And that’s what we want to reduce.
There could be far more counterfeit products than the study by the Organisation for Economic Co-operation and Development (OECD) and the European Union Intellectual Property Office (EUIPO) found, since there is probably a high number of unreported cases. The extent and effects of counterfeit or fake products can be devastating.
With ivault, this number can be drastically reduced, as it is easy to trace whether a product is original or not. The decentralised database ensures that information regarding a product can no longer be changed after being entered as part of registration or noting repairs. Such a change would require verifying thousands of public and private users’ computers before the blockchain would accept and integrate it.
For Vault Security Systems AG, the focus is always on customer service. Nothing is more important than meeting the demands of our users and keeping our promises. As Amanda Kayne puts it, “Sounds like the ideal solution for companies with great responsibility…” That is why we make sure our platform shares this responsibility, making the task of staying accountable considerably easier for our customers.
In your opnion, what other businesses should be using the ivault blockchain to protect their supply chain, so you can trust their products? What other issues would you like to see discussed in our blog? Do you still like information about FinTech, MedTech or luxury goods? Join in the discussion and let us know in a comment below. We will respond soon.
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https://vaultsecurity.io/wp-content/uploads/2019/05/CNN-INTERVIEW-iVAULT-TV-Titelbild-groß.png9701700Patrizia Sinistrahttps://vaultsecurity.io/wp-content/uploads/2019/11/logo-1030x183.pngPatrizia Sinistra2019-05-27 00:01:102020-03-20 14:20:51CNN Interview: What is unique about ivault?