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How Blockchain Technology is Making Fashion Industry More Transparent

How Blockchain Technology is Making Fashion Industry More Transparent

We have talked enough about blockchain technology in our blogs and the list is so long to count. This technology can be the most powerful discovery of this century as almost every industry vertical will be affected by its revolutionary applications. Now, the next name in this list is- the fashion industry. 

Fashion is a very dynamic concept where everything changes in a matter of years. Fashion is largely linked by culture and it plays a significant role in defining our identities. We love wearing branded clothes that our favorite celebrities wear in the latest movie or music videos. But counterfeiting is still a major challenge while shopping online. We pay a hefty price for the sake of branded clothes and end up being cheated by fraudsters. So, here the question arises, why does this happen in the first place? Because the structure of the fashion supply chain is very complex by nature. Poorly managed supply chains that lack transparency can severely damage the reputation of brands.


If you are one of them who firmly believes in transparent processes, you must read this blog further. We will give some crucial insights into how blockchain technology can help make a remarkable impact to build a transparent and fast fashion structure. 

Being more transparent simply means considering accountability. In the same way, the fashion industry can be made more accountable and ethical. Blockchain technology gives consumers the power to understand the entire lifecycle of a garment simply by using a QR code app. Its application in fashion supply chains is considered very impactful in tackling the existing challenges and transforming the standard for transparency in the industry.

Boost Efficiency in the Garment Manufacturing Industry

In the current cloth manufacturing system, many stakeholders are involved in the production. With this technology, the entire supply chain can be managed by a centralized digital platform which saves a lot of time. As in the traditional supply chain, it will take weeks to identify the origin of the material. 

Also, the data in the supply chain process cannot be tempered or destroyed once it has been added to the blockchain. 

Ethical Labour & Sustainability

We know about the decentralized nature of blockchain as there is no involvement of administrators. The data is shared by multiple parties, and if anyone tries to tamper with the data, the tampering is visible to everyone on the chain. It seems good in the first place but ensuring that people that are participating in the supply chain are sustainable and performing ethical labor practices is a vital challenge. 

But transparency in the supply chain tracking process gives manufacturing insights into their value chain. It assures the end-user that fair product labeling and the proper third-party handoff are being practiced throughout the process. For example, a garment company that is sourcing cotton from Xinjiang China may have been produced by Uighurs( a minority Muslim group) who were forced into factory labor. By tracking the product manufacturing the delivery, given the freedom to build ethical and suitable commodities on a global scale. 

Less Operational Cost

Blockchain technology has completely revolutionized the supply chain and reduced the risk of counterfeiting. Now, the product cannot be duplicated at any level. Similarly, it also helps in reducing the overall operational cost as the whole supply chain process has become very simplified. It gives an easy-to-integrate surface for data reconciliation across the operation and service lines for seamless product delivery. 


This technology empowers the consumers and enables them to look at and understand the complexity that it takes to bring a product to the market. It can not only change the consumer perception about fashion products but also reduces the massive quantity of products thrown out within a year of usage.

There are some obstacles too as the implementation of blockchain is costly for now. But, the adoption of blockchain by the fashion industry will play a significant role in the future and help to improve for the better. The journey is too long but change is coming and we should be ready to accept this change. For more interesting blogs on the blockchain, you can log on to this website. We have more interesting tech-related blogs for you. 



I am an expert technology advisor for start-ups predominantly in Blockchain and Security areas. I have done Masters in Business Administration (Finance and IB) and serving the IT sector from last 10 years.

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