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Cardano (ADA) and New Balance announced they are working on a new authentication system called NB Realchain. The main goal of this partnership is to protect the authenticity of its collector’s edition shoes.
This comes after both organizations decided to start working together on new blockchain-based solutions.
NB And Cardano New Authentication System
As reported by IOHK a few hours ago, New Balance confirmed they are working with IOHK to create the NB Realchain. This pilot authentication system is expected to help New Balance protect the authenticity of some of the shoes it sells.
With the new system, the NB Realchain will allow customers log their purchase on the Cardano blockchain. Once the system verifies the product, shoppers can be sure that all the goods sold can be digitally proven to be 100% authentic. That includes products that are sold by a third party.
This is the first time that IOHK’s blockchain is deployed for commercial use. Blockchain technology could be used in the industry and improve many processes in different areas.
The official blog post reads as follows:
“IOHK’s collaboration with New Balance is the first commercial deployment of its blockchain. A successful pilot for NB Realchain shows how the global retail industry can make use of distributed systems.”
Oh yeah! pic.twitter.com/alVUhPz9fq
— Charles Hoskinson (@IOHK_Charles) October 18, 2019
Fake Products Flood The Market
In the last years, a large number of fake brands have been producing similar shoes to those sold by New Balance. This is clearly affecting their sales and revenue, considering the imitations are cheaper than the original product.
This is something that is not only affecting New Balance. Direct competitors such as Adidas or Nike are also affected by this issue.
The Chief Executive Officer of Adidas, Kasper Rorsted, explained that up to 10 percent of their products on sale in Asia could be fake. The fake products can be found at bricks and mortar and online, showing that the counterfeiting industry is moving forward on many different fields.
“It continues to be a big problem for our industry,” Kasper Rorsted said.
By applying blockchain technology, it is possible to provide customers with the peace of mind they need when they purchase a product they consider to be original.
Individuals will be able to check whether a pair of shoes or other products are fake or whether they are original.
If you want to know more about Cardano, you can read our guide title ‘What is Cardano (ADA)?‘.