Counterfeit medicines in the pharmaceutical sector is a persistent issue, with an estimated impact of $5.3 billion this year. However, industry experts are optimistic about the transformative impact of blockchain technology in addressing this pressing concern.
Is Blockchain The Solution To Counter Fake Drugs?
Oluseyi Akindeinde, the CEO of Hyperspace Technologies, believes that blockchain technology has the potential to safeguard the pharmaceutical sector. He emphasized that blockchain’s ability to serialize pharmaceutical products and assign verifiable security features could significantly hinder the circulation of counterfeit medicines.
Akindeinde proposed integrating encrypted non-fungible token (NFT) tags into pharmaceutical products to create unique identities and provide an additional layer of security. By encrypting the NFTs, only authorized individuals with the correct code can access information, ensuring the integrity of digital assets on the blockchain.
Counterfeit medicines result in a staggering 500,000 deaths annually in sub-Saharan Africa alone. The National Agency for Food and Drug Administration and Control recently destroyed over N500 million worth of fake and expired goods in Abuja, including psychoactive and controlled substances, antibiotics, and herbal remedies.
Smart Contracts: Antidote To Drug Counterfeiting
Akindeinde further explained that blockchain technology offers an immutable solution through the use of smart contracts. Each pharmaceutical product receives a unique identification tag affixed to its packaging within a smart contract, rendering manipulation virtually impossible.
Adewale Kayode, the Director and Team Lead at Sirfitech, stated that blockchain technology could provide authentication and transparency across the entire pharmaceutical value chain, ensuring the verifiability and traceability of pharmaceutical products.
As the counterfeit medicine industry continues to evolve, the adoption of blockchain technology offers hope to combat counterfeit medicines and protect lives. The pharmaceutical sector stands poised to leverage this transformative technology, forging a path towards a safer and more reliable future.
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