Geography Now! Italy
Italy donates € 15 million to create a blockchain-based trade mark system
Italy invests 15 million euros to create a blockchain brand system.
The decision was made due to the harmful influence of Chinese business in Italy.
Authorities hope to address trademark ambiguity via blockchain.
Italian government invests in the development of blockchain solutions to protect the intellectual property of local businesses.
According to dGen, a nonprofit research institute that researches the development of decentralized technologies in Europe, blockchain could become a key way to protect small and medium-sized manufacturers, as well as major brands through digitalization of goods..
Over the past couple of years, Chinese companies have made a significant expansion of their investments in Italy, using the Made in Italy brand on many of their products..
Chinese companies are actively opening factories in Italian cities and recruiting Italians in leadership positions for training.
The catch, according to dGen, is that factories import materials from China at much lower prices than Italian-made materials and subsequently create lower quality fashion items..
“However, they [the Chinese] still give the Made in Italy label because of the location of the factory in Italy..
Their ultimate goal is to compete in the luxury sector, despite the fact that the products are often made with lower quality materials than other Italian luxury goods, ”says dGen.
To help boost local production, the Italian government has decided to invest € 15 million in the development of a blockchain system for verifying Italian brands..
The funds are intended to support the rapid adoption of digital technologies, including blockchain, to raise the level of local production.
Focus on blockchain
Some Italian brands are already using blockchain to protect their intellectual property masters and suppliers, while Italian academics are collaborating with blockchain experts to develop technology solutions to protect Italian brands globally..
While the industry definitely has incentives to improve its systems and reduce counterfeiting, these initiatives should be taken up by local manufacturers and not by the Italian authorities, dGen said..
Recently, Italy has become increasingly interested not only in blockchain technologies, but also in cryptocurrencies..
Previously BeInCrypto editors wrote, that according to the European division of the bitcoin exchange bitFlyer Europe, Italy has the highest percentage of confidence in the future of cryptocurrencies.
What do you think? Can blockchain help with trademark counterfeiting and tracking the complete supply chain of original goods? Share with us with our thoughts in the comments.