11 June 2020
VeChain To Build A Blockchain-based Drug Traceability Platform for Pharma Giant Bayer
The demand for blockchain-based supply management systems has been continually rising across many business sectors. Blockchain’s key features like transparency, immutability, and fast transactions, make it ideal for use in different industrial applications.
Bayer, one of the world’s largest pharmaceutical companies, has recently joined hands with VeChain to develop a blockchain-based drug traceability platform. Last week, Bayer China reported that VeChain will work as a tech-facilitator providing blockchain-powered solutions that allow the pharmaceutical giant to track the movement of clinical drugs across the supply chain.
Having a transparent supply chain system is one of the most important requirements of pharma companies to prevent issues of drug duplicity.
VeChain’s CSecure Blockchain System Comes To The Rescue
Dubbed as CSecure, VeChian’s blockchain system first loads a batch number for a specific drug onto the blockchain platform. Each drug across the supply chain is tracked using timestamps along with user-identification information at different checkpoints.
This is where blockchain’s immutable nature plays a crucial role as it doesn’t allow any non-permissioned third-parties to interfere with the data.
During the interview, G4A program leader Ding Songen said that the reason why Bayer decided to partner with VeChain is due to the major concern for quality assurance of products and the health of users. Thus, having a mature and robust technology solution like VeChain was a perfect fit for them.
Last year in 2019, VeChain competed with its peers to win the right to work with Bayer China. Later, the two companies decided to work together on a blockchain-based supply chain solutions for Bayer pharmaceuticals.
The CSecure system developed by VeChain is built on a proprietary blockchain-as-a-service (BaaS) system called ToolChain. Using this platform, VeChain can create a full DLT solution customized as per the client’s requirements.
Bayer China added that CSecure will help the company to effectively collect data on its clinical trial supply chain. This information will be completely encrypted and secure and will be further used to prevent theft and misuse of supply. Furthermore, it will also help to trace the doses implemented to the participants of the clinical trials.
Showing his enthusiasm for taking up this new challenge in the pharmaceutical industry, VeChain founder Lu Yang said: “This time we cooperate with Bayer, our greatest feeling is the rigor of the medical industry. This rigor is not only rigorous in product design, including the communication process with G4A. The communication process with Bayer related business departments I feel Bayer’s serious attitude towards the medical and health cause as a whole”.
This is not the first project that VeChain is working on with industry giants. Previously, it teamed up with Walmart China to provide similar blockchain-based supply solutions. Moreover, it is also working with accounting giant Pricewaterhouse Coopers (PwC) for a food tracking solution in China.
Blockchain-Based Healthcare Ecosystem
The global healthcare industry is a trillion-dollar market, and implementing blockchain could streamline several of its operations. Several countries are now implementing DLT solutions and frameworks for the timely and seamless implementation of healthcare.
This includes bolstering the medical supply chain, streamlining the relations between hospitals and insurance providers, while increasing the optimization of revenues.
Last month, a report from Crain’s Cleveland showed that hospitals in the U.S. are looking to deploy blockchain solutions for timely healthcare delivery to patients. This project aims to use blockchain technology to reduce the time it takes to connect qualified medical personnel with rising demand from patients.
This will be very helpful in pandemic situations like the recent COVID-19 crisis, allowing for quick and efficient treatment and recovery.