Blockchain and homomorphic encryption based system for secure supply chain network against counterfeit drugs
摘要
Counterfeit medication is a critical global issue that poses severe risks to public health due to its harmful effects on the human body. The rise of online pharmacies has further expanded the market for counterfeit drugs, with over 50% of medicines sold online being fraudulent. These counterfeit drugs not only jeopardize the health and safety of individuals but also lead to significant revenue losses for legitimate pharmaceutical companies and substantial tax evasion costs for governments. Despite the implementation of various anti-counterfeiting strategies, many face challenges in ensuring reliable traceability, trust, and transparency regarding the origin of the drugs. Moreover, the lack of coordination between manufacturers, distributors, and wholesalers exacerbates the problem, leading to ineffective drug recall systems and a pervasive lack of trust. Blockchain technology presents a promising solution to counterfeiting and theft in pharmaceutical supply chains. This study proposes and implements a blockchain-based solution for combating counterfeit medications in India’s pharmaceutical supply chains. The proposed approach includes controlling supply chain operations using several procedures embedded in smart contracts running on the Ethereum blockchain, as well as storing information using the Interplanetary File System (IPFS), which improves scalability, reduces computing load, and allows for quick data retrieval with minimal processing. By leveraging homomorphic encryption (HE), regulatory authorities or auditors can securely validate that pharmaceuticals have followed the correct supply chain path while protecting sensitive information. The system’s scalability was determined by monitoring its performance as transaction volumes increased. The proposed system showed decreased latency and better throughput, indicating its suitability for application in real-world production environments. In addition to performance testing, the system’s security was assessed using Oyente, a static analysis tool for Solidity. This investigation verified the system’s security and resilience against possible flaws.