The Emergence of Blockchain within the Fashion Industry: Impacts on Sustainability
Written by Brett Byers
In the past decade, the progression of technology has become immensely eminent, with new advancements progressing at a rapid pace. A predominant facet that technology is impacting is the fashion industry, which has already experienced many changes due to new developments. From the ability to produce clothes more quickly, create new trends that have larger reach, and having digital fashion shows, advances in technology have impacted the fashion industry greatly.
Blockchain is an advanced database mechanism that stores transactional records in a digital business network- otherwise known as a peer to peer electronic cash system. It gained popularity in 2014 through the emergence of cryptocurrency, but has recently been implemented into the fashion industry in a multitude of ways. Louis Vuitton, for example, is working with tech companies to use a platform based in blockchain technology. This platform ensures the authenticity of their luxury products, which prevents counterfeit pieces from entering the market. Counterfeit clothing is a prevalent problem within the fashion industry, as it embodies all of the issues of unsustainable fast fashion. Furthermore, it encourages unethical and unsustainable production practices, as it promotes the production of clothing items with cheap materials. Further, it promotes “micro-trends” that will likely fall apart and end up in a landfill. The sweatshops used to make these counterfeit pieces use extremely unethical practices to manufacture the products, creating both ethical and environmental concerns. Using blockchain technology, this innovation significantly reduces the production of counterfeit pieces, thereby promoting sustainability and ensuring the ethical treatment of workers. Blockchain technology is being used by other fashion brands such as Hugo Boss to manage their supply chain and track particular goods through the usage of blockchain. This is another great impact that this technology has on the promotion of sustainability within the fashion industry; producers are able to determine the necessary production quantity of a given item to diminish overproduction, leading to less overall waste. Moreover, with blockchain technology, manufacturers can use data from consumers to track the product development life cycle and determine if sustainable practices are being implemented.
Another aspect of blockchain that has infiltrated the industry may seem odd, but has quickly become an extremely prevalent aspect of the upcoming age of fashion: NFTs. Otherwise known as non-fungible tokens, these are secure, digital assets that represent ownership of an item or piece of content. They are recorded on the blockchain and can be bought, sold, or traded. This form of digital currency has been a prevalent aspect of the tech-world since 2017. However, they have started to seep into the fashion industry within the past few years.
Another aspect of blockchain that has infiltrated the industry may seem odd, but has quickly become an extremely prevalent aspect of the upcoming age of fashion: NFTs. Otherwise known as non-fungible tokens, these are secure, digital assets that represent ownership of an item or piece of content. They are recorded on the blockchain and can be bought, sold, or traded. This form of digital currency has been a prevalent aspect of the tech-world since 2017. However, they have started to seep into the fashion industry within the past few years.
Many brands have begun to use NFTs to release rare digital items and exclusive collections. This allows the consumers to shop at virtual stores, try on the purchased digital clothing through augmented reality, and more. Further, NFTs contribute to sustainability by providing an insight into the production behind fashion pieces that is otherwise unknown to consumers.
Each fashion item represented by an NFT can have its production history recorded on blockchain in order to ensure that it has ethical manufacturing practices and uses sustainable materials in its production.
With technology advancing so rapidly, it is a guessing game as to what the fashion industry may look like in the future. Not only will the emergence and integration of it promote sustainability within the fashion industry, but it will also open up the market to so many other opportunities and assets. The possibilities are nearly endless, and the integration of them within the fashion industry is providing a unique and exclusive insight that may be the future of fashion.
References:
Clark, Mitchell. “NFTs, Explained.” The Verge, 3 Mar. 2021, www.theverge.com/22310188/nft-explainer-what-is-blockchain-crypto-art-faq.
Durocher, Yanie. “Council Post: Nfts: The Fashion Industry’s Future Baby.” Forbes, Forbes
Magazine, 19 Oct. 2022, www.forbes.com/sites/forbesagencycouncil/2022/10/18/nfts-the-fashion-industrys-future baby/.
Fwo. “Blockchain Technology and How It’s Revolutionizing the Fashion Industry.” Fashion Week Online®, 23 Apr. 2022, fashionweekonline.com/blockchain-technology-and-how-its-revolutionizing-the-fashion-industry.
Kandan, Mani. “How Nfts Are Revolutionizing the Fashion Industry.” Vakilsearch, 8 Sept. 2023,
vakilsearch.com/blog/how-nfts-are-revolutionzing-the-fashion-industry/#:~:text=Gain%20.
Edited by: Sam Teisch, Hana Razvi, and Katherine Rubinstein
DEI Reviewed by: Katherine Rubinstein
