Investigating the Use of Blockchain Technology in Fashion and Textile Industry

Abstract

Nowadays, with the advancement of technology, software designed to provide perfect security for information in every field is emerging. Blockchain has also become a crucial component in such software, safeguarding information across various sectors. Blockchain technology represents one of the rapidly evolving methods for organizing and storing data online. Data is stored in blocks, and when enough blocks are connected, they form a chain, creating a blockchain. Additionally, the use of blockchain technology enhances the security of data on the network. This technology finds applications in various sectors, including media and telecom, energy and utilities, finance, healthcare, and basic industrial sectors. Notably, the fashion industry is also among the sectors benefiting from blockchain, primarily due to its transparency, a key factor given the increasing importance of sustainability.However, transparency is just one aspect of blockchain technology. It encompasses other essential features such as enhanced security, instant monitoring, increased efficiency and speed, and automation. Today, major players in the fashion industry, including LVMH, Nike, Zara, and textile-producing countries, employ blockchain technology. Blockchain facilitates the examination and recording of many issues, including supply chain management, product preparation, and fair labor practices. Luxury fashion companies, in particular, use blockchain to record product certificates, preventing the production of counterfeit models and ensuring the authenticity of their products.In this context, this study aims to reveal the perspectives of textile and fashion companies regarding blockchain, a topic with limited academic sources. As a case study, the research focuses on investigating the application of blockchain in the Turkish textile and fashion design industries. The research involves interviews with Turkish fashion designers and managers from textile companies, aiming to understand how and why businesses might potentially integrate blockchain internally. Although most interviewees stated that their companies currently lack active blockchain applications, they expressed their intention and progress toward incorporating blockchain in the near future.While blockchain is used worldwide, it is observed that Turkish fashion designers and the textile sector employ it for specific applications, and there is limited available information about Turkey. This study aims to bridge the knowledge gap by providing insights into how and why blockchain can be utilized in the Turkish fashion and textile sector, drawing from the data gathered through extensive research and interviews.