Now this gets pretty deep, so stay with us. Digital Passports (or digital product passports DPPs) uses similar technology like Bitcoin. The product it interlinked with the customer. The idea is to create a digital identity for a product, which can include details such as its origin, manufacturing process, materials used, environmental impact, and more.
Arianee at the present time is one of the leaders in this technology. Initially within the fashion industry, as Arianee state: "Arianee launched in 2018 to enable direct and continuous relationships between brands and their end consumers, placing the ownership of data in the hands of consumers with a focus on openness and decentralisation. Arianee creates DPPs as non-fungible tokens (NFTs) backed by blockchain technology, which can be displayed on smartphones or web browsers, creating a digital link between object and user."
The main onus for this is the idea is that now someone is sold a digital product and then they are marketed to again again. Their digital information is sold online between companies and the customer is not really the centre of the business. Making money from the customer is regadless of privacy and sharing of personal information.
Again from Arianee: "DPPs can more easily allow customers to authenticate products, transfer ownership and access services like resale and repair. As a result, digital passports can unlock new means of income for brands, allowing them to explore user data in a safe and effective manner. This can enable lower client acquisition costs and higher customer engagement."
So when someone buys a product, they own a little bit of code that is directly related to that product. But:
This is probably going to be the main issue. However in 2022 Google did a survery on privacy and this is what they found:
So people are willing to share their data, but data privacy is/ has always been an issue. This is why cookies are disappearing. The main key is to protect data within the Digital Passport. But the good thing about Digital Passports is that they often involve explicit user consent. Consumers have the option to opt in or opt out of having a digital passport associated with their products. This puts more control in the hands of individuals regarding the use of their data.
Adoption is going to take time, but with legal systems getting on their side, Digital Passports are coming. But what needs to be done? According to Arianee: "In order to implement DPPs? First of all, you need connected components on every single object that can be scannable — QR codes [or near-field communication] NFC chips. To add QR codes and NFC chips at every stage in the supply chain is not easy — it takes time. This QR code will have to be linked to a persistent interface showing data about the product that can last forever — or at least as long as the product lasts.”
All this is new, but it seems like data is starting to controlled more by customers rather than companies- where customers can opt in if they want.
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