NFTs for supply chains: a protocol for transferring responsibility

Transcript

hey everybody thanks for being here so we are going we're gonna present an application of nft for supply chains so it's a protocol we call hot potato because it's like to stop losses and increase efficiency in a hot potatoes game we will present so i'm content chabert cto of honest interested in security blockchain sport and nature and my mate is uh content devotion uh founder of honest crypto affair and head of blockchains are honest so it's gonna present the first part what honest is doing and i'm gonna present

second part more technical his so uh a little summary we so what we say what is our potential what are our use cases and apps and after this the other quentin will talk about the technical layer and what we are developing right now is diamond so what is a not potato protocol if you heard about blockchain and supply chain most of the time you heard about timestamping you take an event you put it in the blockchain you say it's great now we know what is happening in reality you don't know

you just put an event in the blockchain forever if it's false it's false forever in the blockchain so you're not changing anything comparing to a database so you need to change something here and that's what we are doing a blockchain is uh is used to do transfer of value and transfer value we know really well about transferring cryptocurrency about transferring tokens about transferring ownership but we can also transfer responsibility and we realize that in the supply chain

people are tracking goods saying i want to know where things are but in reality what they want to know is who is responsible for what and we can do that with an nft responsibility if we exchange at each time an nft of responsibility of a good we can know who is responsible for what at any time and why are we saying it's like an odd potato game because the odd potato game is a game where you just want to give the odd potato to the next guy here it's the same we probably have the only nfts you don't want in your wallet

because if you have it it means you have the responsibility over it if you lose something you will have to pay for it for this so you just want to give it to the next guy but the next guy doesn't want it either unless he has to take it so in a supply chain [Music] inspiration system it's really effective like i said the only way to send it to someone else is for both parties to agree on it that's all we did it so comparing to what we will say classic nfts where you can send the nft to anyone here you need an acceptation you need

the other person to accept it so you will need to go to a consensus between the two people exchanging the good for the exchange to happen by doing this you will obtain real data from the field not something that is just taken from arbitrary uh computer and something like this most of the time you will get data that isn't the reality here you will get the data from two people trying to not be fooled by the other guys so you will get a much more qualitative data

this results in true trustability so how did we do it we did it with two applications one is the mobile application the other is the dashboard the mobile application is the application that will generate the certified data on the field because it's the two applications are web app so progressive web apps so you don't need to install something on your phone which is really effective especially with people coming from warehouse drivers you you don't want to to to get something complicated

and the mobile application will permit to do the transfer for the field operator between the driver and the warehouse person and on the dashboard the managers will be able to audit what is happening in real time to monitor and also improve the supply chain because we can also set after this if we have the data we can set alerts we can set requests and we can also ask a real claim in real time if there is something that is happening between two people when there is an exchange somebody say i don't want your your parcel because your parcel is broken

you can say it on the on the the application you can take a photo and you will have the claim in real time in the in the dashboard by doing this you also resolve the conflict on the field before they happen which is quite effective an example of process we are doing is uh for example salon so with solar on we are tracking between boutiques and headquarters we're not doing like the the new nfts for for i don't know what in a in a boutique here it's just between salon and

what they do is the for example here you're at the headquarter you want to take a photo of a bag to put it on the website where will you take the bag you will take it at the auto shop and the shop will send it to you and after this water pan of the bag and you will have a lot of unknown losses in the boutiques because of this if you track from the beginning the request to the boutique then the boutique will accept and send the bag with the responsibility to the navet to the the navit will bring it to the hq will

give the bag n the responsibility like you can see here and the responsibility will be transferred to the final user to the photographer and the photographer we will know now that the photographer has responsibilities over two bags and one one dress it's already live on the field we already work with like i shown you with salon we can reduce losses by 99 percent we can improve the return in regular stocks we improved it for statistics by 70 we can also have a 100 coverage in real

time of production step for example with sncf where we're doing it for the installation of rails and we already had like yeah 100 k product references 24 000 ecma etc so now let's talk about how it's done yeah see now you know what we're doing let's check out how it's done so we're using mainly i mean not mainly but only open blockchains so we started an ethereum classic because it was cheap and now we are on polygon to secure the the nft

of responsibility so that's the layer we choose our users do those transactions by themselves it means they sign the transactions locally on their device that's broadcasted to our api and then broadcasted into the polygon network so at no time we are having any client private key or any signature is uh faked by us everything is done locally on the client's device with the local wallet they decrypted on authentication so this protocol of

responsibility runs at rental api and this api is then used to provide data for our apps so we care about the privacy of our clients of course so that's why on the blockchain we do not broadcast anything specifically private we mostly use ids um hashed data that can be recovered after thanks to our database uh so the mapping between nfcs and real assets is encrypted and only accessible accessible by our our clients and the organizations it

means that it's really hard to have an understanding of what's really happening on the field regarding blockchain data so a quick word about polygons that will show it's becoming um [Music] a widely used uh blockchain now so it's not really a surprise we are also joining the the move so we are still we have a validator since 2020 and that will help us of course provide the gas for our clients activities and to to be able to [Music] help the ecosystem to

develop too so our core architecture is based around our apis and then our interfaces so blockchain api's interfaces kind of [Music] the honest responsibility protocol is at the bottom of all of it and we are trying to open this protocol between s2 2022 and s1 2023 we will use the diamond aip 2535 in our next implementation so

i will have a few words about this standard later so how do we do this interfaces and api connection so we first developed a package and typescript to embed every mechanisms involved in signing blockchain deciphering also assets assets deciphering for details modifying properties of assets anything that is blockchain related is uh embedded in our package and can be easily integrated into any interfaces the rest api is also

one of our endpoints for our customers our clients so we can easily integrate with any webhook or push any data they need to to have a live view of what's happening on the field and there is also functionality with non-custody wallets to help interact with more connected systems that rely on io on data pushed by iot for example but we try to not rely on that too much so a quick view of what's the honest protocol kind of so the transfer responsibility protocol

we have different ways to do the handshake so i can send the product through the send function but it won't be accepted until someone i mean the recipient calls the accept function you can also receive products with an offline signature meaning that you can accept with the signature of the sender you can also request the products so it's like a free accept you can say yeah you send me this please and as soon as you're gonna as you're gonna send it it's gonna be in your wallet there are also other properties management methods so a little bit more

about the diamond standard and our use sorry yeah so what's a diamond diamond is a contract with the external functions that are supplied by facets facets are contracts independent contracts that you can bind to your diamond to provide the sets of functions so the main motivations for going to diamond standard is the size of the contracts you can have way more functions and the upgrade ability so you can put more and more standards so here are two token standards present

in our diamond contract so the rc 721 to represent a really generic responsibility token and the erc 1155 so the multi-token standard which is really the main standard here because we need both erc20 and erc721 to deal with assets diversity on the supply chain so we developed this as a facets and a few more specificities of our diamond contract meta transactions which are really handy to help for client wallet and funding management loop facets which is really pretty common for a diamond standard but it's needed to be a facet

an admin facet to help manage our clients resources uh the subscription and the services and kind of they can trigger on their products also certification facets that manages the broadcast of data we want to certify a quick word on this possible release of responsibility token standard so we're not yet but soon maybe we'll see the chain chain uh nfts we like christine with a email chain emails so before we reach this point maybe it would be interesting to

adopt a new standard on a c721 that cannot really end the spam there will be ways for proxying through new standards and reaching the erc721 standard from this so maybe we could stop uh just show the erc2021 in a few ways and transition to this standard so yeah this kind of unshake and global pre-approval could be a way to develop more and more interactions and protect also users from any spam or unnecessary tokens thanks for listening [Applause]

i think we have a few minutes for question i this think really interesting because hi nelson from mata um um this is really fantastic you've done a good job i think kind of like mapping the supply chain the issues um in terms of like what you have now what you're gonna have in the future the end products do you have some kind of uh asset passport for the for the uh final nft or is it more really for the company to manage their internal process or is it like external facing products also yeah it's both

really so we started with b2b parts because if you want to get a full traceability you need to start with complicated parts that is b2b part and we are now moving to the b2c so to be able to do b2b to c and giving a passport at the end that could be used for many things like yeah renting like guaranty and but the passport could be a classic or c721 for this case because it would be just easy to transfer then so it's more like a bridge between the tokens and bringing the responsibility to the end customer

yeah no i think it looks really good i like the idea and um yeah i've been watching the supply chain space for a bit as well [Music] with upgradability of smart contracts it's something i could consider in my project as well and we kind of had to think a lot about how a user can opt into an upgrade do you have that um ability for clients to choose what does or doesn't get upgraded in the smart contracts or is it by virtue of it being a diamond you have the power to upgrade it regardless of of the client's choices so it's just that question of if if you have that um ability to upgrade at any time they have to trust you and then they then it follows with the question why blockchain if they have to trust you

100 just just to be you know mix it up yeah i see your point so no apparently the only one being able to upgrade the contracts and yes we have the authority on this so we're working with a cac for current companies clock 40 so they're not really blockchain savvy yet so we are handling a lot of the work for for them too and that will be uh the way to do it i agree with you uh else we could temper and uh really yeah they need would need to trust us completely uh so it's gonna be totally

uh open and we are looking for a way to secure the upgrades with our clients so some kind of multisig i guess yeah i would say we we are like for now we are web 2.3 because yeah our users aren't like web3 aren't even like digital uh people native so we wanted to at the beginning the idea was we want to give like crypto to big corporation without them really seeing what's happening so now they're using applications on the field they're using it like any web to

application but in the end they're doing transaction on the blockchain and they're putting everything every certification in the blockchain thanks for your attention guys [Applause]