A Secure Tracking System to Prevent Counterfeit Drugs in the Pharmaceutical Supply Chain

Abstract

Counterfeit drugs represent a serious global risk, accounting for about 10% of the medicines worldwide. This per-centage increases significantly in developing countries, reaching up to 30%, and has become a major cause of child mortality in these regions. Blockchain technology provides a good solution to address this critical issue through improving transparency and traceability of pharmaceuticals from manufacturers to end users. However, traditional blockchain applications face major challenges, particularly in terms of high costs and scalability especially when handling large volumes of data and transactions such as those found in the pharmaceutical supply chain. To address these limitations, researchers have introduced Layer 2 blockchain technologies, which operate on top of standard blockchain networks to improve scalability and reduce costs. This paper aims to design an efficient, secure, and scalable framework that can support traceability in pharmaceutical supply chains and contribute to reducing counterfeit drugs. This framework lever-ages Layer 2 blockchain solutions and combines Non-Fungible Tokens (NFTs) linked to Quick Response (QR) codes to provide unique identification for each drug. Furthermore, it incorporates the InterPlanetary File System (IPFS) for off-chain storage to reduce the amount of data stored directly on the blockchain. Additionally, an access control mechanism is incorporated to ensure the protection of sensitive data by limiting access based on predefined roles. This enhances privacy and reduces the risk of data leakage or misuse. In conclusion, this work provides the global scientific community with a secure and scalable framework that can be applied internationally to strengthen pharmaceutical supply chains and reduce the risks of counterfeit drugs.