Last updated 2 years ago
Damaging sourcing methods are the norm in the fashion industry. Human lives and natural resources are destroyed for the sake of cheap clothes. Without increased transparency, things will never change.
Use Cardano's native assets to "tokenise" every part of a supply chain for full transparency.
Build an "MVP" to demonstrate this use case.
Document and share the methodology to increase adoption.
This is the total amount allocated to Supply chain transparency -FTs+NFTs.
Use Cardano's native assets to "tokenise" every part of a supply chain for full transparency.
Build an "MVP" to demonstrate this use case.
Document and share the methodology to increase adoption.
Origin Thread was conceived pre-Goguen to explore using NFTs to disrupt fashion sourcing. We have built a first iteration of blockchain backed clothing which uses NFC tags to connect a garment with a corresponding NFT proving authenticity and linking to basic sourcing info.
How damaging can fashion be?
In 2013 the Rana Plaza garment factory in Bangladesh collapsed killing 1,134 people. In the aftermath of the disaster, major brands denied knowing if their clothes had been made there. Dangerous working conditions aren’t the only challenge garment workers face. It is estimated that just 2% of garment workers globally are paid a living wage.
Cotton is often called “the worlds dirtiest crop”. It takes 2,700 litres of water to produce the cotton needed for just one t-shirt. In comparison, organic cotton only uses 243 litres of water. $2-3 billion of pesticides are sprayed on cotton crops every year - 16% of the world's pesticide use. Between 1% and 3% of agricultural workers worldwide suffer from acute pesticide poisoning. At least 1 million are hospitalised every year.
When brands don’t know where their clothes are made, how are consumers meant to make informed decisions? When consumers aren't connected to how their clothes are made, why will they care about the environmental damage caused? With no transparency or accountability for sourcing decisions, why would large brands ever change?
Unfortunately this destructive cycle extends far beyond fashion. From chocolate to cut gemstones across many industries and much of the world, consumers in the developed world look away whilst people in the developing world and our environment pay the true cost.
We need transparent supply chains.
Our Proposal
tldr:
Cardano's native asset design allows for novel approaches to supply chain transparency. Every material, stage and process in a supply chain can be represented on-chain. This implementation of blockchain technology can revolutionise visibility of value chains and drive widespread blockchain adoption.
Our F9 proposal sets out a plan to research, develop and launch a "minimum viable implementation" of a tokenised supply chain on Cardano. This will demonstrate the advantages of Cardano's native asset design, serve as a case studies for other businesses looking to implement blockchain solutions driving adoption of Cardano and provide revenue for Origin Thread to continue to innovate new applications of Cardano.
An external version of this proposal optimised for legibility can be accessed here
What?
Why?
How?
To achieve these outputs, we have developed a 4 stage implementation plan.
Research
Develop
Partner and Create
Sell, Sustain and Spread the Word
Outputs
Outcomes
Fund 9 seeks answers to the question “What Dapps, products and integrations can be implemented to bring impactful use cases to Cardano ecosystem that help drive more adoption?”
Supply chain visibility is a shared problem across many industries. Creating and developing a transparent supply chain solution could help pave the way for wide spread adoption of Cardano in many industries.
By documenting and sharing our approach and the standards that we create, we hope to equip other businesses with the tools needed to implement this approach.
If large scale consumer businesses begin to tokenise physical products and implement supply chain transparency using Cardano there is the potential to onboard every consumer of those products to Cardano driving massive and widespread adoption.
Change in ADA price
Grant funding is not for speculating with. We will transfer any ADA received into fiat currency as soon as we receive it.
Challenges in scope creep
Supply chain is a huge topic. There's always more that our inital implementation will be able to cover. To avoid never ending scope creep it is important for us to remain focused on the principles that underline all supply chains.
Challenges with permission to use Cardano logo
Our planned shirt design makes subtle use of the Cardano logo. Fashion has always been used to signify group allegiance and what we are doing is a continuation of this. We would like Cardano Community members to be able to recognise each other at a glance at conferences and events. Our view is that if we present our proposal clearly to the Cardano foundation they will allow us to use the logo. If not, we can still produce a beautiful and high quality product.
Change in raw material prices
Raw material prices are subject to fluctuations, particularly in the current economic climate. To mitigate this risk we will look to “lock in” prices with our suppliers as close to project kick off as possible.
Challenges in production timelines
Aligning suppliers timelines can be challenging. If not handled correctly delays and cost can mount. We will have to be mindful not to move ahead with any purchases or orders until our metadata standards are finalised.
Mistakes in production and delays
Mistakes in garment production can be common. Fortunately we have built relationships with each of the suppliers in our proposed value chain. Building extra time into production schedules helps to mitigate the impact of mistakes and delays.
Low consumer demand
The Cardano community is highly passionate and involved. Its our belief that they will be pleased to support a Cardano native business and novel implementation of the Cardano blockchain. If demand appears to be low, we will leverage existing relationships with high profile community members to help spread the word.
Expect the unexpected
The unexpected should always be expected. We have added $1740 into our budget as a contingency fund to help cover the cost of any unexpected event.
Example native asset implementation
Supply chains are composed of four elements. Materials/components, processes, suppliers and locations.
Processes are like functions. They take materials inputs and output another material or a product.
Materials and products are stored in and moved between locations. Materials, processes and transportation between locations are all facilitated by suppliers
Each of these components can be represented, shared and traced on-chain.
Here is how each element will be represented
Materials - fungible tokens
Products - fungible or non-fungible tokens
Suppliers - NFTs
Processes - burn “input” token and mint “output” token which reference burn and mint tx of input tokens asset id of suppliers
Locations - Wallet addresses
Movement - Tokens transferred between addresses. Logistics information and supplier included in tx comments.
As an example - here is how the simple supply chain for a priceless ming vase might have been tokenised and traced.
First Iteration of FT and NFT Metadata for Materials, suppliers and products
Execution Timeline
Month 1
Month 2
Month 3
Month 4
Month 5
Month 6
Shirt Design Moodboard
Shirt Design Sketch
Project management, token development, product and documentation creation - $14,100
UK living wage of $13.56 ph x 40 hours per week x 26 weeks
Production of 500 shirts - $12,500
Material - $8 per shirt
Cut, sew and packaging - $12 per shirt
Fabric printing and dyeing - $5 per shirt
Make cost of $25 per shirt x 500
Additional Development - $4000
$80 per hour (uk freelancer rate) x 50 hours
Social media management - $3360
$30 per hour x 7 hours per week x 16 weeks
Film making and content creation - $3000
Price from previous work with filmmaker Rajat Pandit.
T-shirt pattern cutting, grading and sample creation - $1000
UK freelance pattern cutter rate.
Product photography - $200
Price of photo shoot at 100 percent studios, London
Server hosting and software - $100
6 months * $100 per month.
Contingency - $1740
Will Etheridge - Founder, Origin Thread
www.linkedin.com/in/wetheridge/
Project Management
Supply chain research and token creation.
Web design
Product Design
I began work on what would become Origin Thread in mid 2021. I was interested in combining my interests in NFTs and blockchain technology with my passion for fashion and knowledge that we need to bring about a more sustainable world.
The Origin Thread brand is designed to answer to questions. How can the blockchain be used to improve supply chain transparency and sustainability? What does a blockchain first brand look like?
In late 2021 I travelled to India to build relationships with suppliers across the garment value chain. In keeping with our desire to build an “on-chain brand”, the story of this journey and the beginnings of the Origin Thread brand were minted as NFTs and sold to early supporters to help fund continued development. You can view this first journey here www.originthread.com/origins/001
I have built out the first iteration of the Origin Thread website and overseen the development of the token redemption application. This application will allow customers to use an Origin Thread NFT to unlock delivery of a physical product.
In Spring 2022 with help from great partners in India, we created the first Origin Thread sourcing film (www.originthread.com/origins/002/01) which recently sold for 5000 ADA showing that there is already existing demand and interest for the Origin Thread project.
We are now at the point where we are ready to launch our MVP - the first blockchain backed item of clothing on Cardano. This garment will feature an NFC tag and QR code. These will link to an NFT which contains a video of the shirts creation and links to supplier invoices. This limited run of 60 men’s shirts will go on sale on July 7th.
I have already demonstrated how NFTs can be used to enhance physical consumer products. With the help of Catalyst I hope to accelerate our research and development process and extend the reach of this Cardano use case.
Kunal Balar - Co-founder - Herbal Fab
www.herbalfab.com/about-us/
Cotton sourcing and cut and sew partner
Established in 2007, Herbal Fab are an Indian manufacturer and exporter of organic fabric. Recently, Herbal Fab have also integrated their own on site cut and sew unit.; Kunal leads the day to day operations at Herbal Fab, has developed supply chains for leading brands like Lucy & Yak and is passionate about the need to switch to sustainable farming methods.
Pearl Zepherin - Founder and Director - Guava London
www.guavalondon.com/
Pattern cutting and grading
Pearl trained as a creative pattern-cutter at London College of Fashion and graduated during the 1980s. Having consistently worked within the fashion industry from graduation, Pearl went on to establish Guava London Ltd in 2012 – where it continues to go from strength to strength. As a professional highly skilled Pattern cutter her career to date has covered a wide spectrum in fashion from luxury, premium to the high street sector.
WLTM - Freelance Developers
I am in the process of interviewing devs within our network to help share the load of the development work. If you are a developer who is interested in what we are doing, please send an introductory email to will@originthread.com
Dheeraj Chhipa - Textile Artisan
www.instagram.com/dheeraj_chhipa_bagru/
Fabric print and dye.
Dheeraj is one of the finest hand print and dye artisans in India. He has received multiple awards for his work and has been featured in global publications such as Selvage magazine. He is one of the only remaining artisans practising Fadat printing and is the subject of our most recent film. www.originthread.com/origins/002/01
Rajat Pandit - Freelance film maker
www.instagram.com/rajatpandit_/?hl=en
Film making and content creation
Rajat is in demand for his creative and commercial videography work throughout India. He shot and edited the first Origin Thread sourcing video. - www.originthread.com/origins/002/01
Ellie Homer - Social Media Management
www.linkedin.com/in/ellie-homer-6574ba158/
Social media management
Ellie is the social media manager at St Cuthbert’s Mill, a world leading manufacturer of traditional fine art papers and fine art inkjet papers. A self starter with keen entrepreneurial instincts, Ellie founded a successful pet-portrait business to sustain her income during the Covid pandemic.
Completion of the implementation plan we have set out will provide Origin Thread the funds required to self sustain as a business.
That said, we are building an on-chain business and many of the tools and processes we may look to research and develop may bring value to others in the community. When this is the case we will look to Catalyst to speed up development and innovation.
Updates on our progress will be shared on a monthly basis to allow the community to audit our progress. These updates will be shared on the Origin Thread website and twitter.
Testnet Iterations
Number of iterations of our supply chain model on the Cardano testnet. This will show the progress we are making on the solution. We will share this with the catalyst community by linking to the Cardano explorer view of each iteration.
Supply Chain Stages Tokenised
We will record how many stages of the supply chain we manage to tokenise in our end garment. For example, do we get to the cotton co-operative level or are we able to get sufficient granularity of our supply chain to get to the level of individual farmers? This will show the success of our partnerships with suppliers. We will share this information in the final documentation we produce.
Implementation Stages Documented
It’s our intention that the blockchain implmentation we demonstrate is used by as many organisations and businesses as possible. As such our documentation needs to be clear. The more clear the documentation we produce is, the more able this is to happen. We will record how many of the process stages are implemented.
Number of shirts sold
Developing new implementations and models only matter if you can find customers. Projects and proposals must be able to scale from needing investment to standing on their own feet. The only way to do this is by generating sales. Measuring the number of shirts sold will show customer demand for this type of product and will be the ultimate metric of whether our proposed implementation has a sustainable future. As our garments are backed by NFTs, the number we sell will be recorded on-chain. We will share this information in our final documentation.
This is a new proposal.
Goal 8: Decent work and economic growth.
Goal 9: Industry, innovation and infrastructure.
Goal 12: Responsible consumption and production.
Goal 15: Life on land.
Origin Thread was conceived pre-Goguen to explore using NFTs to disrupt fashion sourcing. We have built a first iteration of blockchain backed clothing which uses NFC tags to connect a garment with a corresponding NFT proving authenticity and linking to basic sourcing info.