Design and Analysis of Incentive Mechanism for Ethereum-based Supply Chain Management Systems

• Published in: 2020 11th International Conference on Computing, Communication and Networking Technologies (ICCCNT) pp. 1 - 6
• Main Authors: S A, Pranesh, V, Vignesh Kannan, N, Viswanathan, Vijayalakshmi, M.
• Format: Conference Proceeding
• Language: English
• Published: IEEE 01-07-2020
• Subjects: Blockchain; ethereum; game theory; incentive; permissionless; reward; supply chain
• DOI: 10.1109/ICCCNT49239.2020.9225602

Blockchain is becoming more popular because of its decentralized, secured, and transparent nature. Supply chain and its management is indispensable to improve customer services, reduce operating costs and improve financial position of a firm. Integration of blockchain and supply chain is substantial, but it alone is not enough for the sustainability of supply chain systems. The proposed mechanism speaks about the method of rewarding the supply chain parties with incentives so as to improve the security and make the integration of supply chain with blockchain sustainable. The proposed incentive mechanism employs the co-operative approach of game theory where all the supply chain parties show a cooperative behavior of following the blockchain-based supply chain protocols and also this mechanism makes a fair attempt in rewarding the supply chain parties with incentives.