Blockchain: The Answer to the Illusion of Luxury Made in China

Amid the ongoing trade war between the United States and China, an unexpected phenomenon is shaking the foundations of the luxury sector. On TikTok, viral videos reveal that many high-priced “designer” items sold in Europe are actually manufactured at low cost in China. Behind labels like “Made in Italy” or “Made in France” often lies outsourced production on the other side of the world—at prices far removed from anything luxurious.

This exposé of the luxury industry echoes the tale of The Emperor’s New Clothes, where an illusion is sold at a golden price. Blockchain, by contrast, offers a true paradigm shift: complete transparency over the origin and manufacturing process of products.

Transparent Luxury: French Brands Leading the Way

Some brands in France are refusing to accept this opacity. They are turning to blockchain to certify, prove, and tell the real story behind their products:

• ba&sh uses the Arianee platform to provide a digital passport for each garment, detailing where it was made, which materials were used, and its life cycle.
• Starting in 2025, every BRABUS Masterpiece supercar will be equipped with a blockchain-based Digital Product Passport (DPP) via the Aura platform, giving owners full certified traceability of their vehicle through an embedded NFC chip.
• Luxury group OTB (Maison Margiela, Jil Sander, Marni) now equips all its products with an NFC chip linked to a digital certificate of authenticity stored on the Aura blockchain, ensuring full traceability from the Fall/Winter 2024-2025 collection onward.
• Burberry uses blockchain to create digital certificates of authenticity and ownership—particularly through NFT collections—to enhance customer engagement and product traceability in Web3.
  

These initiatives show that a true luxury product is expensivebecause it is locally made, sustainably sourced, and respects artisanal craftsmanship. Blockchain enables every actor in the production chain to share trustworthy data about the product, making the entire process transparent and countering empty marketing narratives.

Blockchain vs. Marketing Storytelling

While some consumers are shocked to learn that their €3,000 bag is made in the same factory as a €30 “dupe”, the reality often goes further: an Hermès Birkin bag sold for $38,000 costs just $1,400 to produce (only 3.7% of the price, according to GQ), and a Dior bag sold at €2,780 costs only €57 to make (2%, according to Vogue Business). Faced with these staggering gaps between cost and retail price, blockchain offers a true safeguard by enabling verification of:

• The exact origin of raw materials (e.g. whether the leather really comes from a certified Italian tannery or from a low-cost supplier in Asia).
• The assembly workshop (name, location, manufacturing standards, social audits, etc.).
• Production time (to prove whether the item required hours of skilled craftsmanship or came off a fast industrial line).
• The origin of secondary components (zippers, buttons, linings—often overlooked but crucial to true product quality).
• Lifecycle and repairs (a record of any servicing done to extend the product’s durability).
• Environmental or ethical certification (proof that no forced labor or unsustainable materials were involved).

The myth is over—what matters now is proof.

A New Definition of Luxury

Tomorrow’s luxury will no longer be judged by its logo, but by its ability to tell a true story. Blockchain is not just a tool for transparency—it’s a cultural revolution in a sector long shrouded in secrecy.

Through blockchain, luxury becomes an act of commitment. Buying a blockchain-certified product means supporting fashion that is more responsible, more local, more honest.

Today’s consumers are no longer fooled—they demand clear, even certified, communication. Thanks to blockchain, it is now possible to provide verifiable authenticity guarantees. We can help you implement an innovative process tailored to today’s expectations, reassuring your customers about the real origins of what they’re buying. Contact us to learn more and launch your project.