Will We Be Buying Aircraft Parts on the Blockchain?

We previously bemoaned about how there isn’t a better and more centralized way of transacting aircraft parts, given the complexity of the process.

We cited blockchain as a viable option to remedy this problem because of the technology’s ability to track the history of individual parts to even better understand their condition, life cycle, and where they originated from.

It appears that this might now be gathering enough momentum to eventually be our new reality.

Understanding Blockchain Technology

Before we get to that, let’s take a step back to understand blockchain technology.

Blockchain is a method of recording information that makes it impossible or difficult for the system to be changed, hacked, or manipulated, which would be major selling points when it comes to tracking aircraft parts.

A blockchain is a distributed ledger that duplicates and distributes transactions across the network of computers participating in the blockchain.

Blockchain technology is a structure that stores transactional records, also known as the block, of the public in several databases, known as the “chain,” in a network connected through peer-to-peer P2P nodes, often referred to as a digital ledger.

Every transaction in this ledger is authorized by the digital signature of the owner, which authenticates the transaction and safeguards it from tampering. Hence, the information the digital ledger contains is highly secure.

This sounds like a pretty good way to transact aircraft parts to ensure authenticity and safety, right?

Block Aero is one of the businesses trying to solve this problem in the industry and recently announced their new product offering and a newly established partnership.

Block Aero & AFRA Partner on Used Parts Registries

Block Aero and the Aircraft Fleet Recycling Association (AFRA) announced the launch of a ‘Registry-as-a-Service’ airworthiness compliance solution for serialized parts. This initiative aims to enhance the safety, efficiency, and traceability of aircraft parts management.

This strategic partnership leverages Block Aero’s aviation blockchain platform to implement a database solution. The registry is designed to meet the requirements of civil aviation authorities for information management and public disclosure of aircraft parts reused in the aviation aftermarket.

A ‘digital product passport’ will be created as a private, permission-ed, and cryptographically secure record in the registry. All associated data and documentation will be attached to this record at the moment of creation and updated as the part moves through the lifecycle.

AFRA will serve as the registry manager and collaborate with civil aviation authorities and other oversight partners to perform audits on registry parts.

What do you think? Is this a viable solution for the aviation supply chain?