July 21st, 2018
Governments Could Learn To Love Blockchain As a Tax Collector
Verity Inc. (veritychain.io) has executed a large contract with a top-five international producer, manufacturer, distributor and supplier of tobacco, cigarettes, cigars, and electronic smoking devices.
Verity is using a hybrid Blockchain, Artificial Intelligence, and Internet of Things technology platform, called Verity One™, to track and trace each individual pack of cigarettes.
Adam Reiser, CEO of privately held Verity, said,
“In order to comply with the EU mandate requiring tobacco companies to employ a system that assures tax revenues and eliminates counterfeiting, one of the largest tobacco companies in the world has signed a contract with Verity. Using its powerful and scalable platform, Verity will be able to track twenty million+ packages of cigarettes per day, potentially making us the largest user of the Blockchain measured by transactions per day.
Working with Verity, respective EU tax authorities will be able to confirm that all applicable taxes have been paid using an immutable, distributed ledger. The Verity One™ system will also reduce smuggled, diverted and counterfeit tobacco products, improving the safety of consumers.
The tobacco industry and Verity will blaze a new trail for consumers, companies, and governments to adopt and use the Blockchain, generating more transparency, revenue, and compliance with the law.”
“I think government officials responsible for collecting tax stamp revenue in every country will sit up and take notice of what Verity is doing, and this may cause them to get warmer and friendlier with the crypto community.
In the future, as more federal and state revenues are collected using Distributed Ledger Technology, I think governments will fall in love with the Blockchain. This Verity contract is a big win for the whole crypto community,”
said Alex Lightman, Chief Legitimacy Officer at Verity and author of ‘Brave New Unwired World’, the first book on 4G Wireless.
About Verity, Inc.
Verity, a Wyoming company, is the leading objective, independent, third-party organization working with governments, companies and trade organizations to clarify and establish consistent country of origin labeling practices. Verity is the leading non-government organization (NGO) compliant with World Trade Organization labeling standards. Verity’s technology and systems infrastructure has been building a global database for product information, marketing claim validation, and supply chain information regarding the movement of goods for companies and governments around the world for more than a decade.
About the EU government mandate:
On December 15, 2017, the EU Commission published a mandate that all tobacco companies establish an EU-wide track and trace system for the legal supply chain of tobacco products, governmental taxing and distribution requirements set forth by the EU 2019 Tobacco Track and Trace mandate to ensure that all tobacco products sold are genuine. This will guard against smuggling, counterfeiting, diversion, and verifies that all appropriate tax revenue has been collected on each individual tobacco product through an immutable system of record keeping.