Pilot program for blockchain-enabled inventory management

(a) In general Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense may establish a pilot program under which the Department of Defense shall use commercially available distributed ledger technology to seek to improve inventory management within the Department of Defense. (b) Objectives Under the pilot program established under subsection (a), the Secretary shall— (1) assess the feasibility and effectiveness of using distributed ledger technology in improving inventory management; (2) assess the cost savings resulting from the use of distributed ledger technology in inventory management; (3) assess whether the use of distributed ledger technology in inventory management improves the traceability of inventory; (4) assess whether the use of distributed ledger technology in inventory management reduces the risk of waste, fraud, and abuse; and (5) identify and mitigate potential challenges and risks associated with the integration of distributed ledger technology for inventory management, including cybersecurity concerns. (c) Report Not later than one year after the date of the enactment of this Act, the Secretary of Defense shall submit to the Committees on Armed Services of the House of Representatives and the Senate a report on the activities performed under the pilot program established under subsection (a). (d) Termination The authority to carry out a pilot program under subsection (a) shall terminate on January 1, 2029. (e) Definitions In this section: (1) The term distributed ledger means a ledger that— (A) is shared across a set of distributed nodes, which are devices or processes, that participate in a network and store a complete or partial replica of the ledger; (B) is synchronized between the nodes; and (C) has data appended to it by following a specified consensus mechanism. (2) The term distributed ledger technology means technology that enables the operation and use of distributed ledgers.

(a) In general Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense may establish a pilot program under which the Department of Defense shall use commercially available distributed ledger technology to seek to improve inventory management within the Department of Defense. (b) Objectives Under the pilot program established under subsection (a), the Secretary shall— (1) assess the feasibility and effectiveness of using distributed ledger technology in improving inventory management; (2) assess the cost savings resulting from the use of distributed ledger technology in inventory management; (3) assess whether the use of distributed ledger technology in inventory management improves the traceability of inventory; (4) assess whether the use of distributed ledger technology in inventory management reduces the risk of waste, fraud, and abuse; and (5) identify and mitigate potential challenges and risks associated with the integration of distributed ledger technology for inventory management, including cybersecurity concerns. (c) Report Not later than one year after the date of the enactment of this Act, the Secretary of Defense shall submit to the Committees on Armed Services of the House of Representatives and the Senate a report on the activities performed under the pilot program established under subsection (a). (d) Termination The authority to carry out a pilot program under subsection (a) shall terminate on January 1, 2029. (e) Definitions In this section: (1) The term distributed ledger means a ledger that— (A) is shared across a set of distributed nodes, which are devices or processes, that participate in a network and store a complete or partial replica of the ledger; (B) is synchronized between the nodes; and (C) has data appended to it by following a specified consensus mechanism. (2) The term distributed ledger technology means technology that enables the operation and use of distributed ledgers.