Blockchain is distributed, therefore in the event of a public blockchain, everyone gets a copy. As a result, it is very difficult to change the data in the blockchain because doing so would require changing every copy in every location, which is practically impossible. This makes the blockchain distributed and immutable while also preserving transparency because the information in the block is not concealed in any way. Since blockchain has all of these characteristics, it guarantees the highest levels of security, which is why it is so well-liked in many applications that place a high value on security and transparency.
So let’s look at some real-world uses for blockchain.
1. Asset Management
Asset management is no different from the financial industry in that blockchain plays a significant role in it. Asset management, in general, entails the handling and trading of many assets that a person may own, including fixed income, real estate, stock, mutual funds, commodities, and other alternative investments. Normal asset management trading can be quite expensive, particularly when it involves numerous nations and cross-border payments. As it eliminates the need for middlemen like the broker, custodians, brokers, settlement administrators, etc., Blockchain can be a huge aid in these circumstances. Instead, the blockchain ledge offers a straightforward and transparent procedure that eliminates room for error.
Using smart contracts, blockchain can significantly influence the healthcare industry. These clever contracts enable two parties to enter into a contract directly with one another. The terms of the contract are known to all parties, and it is automatically implemented when its requirements are satisfied. Personal health records can be encrypted using Blockchain technology so that they are only available to primary healthcare practitioners with a key. This can be very helpful in the healthcare industry. Additionally, they support the HIPAA Privacy Rule, which guarantees privacy and restricted access to patient information.
Have you ever attempted to send money across international borders in a different currency? The money may not arrive at its destination for several days due to this lengthy and complicated process. Blockchain’s ability to provide end-to-end remittance services without any middlemen has contributed to the simplification of these cross-border transfers. Blockchain services are provided by a lot of remittance providers, and they can be used to send money internationally within 24 hours.
Cryptocurrency is arguably one of the most well-known uses of blockchain technology. Who hasn’t heard of bitcoin and its astronomical rise to fame? One of the numerous benefits of adopting blockchain for cryptocurrencies is that it has no territorial restrictions. As a result, cryptocurrency can be used for transactions everywhere. Exchange rates and the possibility that some people may lose money during this process are the only essential considerations. This alternative is superior to regional payment applications, like Paytm in India, which are only used within a specific nation or geographical area and cannot be used to send money to individuals abroad.
5. Birth and Death Certificates
Many people around the world, particularly in the world’s poorer nations, lack a valid birth certificate. One-third of all children under the age of five lack a birth certificate, according to UNICEF. Additionally, the issue with death certificates is similar. Blockchain can assist in resolving this issue, though, by establishing a secure store of validated birth and death certificates that is accessible only to those with the proper permissions.
6. Online identity validation
Without online identity and authentication, no financial transaction may be completed online. And this is true for any potential service providers that any user in the banking and financial sector might have. Blockchain can, however, centralize the online identity verification process, allowing individuals to share their identity with whatever service provider they want after just having to authenticate it once using the blockchain. Additionally, users have a choice of identity verification techniques, including user authentication, facial recognition, etc.
7. Internet of Things
The “internet of things” is a system of interconnected gadgets that can communicate with one another and gather information that may be utilized to make informed decisions. Once connected, any collection of “things” becomes an IoT system. The Smart Home, where all home equipment like lights, thermostats, air conditioners, smoke alarms, etc. may be networked together on a single platform, maybe the most well-known example of IoT. Where does Blockchain fit into this, though? Well, this widely distributed system needs security, which Blockchain can provide. The security of an IoT system is only as strong as the weakest link, or device, in the chain.
8. Copyright and Royalties
In the creative industries, such as music, cinema, etc., copyright and royalties are major problems. These are artistic forms of expression, and it doesn’t appear that they relate in any way to blockchain. Nevertheless, this technology is crucial for ensuring security and openness in the creative sectors. There are numerous cases of plagiarism in music, movies, art, etc. when the original creators are not given the proper credit. Blockchain, which maintains a complete ledger of artist rights, can be used to correct this. Additionally transparent, blockchain can offer a safe record of artist royalties and agreements with major production corporations. Digital currencies like Bitcoin can also be used to administer royalty payments.
Blockchain is a relatively new technology that is still not used extensively across many sectors of the economy, although it is gradually gaining ground. Blockchain may develop into a potent tool for the democratization of data as it becomes more widely used, promoting transparency and moral corporate practices. And as a result of faster transactions, greater transparency increased security, and lower prices, blockchain technology is finding more and more uses around the globe. Who knows? Blockchain could one day alter everything!