Blockchain has been a buzzword for years now. The term has popped up everywhere, but are we truly aware of the potential this technology has? Since Bitcoin was launched in 2009, blockchain has become a household name. However, the groundwork for the technology was laid almost two decades ago by Stuart Haber and W. Scott Stornetta.
Is blockchain only a crypto-related technology? Are there opportunities to utilize it across other sectors? Here are some of the potential applications of blockchain and how it can reshape the following industries.
Fintech
Back in 2019, Grand View Research flagged blockchain as the fastest-growing arm of fintech. Worth around $70–$75 million in 2018 and growing at 50% annually, its swift rise is no coincidence. This data proves that blockchain still has the potential to be a game-changer in the digital economy.
Banks and other financial institutions are heavily investing in blockchain to address rising concerns over data security and transactional integrity. Global banking titans like Standard Chartered have realized the importance of blockchain technology in modern finance and started adopting blockchain-based solutions.
As blockchain gains ground in the fintech world, the days of depending on central bodies for transactional approval may be numbered. Ownership of financial assets will no longer reside with any one institution, but rather within a shared, decentralized framework.
Blockchain’s decentralized framework challenges the need for a central authority by allowing financial entities to securely exchange data. So, distributed ledgers may well replace the centralized mechanisms that have long governed the system.
Gambling
Online gambling has become a massive industry, worth more than $60 billion, after years of explosive growth. Blockchain-based gambling platforms can boost their growth even further in the coming years.
The biggest selling point of blockchain-powered gambling is transparency. It can allow crypto gambling platforms and online casinos to provide more insight into how outcomes are determined or funds are handled.
The use of blockchain will make information about all bets and transactions publicly available since it’s a public ledger open for anyone to see. So, gamblers will not have to worry about manipulated odds or rigged games.
Healthcare
The medical industry has seen a lot of technological advancements in recent years. Doctors can now treat patients remotely, surgeries are performed with greater precision, and diagnostic processes have become significantly more advanced, all thanks to the growing use of technology in modern healthcare.
Blockchain has a place in the medical sector as well. It won’t directly save lives like a surgical robot, but it can make healthcare services more efficient by transforming the administrative side of it.
John Hopkins showed that medical errors lead to more than 250,000 preventable deaths in the United States in a 2019 study. Blockchain technology can be an effective solution here since it can minimize data errors and make comprehensive medical records easily accessible.
When a patient’s medical data is securely recorded on the blockchain, physicians can access them anytime, anywhere. Having a patient’s full history on their fingertips makes it easier for doctors to deliver more accurate and timely treatment.
Besides patient records, healthcare providers can also use blockchain technology to monitor drug storage and quality control with remarkable accuracy. In short, the use of blockchain can make healthcare administrative challenges a walk in the park.
Supply Chain
One of the biggest challenges in supply chain management is monitoring the flow of goods at each step of the process. Based on what we have already discussed, you might have already realized that blockchain holds vast potential to manage supply chains with a level of efficiency previously thought impossible.
Blockchain offers complete traceability across the supply chain. A blockchain-powered ledger will record every step of the production process and distribution. Identifying who placed the order would be just as straightforward as tracking how, when, and where the product was delivered, along with every step in between.
Any faults or discrepancies in the delivery process can be quickly identified and addressed. Simply put, blockchain guarantees transparent, tamper-proof tracking of goods and financial exchanges among all supply chain participants.
Government & Public Benefits
There has been extensive research in the United States to explore the potential applications of blockchain technology in local and federal governance.
No fewer than 19 U.S. states have formed official study groups to explore how blockchain could be applied across various sectors. California, for example, launched its Blockchain Working Group in 2019 to assess the technology’s uses, risks, and benefits.
Government operations are vast in scope. Voting systems, infrastructure projects, social welfare programmes, and the distribution of aid are some of the public administration responsibilities governments carry out. The government needs to manage a vast amount of data for these duties.
Glitches in data often happen in these kinds of setups. But blockchain could be a real asset for governments and public welfare bodies, making it easier to trace and distribute benefits accurately—whether to a single person or an entire group.