Blockchain technology transcends cryptocurrencies – it’s affecting industries the world over. Companies across sectors such as: finance; healthcare; supply chain; real estate; and media are investing significantly in blockchain because of its transparency and security.
For instance, blockchain applies to a variety of leading industries such as: finance; supply chain; healthcare; real estate; oil & gas; and media. In logistics and manufacturing sectors, “blockchain adds transparency and tracking, proving the authenticity. We’ll take a look at some specific examples in finance, logistics, healthcare, insurance, manufacturing, construction, government and entertainment. Furthermore we’ll see how blockchain proves to be valuable to solve real-world inappropriate business problems such as fraud prevention, traceability and smart contracts.
Blockchain is a decentralized, distributed ledger that links together blocks of immutable data and records transactions in a way that eliminates single points of failure and increases trust . Each block is linked to the preceding block with a cryptographic hash so that it cannot be altered. The consensus mechanisms such as Proof of Work (PoW) or Proof of Stake (PoS) will confirm there is consensus within the network on the validity of each transaction.
Market Growth: The global blockchain market is anticipated to hit $249 billion by 2029, due to the rise in adoption in finance, supply chain, and healthcare.
Supply Chain Efficiency: As an example, Walmart has reduced food traceability from 7 days to 2 seconds using blockchain.
Healthcare Savings: The healthcare industry could save up to $100 billion annually by 2025 through blockchain-enabled improvements in data interoperability, administrative efficiency, and secure patient record management.
DeFi Boom: There are now Decentralized Finance (DeFi) platforms with $80+ billion in assets, demonstrating the financial disruption that is possible thanks to blockchain.
Decentralization:
In centralized systems, a central authority manages and authenticates transactions across the system. Blockchain does away with having a central authority. Control and power are completely distributed across a network of numerous nodes. Every member of the network has access to the entire database, and all of its past information, eliminating the possibility of any one person having control of the entire chain. With its decentralized nature, we can be more trusting of one another in the network, and there is lower risk of centralized collapse or corruption.
Transparency: The transparent nature of blockchain makes it possible for all participants to see and verify the data recorded on the ledger. Each transaction is recorded in time and linked to a previous transaction so they form an unchangeable chain of records. Transparency develops accountability and trust in users; if there are any changes made to the data, all users will see this and have to validate it in agreement.
Security : Security is the most significant property of blockchain technology. Blockchain technology uses cryptography to enhance the security of data and transactions. Every block has a unique hash, the hash of the previous block, and connects to every preceding block. Therefore, it takes a drastic effort to go back to a previous block to change the information, let alone go back and change every block after the original block. To change one previous block and all the blocks going forward would be unrealistic, even if one wanted to gain control over the majority of the blockchain to verify a change occurred. Security makes blockchain legitimate for users and minimally vulnerable to changes to all pertinent data and transactions.
Immutability: Once data is written to the blockchain it is immutable. This finality provides an auditable and unchangeable record of events, something that is valuable in industries that involve reporting and accurate record-keeping, such as finance, healthcare, and supply chain management. Additionally, blockchain protects records from tampering or fraud because if someone even attempted to modify the data, it would be apparent to all network participants.
Efficiency: Blockchain also automates processes through smart contracts, self-executing contracts with the terms directly written into code. This reduces the number of intermediaries, decreases the speed of transactions, and decreases errors. To give an example, blockchain in supply chain, blockchain could automate the verification and transfer of products and both decrease the time delay, as well as increase operational efficiency.
Healthcare could benefit from blockchain’s ability to increase security and facilitate data sharing. Patient records and medical histories can be encrypted and stored on-chain allowing doctors and hospitals that have permission to access up-to-date records immediately . As all modifications to the records are stored on blockchain, tampering with the data becomes much harder. Pharmaceutical supply chains also can utilize blockchain to verify that drugs are not counterfeit and have been handled correctly.
Blockchain in Healthcare Usecases:
Real time Example: Patientory
A platform for secure medical record storage and sharing that is HIPAA compliant through a blockchain layer of security. The software integrates into major EMR systems (Epic, Cerner), and has a mobile app to offer real-time health monitoring and communication with providers179.
Explore how blockchain is revolutionizing patient care, data security, and clinical trials.
Blockchain-related technologies are being used in manufacturing for quality control and supply chain integration. Each unique component and each batch of products can be tracked on a blockchain as they move through the plants, creating transparency, which makes recalls, and associated defect tracking/sourcing, easier. When a defect is uncovered, the exact production history gets recorded in real time, and a blockchain ledger of machine sensor data protects that proper production was followed every step of the way. Executives in manufacturing speak of real benefits being realized. In one survey 49% expect blockchain to provide better compliance, 31% see expanded market opportunity and, 28% expect diminished recalls.
Typical use cases are:
End-to-end track and trace: Each step, from raw ingredients to finished products, is documented.
By combining the power of the IoT with smart interoperable blockchains, manufacturers have achieved a “trusted data highway” as transactions occur on the production line. Blockchaintechs.io has assisted companies in establishing private ledgers, by connecting suppliers and manufacturers, ensuring provenance and production efficiency.
Real time Example: 1. Walmart & IBM Food Trust
The Traceability of Food Reformation.
Application: Food traceability for products (e.g. mangoes, leafy greens) to track from farm through blockchain to shelf.
Impact: Traceability time improved from 7 days to 2 seconds for recalls and food safety
Technology: IBM Hyperledger Fabric records origin, batch numbers, and shipping information. Suppliers, including Tyson Foods and Dole participating provide real-time information.
Insurance companies deal with fraud and inefficient processes that blockchain can address. Insurance products and claims can be ‘on-chain.’ Using a shared blockchain ledger for policies and claims can make records immutable and transparent. All insurers looking at the same blockchain record can eliminate fraud (think multiple claims for one loss). Smart contracts can facilitate automated claim payouts: imagine a contract for an accident insurance product that can auto-payout when verified police and repair records are on-chain.
Blockchain in Insurance: Use Cases
Carriers can improve trust and reduce administrative costs by considering “blockchain use cases in insurance.” We regularly suggest insurers pursue a blockchain ledger for one line of business — and we have a blockchain development partner that provides integration and security auditing services.
Real time Example : Parametric Insurance: Lemonade’s Crop Protection
The Lemonade Foundation, along with its partners Avalanche and Chainlink, have launched blockchain-based parametric crop insurance for farmers in Africa. The smart contracts facilitate automatic payouts based on weather data from Internet of Things sensors and APIs (for example, drought detection).
Impact: It reduces claims management costs by 90%, allowing for lower premiums for smallholder farmers while allowing for fast payouts when things go wrong.
The construction industry is using blockchain as a means for achieving data integrity and more efficient workflows. All project documents (contracts, blueprints, change orders, etc.) can be hashed and stored on the blockchain, thereby establishing immutable documentation. Documentation that cannot be modified provides an immutable audit trail that supports any disputes or claims, because every update or change is documented. Similarly, materials and equipment can be tracked through the supply chain. For example, steel quality certification can be tracked and a smart contract can automatically pay a supplier as soon as delivery is accepted.
Blockchain in Construction Use cases:
Construction companies seeking “blockchain for construction” as a solution should consider executing pilot projects that will automate payments or documentation as they will have a returns on investment (ROI) in short order. A partner like Blockchaintechnologies can customize blockchains to construction project workflows and incorporate industry regulatory requirements.
Real time example : BuildCoin Foundation
The BuildCoin Foundation is a nonprofit using blockchain for the funding and management of construction projects, particularly in affordable housing. The BuildCoin project tokenizes building projects, allowing for microfinancing, enabling individuals and organizations to invest in building projects. This model increases transparency, speeds up the funding process and community involvement leads to project completion faster.
With agencies around the world trying it for the sake of transparency and trust, government agencies and public sector organizations are likely the most explored use cases for blockchain. Take absentee ballot e-voting; through blockchain technology, each ballot could be recorded in a way that renders votes immutable and verifiable. West Virginia’s e-voting pilot in 2018 — using blockchain to record absentee ballots — is one example of this process.
Moreover, governments are piloting blockchain IDs and registries. Countries and even cities in their entirety (e.g. Dubai) are experimenting with blockchain for land titles, identity and more, decreasing fraud and administrative costs significantly in these areas. Other use cases for the public sector comprise:
These are just a few “blockchain use cases in government.” My advice is for public-sector CIOs to collaborate with informed and conscientious developers. Blockchaintechs.io offers consulting on regulatory compliance and can build permissioned blockchains for civic-type applications. Explore our Blockchain Consulting Services.
Real time Example: Estonia’s e-Government System
Blockchain is changing the digital media space by returning power to creators. Blockchain in the music industry and publishing, artists can register their content on-chain so streams or sales start triggering fair, automated royalty splits. As one analysis pointed out, blockchain “can bring democracy and transparency to music-related payments and royalties”. Blockchain also powers the explosion of NFTs and tokenized content: digital art, collectibles, and even virtual event tickets being exchanged as blockchain assets.
Blockchain in Media and Entertainment Use Cases:
Real Time Example: Audius – Decentralized Music Streaming
Blockchain is transforming global supply chains by making transactions and logistics more transparent, traceable, and secure. From raw materials to final product delivery, blockchain allows stakeholders to record each step of a product’s journey immutably. This minimizes fraud, ensures compliance, and builds trust among consumers. As supply chains become increasingly complex and globalized, blockchain acts as a single source of truth shared across suppliers, manufacturers, distributors, and retailers.
Blockchain in Supply Chain Use Cases:
Real Time Example: IBM Food Trust – Transparent Food Supply Chain
Outside of the “heavy” industries, we will soon see blockchain applications in many other areas:
Get a quick estimate for developing your blockchain solution.
Implementing blockchain properly and successfully involves expertise. As one industry expert succinctly puts it, every particular area and market “will need specialized expertise to unlock blockchain” value. There are a number of key components to think about when selecting a blockchain development companies(for Web3 /Blockchain consulting or full-stack DApp development):
Choosing a partner is an important decision. Blockchaintechs.io, for example, produces end-to-end Web3 development services. So, we can help you craft a blockchain roadmap and allow us to build the distributed solutions you need for your business. And remember, blockchain projects are not just about the technical code; they include legal, security and change-management considerations to be successful.
Discover tips for selecting a reliable blockchain development company.
Blockchain technology is now moving from a buzzword to a business must-have. Be it in finance, supply chain, healthcare, government, and many other sectors, “blockchain technology is changing the way an industry operates globally. The market is forecasted to explode – one report claims the blockchain industry will hit $152 billion by 2029- as more and more industries adopt its use. Organizations that recognize these use cases will reduce costs, trust, and gain a competitive advantage.
At Blockchaintechs.io, our mission is to assist businesses in leveraging blockchain and Web3. We offer blockchain development, smart-contract engineering, DeFi Development, NFT Marketplace Platforms, and much more – from startups to enterprise-level organizations. If you find these use cases inspirational for using a blockchain application and would like to learn more about using it in your business, please reach out to us and let’s start. Seriously!
Reach out to our team to build your blockchain project and put into motion the potential we just touched on above.
Some examples of how blockchain is changing health care are:
Key trends include:
Some examples of blockchain’s benefits to finance include:
Costs will vary depending on:
Public (e.g., Ethereum): Open to be viewed, decentralized approach, transparent, but slow. Costly for enterprises to transact.
Private (e.g., Hyperledger): High speed; Modular & Tailorable, able to comply with regulations such as HIPAA
Pilot Projects: 3-6 months (e.g., Dubai’s “blockchain cargo” system).
Full Deployment: 12-18 months for use on enterprise level solutions.
Yes. There are API’s and middleware (e.g., Chainlink oracles) for connecting blockchain solutions to existing legacy databases, IoT devices or a cloud platform now integrates with.
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