Despite the popular belief that blockchain technology is only designed to perform cryptocurrency transactions and earn bitcoins, blockchain continues to make inroads into many areas of life: social media, gaming, healthcare, real estate, and others. The technology aims to improve work efficiency, reduce costs for companies and improve the customer experience.
Blockchain can be explained as a digitized database and belongs to the digital ledger technology (DLT), which does not involve any central data storage or administrative functionality. Why is it an advantage for a company? Decentralization along with transparency gives each participant the ability to view all recorded data, ensure its security and keep track of important information.
Here are areas that blockchain has already entered and proven that this technology is worth relying on.
For example, supply chain management is an important but fragile part of many companies’ workflow. Parties participating in the process often do not interact directly with each other and still use paper-based methods of collecting and storing information. Blockchain offers complete elimination of paperwork: the document flow is automated, digital certification is also applied. More importantly, every authorized member of the supply chain can track the product from the manufacturer to the consumer and prevent the spread of counterfeit products.
Faced with outbreaks of foodborne illness and further food recalls, several US retail giants have implemented blockchain technology in their food supply chains. Tracking a single product used to take a minimum of 7 days, and nowadays the origin of a food can be identified in seconds.
Blockchain solutions thus made the recall process faster, more efficient and cost effective. Meanwhile, customers have also experienced blockchain adoption in their hypermarkets. For example, in Walmart’s Chinese stores, they can scan the QR code and get all the information about the product: from the farm location to the inspection certificates.
Healthcare is the area where blockchain-based solutions have established themselves as a highly secure and transparent way to track electronic health records (EHR). Both doctors and patients are given permission to view the files and use them if necessary. At the same time, blockchain solutions are powered by smart contracts that enable EPD data privacy protection. Data from medical devices and clinical research is encrypted, insurance can also be executed and stored. Another use case is supply chain control of prescription drugs and equipment.
E-commerce increasingly requires blockchain technology. Again, the supply chain is a critical aspect here: monitoring goods and managing inventory are often challenging tasks, but blockchain helps companies manage their inventory more efficiently. Consumers entrusting their money and data to e-commerce organizations have concerns about data security and transparency, but this issue can be addressed with the development of blockchain. Even small changes in transactions are evident on a blockchain, and it is no longer a problem to track who made a mistake. It is also possible to make crypto payments.
The next area is actually related to cryptocurrency transactions. DeFi, short for decentralized finance, not only encompasses simple asset transfer, but also refers to more complex financial use cases. The implementation of blockchain contributes to intermediary exclusion and thus reduces costs. All transactions are encrypted and immutable, multi-step authentication mechanisms make the system difficult to access for unauthorized members. One of the recent novelties is the ability to turn to P2P lending services and digital banking.
Social media can also be influenced by blockchain. In addition to its global popularity and ability to connect people around the world, social media is still vulnerable to account hacking, identity leaks, and copyright infringement. To address these issues, blockchain offers copyright protection, digital identity verification, and impartial licensing.
Real estate, eGovernance, gaming industries and many others have joined the wave of blockchain adoption. Once your company chooses innovation, delegate the technology implementation to one of the enterprise blockchain companies who will develop a future-proof enterprise DLT for you. With blockchain, your company changes the rules of the game in your field.