Press "Enter" to skip to content

Use of Blockchain In Different Fields and How it will Change World

If you still don’t understand what Blockchain is then you need to watch below video to Understand what blockchain Is and how that work

Yes, the blockchain in action can actually shape the future. But before that, you need to understand what this blockchain is all about. The blockchain is nothing but a ledger which is digital and decentralized underlying most virtual currencies and does the function of a ledger that records all transactions. That means whenever you buy, sell or transfer digital coins on a decentralized exchange, or pay for goods or services with virtual coins, blockchain records that transaction, but that is in an encrypted fashion, keeping it safe from cybercriminals. The interesting part is that all these transactions are recorded and processed without any third-party provider like the bank. You can say that it’s a new way of logging information and/or transmitting funds.

It’s decentralized. So instead of storing transaction data in a central hub, it stores blocks of data in servers and hard drives all across the world in bits and pieces. This technology ensures that not a single party can gain control over a cryptocurrency and blockchain. The objective behind the invention of revolutionary cryptocurrency and blockchain technology was also removing the traditional banking system where banks act as middlemen in currency transaction against unnecessary charges and time-consuming processes. Therefore the most important part is it has the potential in processing transactions considerably faster, and validation of transactions is done instantly for which now banks take up to 5 days for cross-border transactions.

You may think that the application of blockchain is only to improve the financial services industry, but the fact is that it has plenty of use beyond the financial sector. Currently, under Ethereum, 200 organizations and also the traditional banks are testing a version of its blockchain technology. The varied uses of Blockchain that can shape the future are as follows:

1. Transfer of Funds: Blockchain is a means to expedite the transfer of funds between parties. The validation process goes on 24 hours a day and 7 days a week. The settlement of transactions processed over a blockchain gets done instantly. In this case, the best real-world example is the partnership between Ripple (CCY: XRP-USD), American Express (NYSE: AXP) and Banco Santander (NYSE: SAN). The catch is Ripple’s instantly settling cross-border payments with small transaction fees.

2. Copyright and Royalty: Easy internet access has challenged the copyright and ownership of music and other contents. The blockchain would make copyright laws concerning digital content downloads more effective and would help in providing transparent royalty distribution data to ensure the fair share to the artist or creator of the content.

3. Digital Voting: Blockchain technology creates the potentiality to vote digitally with ease and also gives a transparent view to the regulators to track changes on the network to avoid any fraudulent activity. The immutability of blockchain helps make your vote truly count.

4. Digital ID’s: Millions of people face identity challenges all over the world. Microsoft (NASDAQ: MSFT) is attempting to create digital IDs within its Authenticator app, and it would help users to control their digital identities. Though the attempts made by Microsoft are in the early stages, decentralized digital ID can bring a solution to future identity challenges.

5. Digital Will: You can use blockchain to create and store your digital will on a blockchain network. This paperless digital will can be transparent and legally binding. It would create no confusion when you pass away.

6. Equity Trading: As because blockchain networks validate and settle transactions very fast eliminating waiting time, it may replace existing equity trading platforms of investors to buy or sell stocks.

7. Futures Trading and Compliance in the Energy Industry: The use of blockchain will help energy companies to settle futures trading considerably faster than they do currently and also logging their resources and meeting regulatory compliance. E.g., BP(NYSE: BP), the integrated oil and gas giant envisions using an Ethereum’s blockchain version for futures trading.

8. Immutable Data Backup: You can use blockchain as a backup source to back up any data and for cloud data centers. There are cloud storage systems, but there is a threat of hackers and infrastructure problems. E.g., Boeing is considering blockchain for GPS receivers on its planes.

9. Medical Recordkeeping: Blockchain offers more safety and convenience in paperless record keeping in the medical sector. Other than storing patient records and controlling digital access, it would strengthen the HIPAA laws aiming to protect patient privacy.

10. Managing IoT networks: Cisco Systems (NASDAQ: CSCO), the networking giant depends on the blockchain-based application to monitor the Internet of Things (IoT) networks. Here, the trustworthiness of devices on a network matters most as in the case of smart cars or smartphones since these are wireless devices that can send and receive data. E.g., HTC’s Blockchain phone Exodus 1.

11. Retail Loyalty Rewards Programs: The creation of tokens and storing it with blockchain would revolutionize the loyalty rewards programs in retail. It will eliminate the paper-and card-based fraud from occurring in loyalty rewards programs in the future.

12. The Right of Workers: As per the ILO, 25 million people work in forced-labor conditions worldwide. Blockchain can be put to use as a means of supporting the workers around the world and their rights. Coca-Cola, along with the U.S. State Dept. and other partners, is working on a blockchain registry to enforce a digital contract between employer and employee to improve labor policies.

13. Supply Chain Monitoring: Blockchain would make it handy for the businesses to pinpoint the problem area within the supply chain and also to monitor the performance of the products from the quality-control perspective.

14. Sharing Data: With the launch of the beta version by IOTA, blockchain could be used as a data marketplace to share or sell or store unused data. These are still in nascent stages, but more than 35 brand-name participants of IOTA including Microsoft are offering their feedback.

15. Safety of Food: You can use blockchain in tracing your food from its source to the destination, and that is your plate. It is because the blockchain data is immutable and you can even trace the source of contaminant quickly in case of food-borne illness if any.

16. Secured Access to Belongings: You could use blockchain to give access to service technicians to your house, or allow access to a mechanic to your car to perform repairs. But there is a digital key that you possess and without which these service technicians would not gain access to your belongings.

17. Title Transfer in Land, Real Estate and Automobiles: In case of purchasing or selling land, a house, or a car, all you need is to transfer or receive a title. By removing paper-based trails, blockchain stores titles on its network, giving a crystal clear view of the transfer and legal ownership.

18. Tax Compliance: Marijuana companies can use blockchain to record their sales and ensuring the lawmakers that they’re abiding by the laws-local, state, and/or federal and paying taxes, assuming they’re profitable.

19. Tracking Weapons: Blockchain can create a transparent and unchanging registry network to track gun or weapon ownership easily by the law enforcement department and the federal government. It can also keep the record of weapons sold privately.

20. Tracking Prescription Medicines: Blockchain allows drug makers to track all their products based on serial and/or batch numbers thereby ensuring that consumers are getting the original deal when they buy medicine from the pharmacy. Currently, Merck is testing such a system for tracking prescription drug returns.

If you know more about blockchain then feel free to share in comment section.