Though Bitcoins and cryptocurrencies are the first popular application of Blockchain technology, they are not the only ones. The nature of Blockchain technology has led businesses, industries, and entrepreneurs from all around the world to explore the technology’s potential and make revolutionary changes in different sectors.
While the basic idea of trustworthy records and giving the power in the hands of users has enormous potential, it sure has raised a lot of hype in the markets too. The magic of this technology sure has the power to transform industries given the usage is planned and executable in actual senses. Let’s separate the wheat from the chaff and find out how Blockchain can be useful in actual implementation.
Different businesses deal with each other in order to exchange services or products. All the give and take terms and conditions are signed by the involved parties in the form of agreements or contracts. However, these paper-based contracts are prone to errors and frauds which challenges the trust factor between both the parties and raises risks. Blockchain brings forward an amazing solution to this problem through Smart Contracts.
Smart contracts perform similar functions as paper-based agreements. The differentiating factor about smart contracts is that these are digital as well as self-executable in nature. Self-executable meaning that when certain conditions in the code of these contracts are met, they are automatically deployed. Ethereum, an open source blockchain platform has introduced smart contracts in the Blockchain ecosystem. Smart contracts can be used for different situations or industries such as financial agreements, health insurances, real estate property documents, crowdfunding etc.
For example, Blockchain smart contracts can be used in healthcare to manage drug supply.
Once the name and quantity of a drug is shipped from a manufacturingto be delivered ahead to the pharmacist, a smart contract with all the valid data like the information of the drug, the quantity of supply etc. can be created. This smart contract will be responsible for managing the entries throughout the entire supply chain between different intermediaries. Since the smart contract works on certain defined conditions, no one can alter them or make any changes in the contract thus, ensuring trust and authenticity of the drugs.
No matter how secure government elections are made, the chances of frauds through anti-social elements always persists. The current voting system relies on manual processing and trust. Even if security breaches and frauds are eliminated, the chances of manual errors cannot be ignored. In such cases, the best solution is to automate the overall process with the help of smart contracts.
Blockchain smart contracts provide a modern system through which these common issues can be easily eliminated. Entries in the smart contracts will allow transparency and security while maintaining the privacy of the voters thus, enabling fair elections.
The world is getting more digitized with every passing day. Consider financial transactions happening online for instance, you can easily login with your credentials and security pin in order to access your funds. However, in this case, no one can ensure the identity of the person taking out the money. If your username and password are hacked by someone, there’s no way to secure your money.
The need of the hour is to have a system that manages individual identification on the web. The distributed ledger technology used in blockchains offers you advanced methods of public-private encryption using which, you can prove your identity and digitize your documents. This unique secure identity can work as a saviour for you while conducting any financial transactions or any online interactions on a shared economy. Moreover, the gap between different government bodies and private organizations can be filled through a universal online identity solution that blockchain can provide.
Intellectual Property Protection
Digital content or information can easily be reproduced and distributed with the aid of the internet. Due to this, people from all around the world hold the power to copy, replicate and use it without giving credits to the actual producer of the content. There are copyright laws to protect such issues but in the current scenario, these laws aren’t appropriately defined according to common global standards. Meaning that any law which is valid in the US might not stand true in Australia.
Even if there’s any copyright applied to any intellectual property, people easily lose control over their data and suffer on financial terms. With the aid of Blockchain technology, all the copyrights can be stored in the form of smart contracts which will enable automation in businesses along with the increase in online sale thus, eliminating the redistribution risk.
Blockchain for IP registry will help the authors, owners or users to get clarity of copyright. Once they register their work online, they’ll own the evidence which will be tamper-proof. As blockchain is immutable in nature, any entry once stored on the Blockchain cannot be changed or modified. The owner of the work will have the overall authority over the ownership as well as the distribution of the content.
Other than these few examples, the revolutionary technology of Blockchain holds a high potential of applications in many different industries and sectors. While some industries have already started adopting blockchain in their businesses, many are still exploring the best possible ways to start with.