Top 5 Applications of Blockchain in Business

In the year 2009, Satoshi Nakamoto had founded a cryptocurrency called bitcoin, which had altered the way of performing the digital transaction in the world. But, this technology has several ups and downs. So, people are now looking for an innovative technology called a Blockchain. The Blockchain technology is a public ledger that record every bitcoin transaction is getting ready to transform the world. The Blockchain technology is a thrilling new way to traditional currency, centralized banking, and transaction methods. This technology is not only altering the style in which the different financial transactions are carried out, but also provided the various applications that will be going to transform the world. Thus, in short, we can say a Blockchain technology is a distributed ledger that keeps a record of the continuously increasing list of each transaction across all networks distributed over thousands of computers. The Blockchain is the secured technology, so with this technology, it is not possible for the attacker to attack any data quickly over the distributed network. Therefore, currently, more than 50% of the major organizations are planning to move towards the blockchain technology for their business applications. The Blockchain technology will be going to transform the following five industries in the future.

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Application of Blockchain Technology:

1. Banking: To transfer money from one person to another, we usually require a mediator, which confirms that the money is moved safely and securely from one end to the other. The need of this mediator has increased equivalent to the distance and value of the transactions. These mediators are referring to banks. Blockchain technology help in removing these mediators and reorganizing the transactions. The most common application of blockchain is the bitcoin, using which the blockchain transactions can be made easy and simple. To understand these let’s take an example, the processing of entitlements can be a troublesome process. To get the details of the client’s history, financial conditions, etc. the insurance processor visits all the split data sources manually. But this process may little bit time consuming and more exposed to errors. Eliminating this issue with the help of blockchain ’s provides a risk-free and transparent solution.

With the help of its encryption properties, the guarantors can know the ownership of assuring properties including the financial history of the insured person. There is an incredible opportunity for the blockchain development in the banking industry. Thus, the banking sector has decided to stop struggling with the blockchain technology and started adopting it.

2. Smart Contracts: Smart contracts are a legal binding programmable digitized contracts developed using blockchain. Instead of depending on a centralized source, the lawful agreements are implemented as variables, and the payments are completed using the bitcoin network. With the help of blockchain technology, the digital revolution is introducing into the legal industry. The lawyers can create excellent paperwork, and it doesn’t matter whether it is a divorce case or a mortgage case.  The blockchain technology helps to digitize the process of maintaining a paper record this decreases the chances of errors and costs.  Various firms such as Stampery, have started utilizing a shared legder that works as indisputable digital evidence of a right event that occurred between the two parties. It could be anything, including digital evidence from a real estate case to a divorce proceeding.

The concept of smart contracts is in use in the manufacturing, supply chain management, and other sectors. Using these smart contracts, the developers will surely obtain good rewards while reshaping those industries. The smart contracts are nothing but the blocks of code, which are used in the different software applications. When these blocks are included in the blockchain, it will be going to add more security, liability, and transparency to the process. The digital operations are taking place with the help of smart contracts only when the specific conditions are fulfilled. Now, let’s see how the smart contracts are applying in the manufacturing and the supply chain management.

Manufacturing is nothing, but it is all about the process. In manufacturing, each step is created based on the previous levels which are carried out successfully and on time. Every department may face different problems during production, which are not known to the other areas. The firm controls are developing which avoids issues from sensitive down line processes by integrating smart contracts with the program management software applications.

The supply chain is the other industry that got benefited from the smart contracts. Similar to manufacturing, the smart contracts mechanizes the moving of materials based on predefined conditions. Smart contracts provide comprehensive transparency to the entire supply chain which ensures the quality, legitimacy and goods accessibility. Supply chain management has established an enthusiastic market for the blockchain technology. In the upcoming year, the smart contracts will gradually be a part of a logistics platform.

3. Healthcare Industry: The healthcare industry requires processing of maximum data daily. The healthcare industry involves the patient data from admission to recording the surgical outcomes. Every patient denotes a torrent of data which should be reserved correct, accessible, and protected. With the help of blockchain technology, these requirements can be easily satisfied.

The blockchain technology help in protecting the medical records. Each record or change in the medical databases becomes a new and sequential data block within the blockchain. Each modification converts into a new record with its particular timestamp and date, without any concern of entering a new patient data or streamlining a patient’s contact information. There are a great challenge and the chances of developing a health care blockchains which are common among the significant segments of the medical industry. The local or regional healthcare systems are using the private blockchain, however, the patients and health care providers can achieve the most significant benefits by utilizing the nationalized blockchain solutions. The local and regional healthcare organizations are struggling to preserve the patient’s data securely, the developers are looking for the exclusive benefits delivered by the shared ledger solutions.

4. Logistics and Asset Management: Tracking is considered to be the essential part of any logistic activity. It helps to make sure that the products are transferred safely and securely within the anticipated time frame. The primary objective of logistics companies is real-time tracking and monitoring. However, it is a challenging task to track the asset in real-time because it needed proper storage, tracking mechanism, network, etc. To circumvent this problem, the companies typically depend on the checkpoint tracking which means to track the movement from one checkpoint to the other. Blockchain technology is solving this issue. With the help of blockchain, it is possible to track the assets in the real-time. With the existing system, it is possible to track only the product serial number and value. But the blockchain ledger is dynamic which allows you to track the location of the product, including the other information such as destination, people involved in it, tax, and government approval, etc.

5. Internet of Thing (IoT): IoT is the interconnectivity, using which the non-IT devices are easily connected to a network. With the help of IoT, you can easily observe and control the devices remotely. Sharing the non-IT devices across a network is comfortable with the support of Blockchain. It is possible to keep a record of various activities in the network by utilizing blockchain which also enables the common device to be used by several people. For instance, the smart cars can be carried out and used by several people easily. This empowers an advanced and community level practice without any human intervention.

The blockchain technology is empowering the community level usage of different things such as solar panel, wastewater catchment system, etc.  The reputation protocols help in defining whether it is appropriate in delivering community services to an individual or not. It is easy to determine the reasonable rates of exchange, generating a transparent and justifiable framework for the resource allocation, by recording the usage by different individuals in the network. This model is very efficient concerning energy, as people are going to utilize their specific usage.

Apart from these applications, another application of blockchain technology is observing in cloud computing. Presently, the cloud storage services are centralized; therefore the user has to trust in a single cloud storage provider. The single storage provider will control all your online properties. Well, it is quite problematic to move from one provider to another. Blockchain technology is offering the distributed storage solution that helps in moderating the risks with cloud storage. Thus, your data can be stored on the internet by anyone at a pre-decided cost. Also, by having numerous copies of the data on the network, the data security can be guaranteed.

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Conclusion:

Blockchain Technology is utilizing in banking, smart contracts, healthcare industry, Logistics and assets management, and the Internet of Thing i.e. IoT. Bitcoin is the most common application of Blockchain, using which the banking transactions are performed smoothly. In the healthcare industry, the Blockchain technology is used to protect the medical records. With the help of Blockchain technology, it is easy to share the non-IT devices across the network. Well, the applications of blockchain are not limited to these fields, because the blockchain technology is a vast field and therefore it has several possible applications. The correct usage of Blockchain technology helps in a quick improvement in most of the sectors.