You probably heard that blockchain is going to disrupt the way we do things. But do you know what are the blockchain industry applications and how one will do such a thing?
The groundbreaking technology that emerged ten years ago just started to be in the spotlight for traditional types of business, and it’s proven to be very successful.
In simple terms, what blockchain does is keep a record of different types of information in a very secure decentralized system that is tamper-proof.
This means the information is stored in different nodes through hash technology all around the world making harder to forge any data. To do such a thing, someone would have to have access to at least 51% of the nodes that are keeping the data.
Most of the people know how this system is used for trades and transitions of digital currencies, but they’re struggling to understand how we can use blockchain to improve and simplify some process.
So, answering the question we did at the beginning of this article, blockchain industry applications are very vast, from supply chain logistics to education. For better understanding, let’s explore some of its applications in three traditional industries.
The blockchain allows you to create a formal registration of goods and commodities on a shared ledger, removing frictions and solving problems such as traceability and transparency in logistics.
In supply chain logistics, blockchain can also authenticate products making sure they are within the expected standards. Besides that, it can help to track the product from the origin to the final destination, going through the whole supply chain process.
Another fascinating use of this technology on the supply chain is the possibility of connecting blockchain with IoT devices that keep track of storage conditions, like the temperature, for instance.
It helps to make sure the product is handled well and in right conditions that comply with safety and health norms.
Big companies like British Airways, FedEx and Walmart with IBM Food Trust are already using the decentralized technology to improve and optimize their supply chain.
This may be the most known way blockchain can be used due to its origin. With Bitcoin, and later all the other cryptocurrencies that are still being created, it’s clear how decentralized technology is the way for secure transactions of digital or fiat currency.
Recently, the HSBC bank made its first overseas transaction using blockchain. They did a trade finance transaction successfully with a compressed timeline of less than a day. It would usually take seven to ten days to make this type of exchange.
Besides reducing the time and speed of transactions, it can decrease costs, leverage information, security and take collapse risk to minimal, cause there’s no centralized vault.
Insurance fraud is a reality that is closer to be over by moving information into an immutable and tamper-proof ledger. It is valid both ways, for the insurance company and for those who are purchasing the product.
It will help the companies to confirm and authenticate their client’s data. As for the clients, the use of smart contracts can certify that the company will provide the services they purchased.
Blockchain, in this case, will enable better coordination of the insurances and even identify suspicious behavior.
Using Blockchain, businesses can reduce the risk premiums for insurance as the data stored in the blockchain are safe, secure and immutable. This ensures, full transparency with the insurance agencies, thereby, reducing the cost of premiums. The same can be made possible when blockchain is used for healthcare.
Blockchain Industry Applications
These three examples are just some of the Blockchain Industry Applications. Every day people find ways to use technology to improve something.
As you can see, there are innumerous blockchain industry applications. And if you have an idea of how this technology can solve a problem or help to improve your business, Blockchain App Factory is more than happy to help you in this journey.
We have the best expertise in the market and a great team of developers that will build the perfect blockchain solution for your needs.
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