Suppose you’re drawn to learning about the most innovative solutions in the tech sector. In that case, you probably have been drawn by blockchain multiple times because it’s the kind of technology that captivates one’s attention, to say the least. However, you will notice that when blockchain is discussed people often limit it to providing the necessary technology for building cryptocurrency. It has been hidden in the background for years, so it’s only natural for those lacking information to believe it’s only used for developing digital currencies. However, its utility expands beyond powering crypto projects, and people need to grasp its complex nature.
Discussing blockchain
Periodically some kind of innovation is released that changes the way people do certain things. The telephone, the Internet, and AI are only a couple of such examples. Then, cryptocurrencies were developed, and they revolutionized how people viewed money because they allowed fast worldwide transactions via a transparent, secure, and distributed ledger. But the true innovation isn’t digital money; it’s the underlying technology called blockchain, which will change how digital assets function because it provides unchangeable, verified, and decentralized information. However, because crypto projects were the first to benefit from the technology, it has often been associated with it. Ethereum is one of the most prominent examples because it utilizes blockchain to revolutionize decentralized app development and asset transfer through smart contracts. And if we check data we’ll easily notice that the ETH price is high and most believe that it’s due to its wide range of use cases.
Meanwhile, blockchain has started to make a name for itself because it provides permanent and secure records of all digital activities completed through its use. It’s considered one of the most reliable types of technology because it records data in real-time and stores it in multiple locations, so it cannot be lost. It differs from traditional databases that store data in individual locations because it relies on a chain of data blocks that are interconnected. Each block contains a set of data, and once the network confirms it, it’s connected to another block, so no one can alter one without affecting the other. All data contains a time stamp after validation, and all network members can access the information available on the blockchain.
Before blockchain was created, transactions required a middleman to check, manage, and validate them – the innovative technology removes all points of failure. Blockchain guarantees immutable and decentralized transactions and promises users security, anonymity, and transparency.
Blockchain entered multiple industries
If, in the beginning, people have characterized blockchain as a type of technology experiment, they quickly figured out that it’s actually ground-breaking and could be used for far more than developing cryptocurrencies. It has evolved continually since its inception and organizations have started to integrate it into their processes and business models to boost their performance and profitability. Statistics show that more than 50% of organizations consider blockchain vital for remaining relevant in their industries and are willing to invest more in it. Trends also promote the use of blockchain as a mainstream technology, and companies of all sizes are exploring how they can scale it within their processes. The more businesses invest money into implementing blockchain-based solutions the higher the confidence of the public, which will trigger increased investments. Companies from all sectors must keep up with the public’s requirements and look for ways to improve their cybersecurity, governance, compliance, and digital identity issues. Blockchain is considered one of the most effective solutions to do it because it remediates these challenges and provides practical solutions.
Let’s have a look at the list of sectors that have exploited blockchain technology, so far.
Healthcare – healthcare uses digital data extensively these days, so it was one of the first sectors to explore the ways in which blockchain might help. Healthcare providers deal with large and diversified amounts of data, from patient information to payments and insurance claims, they have to store everything in a safe way. Blockchain guarantees confidentiality and security because it’s decentralized and relies on cryptographic solutions. With the help of blockchain technology, healthcare providers find it easier to access and exchange information.
Financial – the financial services sector also adopted blockchain technology since its early days because it makes customer onboarding, trading, and engaging with customers easier. The banking environment needs blockchain to complete crypto-trading and international transactions faster. Blockchain is famous for its increased security level, so financial organizations use it to minimize fraud and enhance data security.
IT and Cloud – Internet of Things solutions require extensive storage space for data, and blockchain can provide it because it has fewer limitations in terms of capacity than traditional options. Besides, it also has lower storage costs, which could only benefit companies.
Content and Media – these two sectors have been on the rise lately, and understandably they need innovative solutions to prevent piracy, track royalties and ownerships, and stop advertising fraud. Content creators find the use of blockchain extremely useful because it guarantees their payment and facilitates the content creation process.
Supply chain – supply chains worldwide dealt with numerous challenges over the years, and the sector has grown into becoming one of the most complex. Due to its complexity, often the clients, distributors, and suppliers don’t interact. Supply chain parties can use blockchain technology to prevent counterfeiting, improve management solutions, verify stakeholders, and enhance traceability.
Blockchain provides the world with countless possibilities
Although blockchain’s main role initially was to remove central authorities from transactions, it has diversified and evolved over the years and can now be used for several utilities. It’s only natural for industries to explore the ways in which blockchain could benefit them and assist them in evolving. So, it’s expected that blockchain will be integrated into even more processes and become a fundamental instrument.
