The block means digital information stored in a public database known as a chain; thus, blockchain is a distributed network. Here are a few attributes associated with blockchain;
- Data protection and relative user anonymity
- Decentralized ledger technology
- Solution for double spending
- Presence of a data structure and improved traceability
- Reduced costs
- Improved speed and efficiency
- Enhanced security and great transparency
These attributes have made blockchain very marketable and hence various industries have embraced blockchain in businesses operations. Blockchain use in various sectors;
Banking
Banks were skeptical when blockchain was introduced, but over time, most of them have changed tune and embraced its purpose. They have introduced user-friendly systems that have enabled decentralization banking services and security features that help protect data and information. Use of blockchain in the banking sector;
- Decentralization of services
- Cryptocurrency holding and exchange using a single interface
- Digital identity verification
- Syndicated Lending
- Peer to peer transfers
- Digitized accounting, bookkeeping, and audit
Healthcare
The application of blockchain is mostly felt in the healthcare sector. It is used for patient admission, scheduling of surgeries, and recording of surgical results. Every patient represents a block that must be kept secure, accurate, and accessible.
Recording of any entry becomes new data with timestamps and own date. Blockchain technology is used in the following areas;
- To store patients’ medical data
- Track clinical trial data
- Providing directory management to health providers
- Automating of insurance and ensuring reliable information
- Track medical inventory such as devices, supplies, and equipment
Insurance
Blockchain has helped insurers in providing a seamless connection between processing, storage, and distribution of information. It enables them to find out whether specific rules were observed during the insurance exchange. Some of the areas that have greatly benefited from blockchain in insurance are;
- Improved turnaround time for insurance claims
- Elimination of risks associated with fraudulent activities
- Reduction in premium policy due to risk management
- Automated paychecks enabling a better experience
- High efficiency making the process simple.
- Policy information made readily available to authorized parties
Logistics
The logistics industries act as a backbone to all sectors globally. Companies have realized the importance of blockchain technology and implemented its use in logistics. How has blockchain improved technology?
- Inventory tracking through the use of efficient systems
- Improved freight and shipping as companies can track a single item
- Efficient and secure systems for invoicing and receiving of payments
- Authenticity verification by monitoring the origin of items
- Increased transparency
- It has created a fair freight marketplace
- Enabled dispute resolution
Real Estate
Blockchain has allowed for a significant gain in efficiency in how records are managed and stored. It has enabled cost saving due to the introduction of improved service delivery in payments, escrow, and the issuance of titles. Real estate is highly depended on third parties makes it costly while consuming a lot of time enabled the introduction of blockchain technology to ensure the smooth running of the sector. Application of blockchain in real estate;
- The improved and efficient property search process
- Allows for smart decision making by real estate property investors
- Expedite pre-lease due diligence
- Ease in property leasing, property, and cash flow management
- Improved efficiency in processing financial transactions
- Transparent and relatively cheap property title issuance and management
- Real-time immutable data
- Secure transactions
- Global access
Conclusion
Application of blockchain in industries is snowballing, though at first most companies were skeptical in embracing it, they have realized that they cannot operate without it. The tool offers many benefits, which give it an edge over traditional ways of doing business. There are tons of information online to help learners use blockchain. It is advantageous if you are already using it. Blockchain technology is the future of business. Contact us for more info.
References:
https://igniteoutsourcing.com/blockchain/blockchain-business-applications/
https://thefintechway.com/6-key-features-of-blockchain/
Majid Abai – July 2019 – Los Angeles.
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About The Author:
Majid Abai is Managing Director of Concepts Rise (www.ConceptsRise.com), a High-Technology and Innovation Consultancy based in Los Angeles, CA, USA. With over 30 years of experience in supporting US and global organizations, Mr. Abai focuses on strategic and tactical approach to use of innovation and technology to increase revenues and reduce costs for organizations. Majid could be reached at 424-320-0524 or via email at majid.abai@ConceptsRise.com.