Cryptocurrency couldn’t be stopped in 2017 and it was Blockchain technology that made it possible.
So, what is Blockchain technology? Well to put in simple words, Blockchain is a distributed, digital and decentralized ledger that underlies most virtual currencies which is responsible for logging all transactions without the need of using a financial intermediary like a bank. So, in other words, it is nothing but a means for transmitting funds or simply to login information.
Sudden Need For Blockchain Technology
Blockchain was created from the vision developers had, believing that the current banking system had a great number of flaws.
Frankly, they thought and viewed banks as third parties who are pilfering unnecessary transaction fee. Also, they scoffed over the idea that payment settlement and validation takes about five business days, especially with regard to the cross-border transaction. Using blockchain technology, the entire real-time transactions are a great possibility while banks are removed from the equation, which is to reduce the transaction fee.
As an entrepreneur experienced in handling various projects involved in trending technology, I feel that blockchain can simply lower the chances of having any inefficiency. Also, the unlock value is present in areas where lies the existing industry who need intermediaries to validate, record, and reconcile transactions. This is without adding any kind of added value to the original transaction.
Areas Where Blockchain Technology Can Be Used
● Money Transfer And Payment Processing
Do you know the most logical usage of blockchain is to expedite fund transfer from one party to another? As stated that banks aren’t involved or removed from the equation, and the validation of the transaction ongoing for 24 hours a day, seven days per week, most of the transactions that are processed using blockchain will be settled within a matter of seconds.
● Retail And Loyalty Reward Programs
No doubt, blockchain can easily revolutionize the retail experience. This is possible by being the go-to for the loyalty reward. Here, by developing a token-based system, consumers are rewarded and tokens are stored within blockchain.
Now, this would simply incentivize consumers to come back to a particular store and do the shopping. In addition, it can remove all kinds of fraud and waste which are associated with a card-related and paper related reward program.
● Check The Supply Chains
The blockchain is quite handy when it is related to monitoring the supply chain. Here one can remove the paper-related trails, which means businesses can pinpoint the inefficiencies present in the supply chain immediately, and also locate items in the real time.
In addition, blockchain will allow businesses and consumers to see how products perform from the perspective of quality-control when they move towards the retailer from the place of origin.
● Real Estate & Land
Do you know that one of the major goals of blockchain is to remove the paper from the equation? It is a known fact that paper trails are the major source of confusion. If you are selling or buying land, car, or house, you must transfer or get a title.
Rather than handling this on paper, with blockchain, you can easily store titles on its network. This will allow for a transparent view of the transfer as well as showing the crystal-clear of the legal ownership.
● Medical Recordkeeping
Well, the good news here is that the medical sector has somewhat moved away from paper, which is for recordkeeping, for many years. But with blockchain, there is more convenience and safety.
Besides storing the record of patients, those patients who have the key to accessing the digital records will easily be in control of one who gains access to the data. Plus, this would be the means for strengthening the Health Insurance Portability and Accountability Act (HIPAA) law that is created to secure the privacy of patients.
Getting Hang Of Blockchain
As clearly stated in this article, blockchain technology provides a huge amount of opportunities for many applications. Also, since technology continues to progress, its applicability will even continue to get broader.
Why You Shouldn’t Underestimate Blockchain Technology? was originally published in Data Driven Investor on Medium, where people are continuing the conversation by highlighting and responding to this story.