The invention of Blockchain technology is one of the greatest revolutions in the field of technology. It made a tremendous impact on our daily lives, and it continues to change the way we live, in a multitude of areas. Moreover, it has lead to many ground-breaking technological developments in recent years.
There are various applications of Blockchain technology. Many of these have already been applied to practice. For the implementation of other potential Blockchain use cases; intensive research is being done by scientists and technologists, all around the world.
In this guide, we have made a list of some significant use cases of blockchain. Also, it will give you a good insight into the limitless potential of Blockchain technology, which is going to change the future of humankind for good. Some prominent blockchains cases are explained, as mentioned below :
1. Cryptocurrency :
Perhaps, it’s the most popular and eminent Blockchain use case. Cryptocurrency is a decentralized digital currency that is based on Blockchain technology. It uses encryption techniques known as cryptography, to secure financial transactions, to verify the transfer of assets and also control the creation of additional units.
Making cross-border payments using the current payment methods is expensive, because of the commission charged by middlemen. Also, it’s an inconvenient and time-consuming process. Besides, there are many people, especially in the developing countries, who don’t have access to conventional banking services.
The advent of blockchain technology is capable of solving all the above-mentioned hassles and problems. The cryptocurrency is a digital currency, which functions as a medium of exchange, for the buying and selling of goods and services, from any corner of the world.
Thus, it facilitates international payments in the form of peer to peer transactions, making it an instant and inexpensive process. Also, the usage of cryptocurrency eliminates the need for any middle-men or third party whatsoever. All you need is your mobile or laptop, and a fast internet connection.
2. Asset Tokenization :
One of the most profound and influential Blockchain use cases in the field of financial services is Asset Tokenization. By using blockchain technology, the assets which were formerly illiquid can now be converted into a tokenized form.
After this tokenization, these assets can be fractionalized efficiently in a cost-effective manner, and then they can be traded and settled on the blockchain. It saves you from the time-consuming and cumbersome process of clearing and settlement through third parties.
Therefore, tokenization allows for the free trading of assets in a global marketplace. Additionally, it allows the investors to diversify their investments across a range of big opportunities.
3. Supply Chain Management :
With the implementation of Blockchain technology, you can enhance and technologically upgrade the supply chain management of your company. All the company assets like raw materials, finished goods, etc., can be digitized, thus also leading to improved inventory management.
Using this method, all the products can be tagged and assigned with unique identities, that are then transplanted onto a transparent and immutable blockchain. Thus, all the essential and crucial information about the assets and products, such as time, location, state of the product, etc., can be tracked effectively on the blockchain.
As a result, the products can be tracked very accurately when they move along different locations in the supply chain. In addition to that, it also helps the company to tackle any kind of potential issue or unforeseen problem. Besides, the end customers are also benefited immensely, because it will help them to verify the authenticity of purchased goods, by using the blockchain.
4. Healthcare :
Blockchain technology can be used to record patient information on a distributed ledger, which can allow different stakeholders a conditional access to a single source of information. In this system, each interaction with the health data of a patient can be recorded on a ledger, as a transaction with a time-stamped audit trail.
Hence, access to a patient’s health information becomes more secure, since all patient data is encrypted. Also, it will rectify the flaws and inefficiencies with the current data management system. Moreover, this use case of blockchain in the healthcare industry will result in patients having more control over their own (personal) health data.
5. Digital Identity :
A digital identity can be defined as a body of information that represents an individual, organization, etc., which exists online, over the internet.
Nowadays, our identity and privacy have been badly compromised over the internet. This is because we have become naturally habituated to grant the ‘consent of access to personal data’, to thousands of third-party applications and services, on a regular basis.
But in reality, this scenario is very scary and risky, because these centralized entities are highly vulnerable to identity thefts and breach of data. However, this problem can be potentially solved by adopting a digital identity, using Blockchain Technology. Moreover, it will result in giving back of control back to the user.
To establish the above mentioned ‘self-sovereign identity,’ the internet users can possess an encrypted digital hub, which will store all data, about their digital identity. Most importantly, an individual would be able to control who can have access to that hub, along with the discretion to revoke access whenever required.
Thus, this Blockchain use case related to Digital Identity will ensure that an individual will have total control over how their digital data is utilized online.
The Bottom Line :
The use cases of blockchain technology are ever-growing, ever-evolving and it’s undergoing continuous technological developments. Needless to say, it will completely change the way we live.
In the near future, we will witness an increasing number of potential use cases. If you’re thinking of some more blockchain use cases, then please leave your valuable suggestions in the comments section below.