According to Statista research, “By 2021, the size of blockchain technology market worldwide is anticipated to grow to 2.3 billion USD.”
In the last decade, the blockchain technology emerges after cryptocurrency- bitcoin and Ethereum increased their token value in the market (though it fluctuates a lot these days). Thereafter, the industry leading enterprises and SMBs have started warmly-embracing the hottest technology trend to get the solution integrated into the business DNA that keeps records and transfer of data secure, transparent and resistant to outages with decentralization and immutability.
For sure, the future of distributed ledger technology is bright as it can be programmed to not just record transactions, but become a form of data that holds value. Blockchain’s potential to leapfrog the technology advancements in the emerging markets can be leveraged by the industries to accomplish the business, social and economic objectives and bring winning upshots, as stated by Gartner.
Take a look at how the budding technology is all set to transform the industry processes, people and platforms:
Banking and financial services
The unique capabilities of blockchain revolutionizing the banking industry by decentralizing the central repositories and exchanges, which enable transaction settling instantly and securely through a network of computers and excellent data management without wasting the time in redundant processes. Also, with the elimination of middle men and the use of cryptography to make the transactions secure, it’s nearly impossible to tamper the system.
According to a research, “The faster processing, increased transparency and compliance, and greater insights into the market move with Blockchain technology reduce the bank infrastructure costs by 30% and which leads to the annual saving of nearly $8-12 billion.”
Considering the benefits, a slew of banking and non-banking institutions are adopting the blockchain to grow and evolve with efficient, faster, and secure operations. The ATB Financial and Fintech startup Ripple are the best instances of financial institutions that have adopted the blockchain model to enable currency-less international transactions in a matter of seconds, which earlier took 2 to 6 business days.
To reduce the food safety disasters, it takes days to trace the food going from farms to the retail market, which is quite high and in the meantime, the food may get spoiled. Here, with blockchain technology to the rescue that enables tracing in a couple of seconds effortlessly and thus, food safety can be achieved. It’s the top reason Nestle and Unilever organizations are implementing them.
Today, in the food industry, the data compliance audits by third-parties and the data is stored either on paper or in a centralized database, that’s highly prone to error, vulnerable to inaccuracies, intentional errors with a fraudulent mindset and time-expensive process. Again, the blockchain helps with the elimination of third-parties and maintenance of unalterable record in a decentralized database, where everyone can view the data, but cannot make any changes.
Incorporating blockchain in the insurance industry means reimagining the trust of the bond by digitizing and decentralizing the paper documents that are used in the myriad of insurance activities such as payments, claim to handle, the disclosure of accurate data and capital. The end of paper contracts means fewer errors and minimum time investment. In addition to the transaction recording in the real-time with blockchain, the smart contracts can be created that alleviates the paperwork and unnecessary multiple steps.
Going forward, the blockchain technology bids a goodbye to the repetitive inspections needed for the claim settlement, eliminate the audit process and say no to insurance certificate issuance that eats hell a lot of time and money, which thereby remove the redundancy and mistrust.
Supply chain management
The supply chain stays at the heart of logistic services which is highly susceptible to mistakes, long delays, and theft at some points. The flawless management of the supply chain is a must, else there will be a great loss to the business.
Blockchain technology is a one-stop solution to all the challenges. All the transactions during the supply can be easily documented, securely stored and monitored in a transparent manner, which minimizes the probability of human errs or untimely delays. Besides, tracking every point of the supply chain helps in identifying, understanding and controlling the serious implication of any unfortunate event on the product. This way conducting fair trade with minimum loss is possible.
It’s universally known that the government system is not just slow and opaque, while corruption has become the part and parcel of the system. When the blockchain is introduced, the bureaucracy will get significantly dropped, security will rise, government operations become transparent and overall efficiency of the system gets increased.
Watching the advantages, Dubai government is planning to put all the legal records on the blockchain.
Additionally, in order to protect the public benefits that suffer largely from bureaucracy, blockchain technology can be leveraged to streamline and secure the public benefits distribution by assessing, verifying and then distributing the welfare.
Blockchain technology is giving a facelift to the healthcare industry with transparent billing management, secure medical record storage and sharing, and streamlining the data.
In the world of digitization, 10% of the healthcare costs is a fraud due to the opaque and mismanagement of the billing activities. The blockchain can alleviate such medicare frauds by automating the billing process, eliminating the intermediaries, improving transparency and decreasing administrative costs
The blockchain helps in providing a secure platform to the patients and hospital to eradicate the medical data hacking problems. In healthcare, it provides a system which enables data exchange in the real-time that’s irreversible and cryptographically saved. This approach assures seamless data access by an authorized person, improve data security, speed up the treatment and eliminate the data reconciliation stress.
The blockchain is offering golden opportunities to the retail industry at a breathtaking pace, which leading players have already analyzed and have started experimenting to bring gala changes that are closer to the fruition.
With the rising potential and popularity of cryptocurrency among consumers, the online and offline retailers should start accepting cryptocurrency as payment by connecting the digital wallet with visa card or making the bitcoin payment integration at the PoS.
To maintain the product’s pedigree during shipping, blockchain can make every touch point legitimate in the supply chain with a verifiable record that assures the product’s authenticity and its safety. It makes certain that customers are getting the genuine item in their hand while addressing fraud issues with easier tracking.
When it comes to digital advertising and marketing, the retailers are facing problems due to the lack of transparency with blind market bidding, and the rise of bots that deal with an ad just like humans. The advertising bureau and digital marketing agencies are experimenting with blockchain to resolve the digital advertising problems that are damaging to the brands.
The efficient implementation of Blockchain technology will provide a huge resource to align many services and serve as the source for many of our problems as the data is decentralized and can be available only to the authorized person. This technology when used by the capable app developers efficiently could help leverage more potential. The widespread use of the technology is sure to find many takers and with the cryptocurrency, in place, it becomes more obvious but the only question that now remains is the authentic source of the occurrence of a particular piece.