Blockchain as technology has come a long way. It has already started disrupting industries like banking, finance, and supply chain to name the most prominent ones. Blockchain is one of the most talked-about technologies amongst business owners and technology experts. It is more than a buzzword now and moving rapidly into the current processes to make them faster and secure than ever before.
That said, blockchain still is a synonym to bitcoin and altcoins in many countries. Several business owners are unaware of the features of blockchain and the fact that it can make their work processes smooth, secure and save a lot in terms of capital. However, that’s not the biggest problem the technology is facing.
A high number of people in the market are still skeptical of adopting blockchain as they lack a clear understanding of it. They are unsure whether it would be beneficial for them to use blockchain in their industry and waiting for others to take the initial steps.
Hereby, being technology developers and solution providers, we foresee the opportunities blockchain can bring to various industries apart from cryptocurrencies. Let us look at the opportunities blockchain can bring to various industries apart from just cryptocurrencies.
How Blockchain will change the industries
Banking and Finance
Blockchain has the potential to transform everything in the banking industry from payments to loans. The industry has also started exploring blockchain as a secure and tamper-proof ledger that can enhance the accuracy of money transfers. Here is how the banking industry will embrace technology and transform all the services including:
- Payments: Blockchain could eliminate the need to rely on intermediaries like banks to approve financial transactions. This will result in faster fund transfers and payments at lower fees.
- Loans: By removing the necessity of gatekeepers in the loan industry, blockchain will make the process of borrowing money fast and secure.
- Fundraising: Blockchain technology has opened the way to a whole new world of ICOs (Initial Coin Offerings). ICOs have become insanely popular in recent years to raise funds in lieu of company tokens (crypto).
- Bonds & Securities: Blockchain can revolutionize the way people trade in securities by tokenizing stocks and bonds called Tokenized Asset Offerings (TAO).
The supply chain is one industry that has been the forerunner in adopting blockchain technology in recent months. Numerous businesses like Walmart and Beefchain are using blockchain-based supply chain platform to trace food items from production to shelf. Traditionally, it took approximately seven days to trace the source of the food. But with blockchain, the process time has been reduced to mere 2-3 seconds.
It could really help businesses to ensure that no infected food should reach the consumer. Moreover, it also helps them to keep every tracking information at one secure place removing the use of manual entries into fragmented spreadsheets.
Real estate is one of those complex industries that depend on several intermediaries resulting in long and sluggish procedures. Blockchain technology can speed up the processes and make payments between buyers and sellers more transparent. Moreover, the transactions could be faster and secure through cryptocurrencies like Bitcoin, altcoins, etc.
Apart from payments, the Blockchain can help to avoid the need for the middleman to build trust between parties through Smart Contracts, e.g., the services of a broker are no longer needed.
Asset transfer through tokenization
Blockchain has brought a concept of asset-based tokens which enables people to buy and sell assets smoothly and rapidly. Let us explain the concept in a simpler way.
Suppose you have a piece of land in Italy and you wish to sell it to a person residing in Australia. With normal processes, it could be extremely difficult to transfer ownership due to numerous government regulations. However, with blockchain, you can convert assets into a token representing the ownership of your land. You can just transfer that token to the buyer’s account without any hassles.
While there are several applications of Blockchain, it can be efficiently utilized in the pharmaceutical industry to manage the massive data of healthcare companies. The Blockchain technology can effectively monitor the drug supply chain, assisting in the manufacturing and distribution of the medicines.
Many developing countries suffer from the issue of fake medicines that comprise 10-30% of the total sale. Blockchain tech can help the government to cope with this massive problem and disrupt the flow of counterfeit drugs.
Blockchain technology could coherently bring new opportunities and transform the way telecommunication companies manage their business. Here are some of the ways how Blockchain could disrupt the telecom industry:
- Blockchain can eliminate the third-party intermediaries to streamline the transactional process and protect both the parties against frauds.
- Blockchain can also make data roaming more affordable and safe through Smart Contracts.
- The decentralized technology can also provide real-time balance and data update to the customers and improve the billing system.
Blockchain has a come a long way from being an emerging technology to a technology that is being explored by experts and businesses. Although the number of industries that can associate with the blockchain technology to make the most out of it is currently very few, many financial and non-financial sectors are trying to implement the decentralized technology to make their work process effortless and utilize its benefits.