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Applications of Blockchain Beyond Cryptocurrencies

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Did you know? The global market size of blockchain is likely to reach more than USD 94.0 billion by 2027. Yes, you read it right!

Blockchain technology keeps evolving with time. When it comes to blockchain applications, Bitcoin and cryptocurrency are sure to cross your mind. However, the technology has much more to offer.

By offering a transparent and decentralized platform and securing digital transactions, blockchain technology is revolutionizing various sectors. Still, wondering about the various applications of the technology? Read on to explore more details!

Benefits of Using Blockchain Technology

Blockchain refers to a distributed ledger technology in which transactions are stored in a block and then connected with the next in a chain. It eliminates the need for a third-party intermediary and allows faster transactions. Moreover, it reduces the chances of human errors and enables you to store data securely. 

The decentralized system of blockchain offers it greater protection against malicious attacks. Blockchain technology makes it easier for you to build self-executing contracts known as smart contracts. These contracts can automate several processes like payments and increase the accountability of the parties involved in a transaction. 

Top Applications of Blockchain Technology

Besides cryptocurrency, there are several other applications of the blockchain technology. Delve into the complete list of the most prominent applications.

1. Banking and Finance

Blockchain technology finds use in the banking and finance sector in several ways. Some of the common blockchain applications are listed below.

a. Cross-Border Payments

Some of the common issues in traditional cross-border payments include delays, inefficiencies, and high fees. However, blockchain technology eliminates the need for multiple intermediaries and facilitates low-cost, real-time international transfers. It not only enhances the settlement process but also lowers transaction costs significantly.

b. Fraud Reduction

In the banking and finance sector, frauds are quite common. However, if you are leveraging blockchain technology, you do not have to worry about fraud. It brings all the information on a distributed ledger with a timestamp and makes it difficult for malicious users to break into the system. As a result, you can be rest assured about greater security.

c. Digital Asset Management

Managing digital assets like security tokens, cryptocurrencies, and digital securities has become a lot easier with digital asset management. It allows the investors to seamlessly transfer and sell assets. Moreover, it improves the transparency and security of asset management.

d. KYC

Did you know? Nearly 10 percent of the top financial institutions around the globe spend a minimum of USD 48 on KYC. Yes, that’s true!

The core aim is to minimize money laundering incidents and keep terrorists away from the banking system. Blockchain technology helps simplify the KYC process and lowers the associated cost and verification time. 

e. Digital Identity Verification

Identity fraud and theft have become common in recent times. Leveraging blockchain-based identity management systems can provide you with a decentralized and secure way of enhancing customer privacy and verifying identities.

f. Tokenization of Assets

Blockchain makes it possible for you to tokenize real-world assets like art, real estate, and commodities. As a result, high-value assets become more accessible to investors.

g. Regulatory Compliance

The immutable and transparent nature of blockchain technology simplifies the auditing process for financial institutions. Moreover, it enables them to comply with the regulatory norms. 

The decentralized ledger of blockchain ensures that all transactions are properly recorded and made easily accessible. As a result, it facilitates smooth regulatory auditing and reporting.

h. DeFi or Decentralized Finance

DeFi platforms can make use of blockchain technology to offer financial services to customers without the need for any traditional intermediaries. These platforms can provide diverse services like trading, lending, borrowing, and more. It ensures that users get better access to financial products in a permissionless and more inclusive manner.

2. Healthcare

The use cases of blockchain technology in healthcare are plenty. It empowers the patients and provides them with better control over their personal health data. Moreover, it ensures a more patient-centric and collaborative approach to the delivery of healthcare services. 

The implementation of blockchain in the healthcare sector also offers greater protection to patient data against unauthorized access. By enhancing data security, it helps secure the sensitive information of patients. The technology can even allow you to deliver more personalized treatments to the patients in an efficient way.

3. Supply Chain

The emergence of blockchain technology is revolutionizing supply chain management. It converts traditional processes into more transparent and streamlined systems. Moreover, the immutable and decentralized nature of blockchain helps improve the traceability, efficiency, and transparency of the supply chain. 

When you integrate blockchain with supply chain management, you gain access to a distributed ledger that can record all transactions and movement of goods. As a result, all the stakeholders like customers, distributors, and suppliers can get transparent and real-time information relating to the journey of products.

4. Voting Systems

The integrity of elections plays a crucial role in promoting democracy. That is why the use of blockchain technology in voting systems is gaining a lot of popularity. It adds an additional layer of transparency and trust to the voting systems. 

Implementing the technology can enable recording votes in a tamper-proof and immutable manner. It can safeguard the elections against potential manipulation and fraud and promote fairness. 

5. Intellectual Property Rights

The immutable and decentralized nature of blockchain allows the creators to register their works effortlessly. It secures intelligent property rights effectively and allows easy identification of any illegal use. Moreover, the traceability and transparency of the technology ensure fair and more efficient content licensing. 

Smart contracts can also automate licensing agreements and royalty payments. It enables content creators to get fair compensation for their work without having to rely on any intermediaries.

6. Advertisements

In this competitive era, delivering relevant and timely ads is essential to reach out to more target customers. The increasing use of blockchain technology is revolutionizing the advertisement industry. 

Wondering how? You can make use of the technology to keep track of different service providers and link them together. As a result, you will be in a better position to target the right audience at the right time.

It not only saves time and money for the advertisers but also prevents hackers from developing fake web traffic. You can hire blockchain developers to assist you track visitors’ origins and verify their legitimacy.

7. Charities

Blockchain also finds wide application in charities. With the increase in the number of frauds, people are reluctant to make donations. It is mainly because they aren’t sure whether their money will be used for the right purpose or not.

However, by introducing blockchain technology to the system, you can be rest assured about the money being used for the right purpose. The transparency of the technology allows the donors to get a better picture of the way in which the money gets utilized.

8. Cybersecurity

In this modern era, cybersecurity threats are continuously increasing. Are you wondering how to deal with such situations? Then leveraging blockchain is an ideal option.

One of the main reasons for cybersecurity attacks is that all business data are stored on a centralized system. It gives rise to risks like human error, data loss, hacking, corruption, and more.

However, blockchain allows you to store data on a decentralized, distributed system. As a result, it helps lower the chances of potential hacking significantly and improves data security.

9. Government

More and more government agencies are adopting blockchain technology in recent times. It plays a pivotal role in safeguarding the property rights of citizens and improving the overall service quality. Moreover, it can also enhance the level of transparency in the system.

10. Sustainability and Energy

Blockchain technology also finds use in the creation of transparent and decentralized energy marketplaces. It enables peer-to-peer energy trading and allows you to keep track of renewable energy generation. 

Blockchain eliminates intermediaries and ensures direct transactions between consumers and energy producers. Moreover, the implementation of the technology can also promote energy efficiency, improve the adoption rate of renewable energy sources, and lower costs.

11. Logistics

The lack of transparency and effective communication is one of the major issues in the shipping industry. However, using blockchain can address this problem effectively. It ensures data transparency and provides you with a single source of truth. 

The technology automates the logistics processes and makes them leaner and helps save billions of dollars annually. It acknowledges all the data sources and helps build greater trust in the industry. 

12. Music

Did you know blockchain even finds use in music? It may sound surprising to you but it is true. The technology helps manage and streamline content creation and sharing. Moreover, it is also suitable for managing royalties and payments for artists. 

Final Words

By now, you must be well aware of the top application of blockchain beyond cryptocurrencies. From logistics to voting systems and healthcare, the use cases are vast. 

The demand for blockchain is not likely to slow down any time soon. In fact, the technology will continue to evolve in the years to come. Leverage the evolving technology and witness the benefits for your industry.

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