Blockchain technology can be applied to many different industries, ranging from banking to production. It can be used to authenticate legitimacy of goods, track supply chains and speed up financial transactions. Blockchain helps reduce fraud, improve security, reduce operational costs and in some cases remove intermediaries, allowing to decrease the cost of products by getting rid of the unnecessary intermediaries commission.
Perhaps the most notable use of Blockchain has to be as part of a cryptocurrency. For instance, Bitcoin uses Blockchain as a digital ledger to create a transparent, self-sustained environment where information about all transactions is stored independently on all participating nodes, or, in other words, on all computers connected to the network.
Banking and financial sectors
Blockchain is being widely adopted in the financial sector since speed, transparency, and reliability of used technology are all essential factors in financial operations. Some notable examples of companies that provide Blockchain solutions for businesses are Hyperledger and Corda. These platforms are initially designed to withstand extremely high loads.
Sweden, Ukraine, and the UAE plan to maintain the land registry with Blockchain. The government of India is also fighting land fraud using Blockchain. Andhra Pradesh became the first Indian state where the government took steps to implement Blockchain technology.
Blockchain can be used to store sensitive information due to decentralization, providing a higher degree of security. Data stored in decentralized databases is much less likely to be corrupted or stolen. A company called Bitnation which offers services such as identity cards, and notaries, was founded in 2014. In June 2017, Accenture and Microsoft introduced a Blockchain-based digital identity system. In August 2017, the government of Brazil began testing the identity card system powered by Blockchain. Finland uses Blockchain to identify refugees, and Estonia launched a Blockchain-powered e-citizenship program.
Uses of Blockchain are not limited to the above examples. For instance, the technology proved to be useful in loyalty programs and cashback services as well as in healthcare industry. The USA allocated substantial amounts of funding towards military research in Blockchain. To summarize, aside from the financial sector, Blockchain is most useful whenever there is a need to store and protect sensitive information or in cases where an element of trust is a complicating factor, as Blockchain can create trustless environments with the use of smart contracts.