Blockchain

Blockchain Explained: Blockchain Technology in Various Industry Sectors

Blockchain can uproot and transform various industry sectors and intermediary functions—including risk management, audit procedures, supply chain management, savings, credit, and borrowing, tax issues as well as company reputation, brand, and identity. Take the banking industry as a primary example. If you deposit a check on Friday, you will have to wait all weekend before the check hopefully clears on Monday. This same task can be accomplished with blockchain technology in seconds. Blockchain can transform banking operations and cut processing times dramatically. For instance, Bank of America recently launched its cryptocurrency research division and JPMorgan Chase is now providing all its clients with access to Bitcoin and other cryptocurrency funds — an expansion of previously only offering private wealth clients access to crypto products. JP Morgan also created its “JPM Coin” on a permissioned, shared ledger that allows some of its clients to transfer payments around the world.

Blockchain can help secure sensitive information and ensure that it cannot be altered. This includes confidential patient medical information for entities in the healthcare industry and sensitive customer financial details for entities in the insurance industry. Supply chain logistics can be streamlined for all parties from R&D and manufacturing to retailers and buyers. What about the real estate industry? Traditionally, buying a home was a big ordeal. You have to deal with financing, banks, brokers, and real estate agents, insurance, title agencies, and so on. The need for these third-party intermediary services is eliminated by using blockchain technology, particularly smart contracts. Once all pre-determined conditions are met—e.g., securing a mortgage and verifying title—the smart contract automatically executes the terms of the transaction—including title transfer, and recording deeds and mortgages. With blockchain technology, buying a house will never be the same again. Our voting systems will also benefit. Blockchain technology can help verify voter identities and ensure that each individual’s vote is not counted more than once. Most importantly, once an individual’s vote is cast and transferred to the blockchain, it cannot be altered.

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