Opinion: Is Blockchain The Future of Business?

Rajeev Mudumba

Hitesh Choudhary on Unsplash

Bitcoin is the first thing that comes to mind when people start talking about blockchain.

It became one of the most talked-about technologies in 2017, but outside of cryptocurrencies and financial technology (fintech) firms, relatively few companies are using it. Even fewer large corporations are looking at viable ways they could use blockchain.

At its heart, blockchain is a distributed database that allows multiple parties to share data and transactions without the need for a third party. Transactions are grouped into blocks, which are then verified by other participants in the network before they are added to the chain. This creates an unchangeable and transparent record of all activity.

One of the key benefits of blockchain is that it removes the need for a middleman in transactions. This can save companies money and time, as well as reduce the risk of fraud. In addition, because the database is distributed, there is no single point of failure, meaning it is much harder to hack than traditional systems.

So far, blockchain has been primarily used to create cryptocurrencies, such as Bitcoin and Ethereum. However, there are a number of other potential applications for the technology. These include:

  • Securing digital identities
  • Tracking goods and supply chains
  • Reducing fraud in the insurance industry
  • Improving data security
  • Managing energy grids
  • Streamlining payments and financial transactions

Despite the potential benefits of blockchain, there are a number of challenges that need to be addressed before it can be widely adopted. These include:

  • Lack of understanding and awareness among businesses
  • Unclear legal and regulatory framework
  • Difficulty in scaling up the technology
  • Integration with existing systems and processes

Nevertheless, many companies are now looking at ways they can use blockchain. Some companies are using it to streamline billing. IBM and Samsung are working together on a joint venture that will see them apply the technology across Africa. Alibaba is also using blockchain to track product shipments.

Of course, even if companies do start to use blockchain in large numbers, this won’t mean an end to all traditional systems. But, it’s clear that this technology is worth watching, and it’s likely to play a bigger role in business in the years to come.

Again, what is blockchain?

Simply put, it is a distributed database that allows for transparent, secure and tamper-proof transactions between multiple parties. It has the potential to reduce costs, increase security and provide a better user experience. However, the technology is still in its early stages, so companies wanting to implement it will need to weigh up the benefits against the challenges before they can embrace it fully.

Blockchain technology is an open source software that keeps track of transactions that are made using virtual currency. These currencies are not physical, but are increasingly being used to buy actual goods and services.

The blockchain keeps a public ledger so anyone can see the transactions being made, which ensures there’s no cheating involved because everyone sees what’s happening. Every time a new block is added to the chain, it’s verified by multiple computers so that no one can hack into the system and alter the records.

This peer-to-peer verification makes the blockchain very secure, which is why many people believe it could be the future of finance. Banks and other financial institutions are already looking into ways they can use blockchain technology in order to make their systems more secure and efficient.

In the future, we may see a world where all financial transactions are made using blockchain technology. This would be a huge shift from our current system, but it’s something that’s definitely worth considering. With its security and transparency, blockchain could revolutionize the world of finance for the better.

Another industry where blockchain is gaining recent traction is healthcare. Many believe that blockchain has the potential to revolutionize how healthcare is delivered.

As we discussed, at its most basic, blockchain is a decentralized database that acts as an electronic ledger of transactions. The use of cryptographic algorithms ensures the security and validity of data in the blockchain ledger. A block contains sensitive information about the transaction, such as date, time, participants and details about how much was exchanged between parties. Transactions are recorded chronologically and publicly, which makes it difficult to tamper with the data.

The potential of blockchain for healthcare was recognized early on and several companies are developing applications for this technology. Some of the areas where blockchain is being explored include:

Medical records: One of the most promising applications for blockchain in healthcare is the use of blockchain for medical records. Blockchain can be used to store patient data in a secure and tamper-proof manner. This would allow patients to own their own data and control who has access to it. It would also streamline the process of sharing patient data between healthcare providers.

Drug tracking: Blockchain can be used to track the movement of drugs throughout the supply chain. This would help to ensure that counterfeit drugs are not entering the system and that patients are getting the correct medications.

Clinical trials: Blockchain can be used to manage and track clinical trials. This would improve the efficiency of clinical trials and reduce the risk of errors or data tampering.

Clinical trials are a key part of the drug development process. They allow researchers to test the safety and efficacy of new drugs before they are made available to the public. However, the current clinical trial process is far from perfect.

One of the biggest problems with clinical trials is that they are often beset by data-entry errors. These errors can have a huge impact on the results of a trial and even delay the time it takes for new drugs to become available to patients.

Blockchain technology has the potential to reduce data-entry errors by providing an immutable record of all clinical trial activities. This would allow researchers to quickly identify and resolve any mistakes that are made.

It could also help to improve the transparency of clinical trials. Currently, there is often a lack of trust between sponsors, investigators and patients regarding the results of clinical trials. Blockchain could help to resolve this issue by providing a publicly-accessible record of all trial data.

Medical research: Blockchain can be used to facilitate the sharing of medical research data. This would help to speed up medical breakthroughs, eliminate redundancies in research projects and enable doctors to provide more personalized care for patients.

Healthcare Financing: Blockchain technology could be used to improve the efficiency of health care financing systems. This would help reduce costs and increase the speed of transactions.

Healthcare financing systems are often slow and cumbersome, leading to wastage and inefficiencies. Blockchain technology could streamline these systems, making it easier for patients to pay for their healthcare and for healthcare providers to be reimbursed.

End EHR Monopolies & Data-hoarding Practices: As we said earlier, one area where blockchain could create significant benefits for healthcare is in patient data storage. Currently, most people’s health data is held by a single organization — their healthcare provider. This can create security risks, as a breach of the healthcare provider’s systems could lead to the theft of millions of patient records.

It can also lead to data-hoarding practices, where healthcare providers hoard patient data for their own use rather than sharing it with other providers.

Blockchain technology offers the potential to decentralize how patient data is stored. Rather than having a single database managed by a healthcare provider, blockchain would allow patients to store their own data on their own private health records. The encryption algorithms used in blockchain also provide an extra layer of security for sensitive medical information.

One of the problems with centralized systems is that they create a “one size fits all” approach to patient care. This can lead to medical decisions being made by people who do not fully understand the needs and preferences of individual patients. Blockchain could help solve this problem by providing a platform where patients can share their medical data with healthcare providers.

This would allow doctors to provide more personalized care for their patients, increasing the chances of a successful treatment outcome. It would also help to reduce the number of tests and procedures that are carried out unnecessarily.

In conclusion, blockchain has the potential to make significant improvements to the healthcare industry. Not only could it help improve patient care, but it could also offer significant financial benefits for both doctors and patients.

There is no doubt that blockchain is a transformative technology. Across a variety of industries, businesses and organizations are exploring how this distributed ledger technology can be used to streamline operations, improve security and create new opportunities.

Opinion : Attributions based on opinion.

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Rajeev Mudumba is a dynamic entrepreneur, executive, business strategist, coach, and advisor. He is also an accomplished author, speaker, and thought leader. Above all, Rajeev is a diehard optimist with a "can do" attitude. Subscribe to Plan B Success podcast on your fav platform or www.planb.live. Also, subscribe & watch on YouTube @ http://bit.ly/2YegieF. Don't forget to share & spread the word!

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