Blockchain: Changing the Way We Do Business

Blockchain, the technology behind bitcoin, promises to improve efficiency in numerous processes and create new business opportunities. It is a backend database with a distributed ledger and an exchange network for transferring value between trading partners. It doesn’t require a middleman to validate transactions. While it is still on the early stages, it could affect customers and the society by creating openness and providing a new level of freedom and empowerment.

In terms of thinking and activity, financial services is the most popular industry that the blockchain threatens to disrupt because it impacts everything that a bank does – money, contracts and movement of assets. Other industries that the technology is set to change include:

  • Healthcare
    Its application to healthcare would be on medical records. The blockchain could verify if a specific procedure has taken place, share data and ensure encryption, and authorize others to access parts or your whole medical records.
  • Government
    The blockchain has an embedded trust component so you don’t have to go somewhere to prove your identity. For instance, you need to make a transaction with the land registry, motor vehicle registration or property ownership. You don’t have to be somewhere to make that transaction.
  • Real Estate
    Blockchain gives a good historical record of anything, including time stamps, service or ownership. With the technology, you don’t have to erase the previous state to make room for the new one. You just add a line below like a ledger. The blockchain can store the history of who owned a particular house since the time it was built, and that record cannot be tampered with.

How will it change the way we do business? In this era of Big Data and Internet of Things, assigning a digital signature to each data can be useful. Recording and verifying each stage of the business process help improve the reliability and quality of products and services. It will affect not just your bottom line but also the top line – creating new revenues, growth and services. By allowing customers to check everything on the blockchain, they will have a new level of freedom, too.

The blockchain is about trust, transparency and the truth. It enables greater visibility by allowing you to know what has happened, when it happened and how true it is. In the future, services and applications will use the technology and we will use it to verify records and authenticity.