Do You Think You Know Bitcoin? 4 Applications of Its Technology

What Is Blockchain and How Does It Work？

This distributed technology — blockchain — is used by ALL sorts of cryptocurrencies to keep a secure and decentralized record of transactions. Blockchain is a distributed ledger that is shared among several computer network nodes. This means that this ledger is not solely held by anyone, but rather has member machines (or nodes) on the network, each with identical copies of the ledger. This makes any deliberate alterations or hacks impossible for anyone attempting to profit by monopolizing or hacking a blockchain network.

Blockchain aids in the establishment of a transparent record order of events. No single node in the network may change the information. On blockchain, information is irreversible and tamper-proof. For example, suppose a hacker also runs a node on a blockchain and attempts to alter the blockchain and take cryptocurrency from everyone else; technically, the hacker will be unable to do so. If the hacker changed his or her own solitary copy, it would no longer be consistent with everyone else's copy. When everyone else compares their copies, they will see that this one copy stands out, and the hacker's version of the chain will be discarded as a fraud and not valid.

While blockchain is best recognized as the host or backbone of cryptocurrencies, it is much more than that, since innovation in this sector has resulted in several real-world use cases that benefit a wide range of industries.

Blockchain is used far beyond Bitcoin and cryptocurrency.

Did you know that？ Many large corporations are already using blockchain technology into their daily operations, with 81 of the world's top 100 companies utilizing this technology in some way. With both government and private sector investment funds driving blockchain innovation, this technology is increasingly being viewed as one of the most important creations of the modern era, with many experts predicting that blockchain technology will be the driver of future innovations, similar to how the Internet emerged in the 1990s.

Let us delve deeper into the benefits that blockchain delivers to many industries and why blockchain still has huge potential to impact these sectors.

“Cryptocurrencies are a single-use case for blockchain … blockchain has incredible upside and potential to reshape the entire fabric of the economy.”

- Steve Sammartino, an economist and futurist.

How Is Blockchain Being Used？

1. Cross-Border Payments

Money transfer has always been both expensive and slow, particularly for transfers across international borders. This is because when different currencies are involved, the transfer process necessitates the cooperation of multiple banks in multiple places before the money can be sent to the intended recipient. There are current services that help expedite this procedure, but they are usually quite expensive.

Blockchain technology has the potential to provide a significantly faster and less expensive alternative to traditional cross-border payment systems. While traditional money transfer fees can be as high as 20% of the transfer amount, blockchain transaction fees are often a fraction of that, with assured and real-time transaction processing rates. This is one of the most promising and widely discussed applications of blockchain technology.

2. Supply Chain Uses

The supply chain is critical for many firms in a variety of industries. Blockchain technology is already being utilized in a variety of industries to maintain supply chains and secure their functionalities and effectiveness by eliminating human participation and the possibility of error, particularly when complex and multi-layered procedures are involved. The data cannot be manipulated by a third party, which reduces the possibility of corruption and manipulation.

3. Identity Management

Identity security has been one of the most difficult consequences of the internet age. There are always attackers or hackers out to steal and cheat individuals. Blockchain provides unbreakable security by utilizing separate verification procedures that occur across member computers on a blockchain network. For example, blockchain might be used to help store voter information and ensure the smooth operation of the voting process. Blockchain technology could be utilized to safely and efficiently transmit user data across platforms and systems. The system might also be used to keep and secure records of real estate ownership, titles, and other information.

4. Healthcare

The use of blockchain in medical records helps to assure accuracy, privacy, and security. Human mistake, such as a weary medical staff accidentally prescribing the wrong dosage or type of medicine due to a mistyped record key, can be prevented. Blockchain also ensures that digital health record data is secure and accessible only to those who are authorized to access it at the time they need it. When healthcare specialists need to refer to a patient's previous medical record, they can do so promptly on the blockchain, where records are permanently preserved without any fabrication by any party at any moment.

We are all familiar with the MySejahtera mobile app, for example. MySejahtera's digital vaccination certificates are secured by blockchain technology and include a traceability feature that identifies the specific batch of the vaccine vial used for our immunization. Because blockchain technology is used to ensure its legitimacy, the immunization certificate cannot be reproduced. Blockchain technology is safe and secure, and the authenticity of the Covid-19 immunization certificate is assured.

Conclusion. Were Still Very Early.

As we can see, the utility of blockchain extends beyond the initial implementation intended, and new applications for blockchain develop on a daily basis. Various individuals feel that blockchain can bring solutions to many problems by reducing the danger of hacking and data manipulation.

We can consider blockchain to be as important to data as the internet is to information transmission. This is a field that has yet to be completely studied, with an extremely large variety of possible applications. Whether we are directly involved in the digital currency field or not, we must learn about blockchain and how it may be utilized to revolutionize the world so that we can be a part of this exciting breakthrough. More comprehension and information will enable us to examine the principles that demonstrate blockchain is a long-term development case.

As an investor, the current cryptocurrency or digital asset bear market conditions may appear discouraging, but a greater understanding of the underlying technology and fundamentals will assist to keep in mind that the potential upside is enormous once blockchain use increases. The current global adoption rate is expected to be little under 5%. There will be lots of learning and investment opportunities between now and broad adoption.