Every Company will use Blockchain by 2030
Rising use of Blockchain Technology
Blockchain has proved to be a boon for global trade. The Bitcoin’s price reached nearly $20,000 in 2017 and the return on average ICO was well over 10 times. In fact, the ICO funding surpassed the traditional VC funding. Everyone today wants to join the blockchain bandwagon. Cisco’s finding predicts that blockchain will have a $10 billion market by 2021.
Cryptocurrency has shown how the use of virtual currency can help businesses increase their efficiency by introducing the basic element of ‘trust’ into the system. A report stated that 83% of top executives believe that the use of blockchain will definitely increase in the coming years. A report from Cisco says that the blockchain will be responsible for 10% of the world’s total GDP by 2027.
Today, almost all the top companies of the world want to explore the applications and use cases of blockchain technology. The use of the decentralized platform in industries has created immense new opportunities for users, service providers, system integrators and industry experts all over the world.
The use of blockchain technology has helped enterprises solve their three basic problems:
1. Transparency– the companies suffer a huge loss due to counterfeit cases. It is possible to trace the origin of a transaction, its location, and the ownership.
2. Complexity– the technology has removed the involvement of intermediaries and also lowered the cost of doing business. Suppliers of goods and services also benefit from the use of blockchain.
3. Security– the decentralized system has made the transactions safe and secure. Otherwise, in a centralized system, it was very easy for hackers to find loopholes and invade security.
It is estimated that 20 billion IoT devices will be online by 2020, more prone to hacking activities. Therefore, blockchain can prove to be a life savior for most of the business models.
Industries with the Maximum Blockchain Use Cases
Blockchain has presented opportunities which can revolutionize almost every industry. Let’s see which the ten industries are where there are maximum blockchain use cases.
- Financial service industry- the technology has helped them redesign the costly legacy workflows, free up capital, removed financial intermediaries, improved liquidity, reduced infrastructure costs, increased transparency so a reduction in fraud cases as well as improved execution and settlement times.
- Government sector- the use of blockchain has increased transparency and trust by reducing fraud. The govt use it in numerous activities like tracking election voting, asset registration such as vehicles and land. Microsoft is working with Accenture and the United Nations to prevent human trafficking using blockchain. The smaller nation Govts are looking for blockchain’s potential use in replacing their national currency.
- Real Estate- the valuation system can be made more accurate with the use of blockchain. the closing costs will reduce and there will be an increase in the trust in global record keeping. The paperwork greatly reduces and intermediaries are also not required. Ubiquity tracks title deeds and land records with its database of all US properties on a decentralized network.
- Insurance sector- the transparency, fast and secure services and use of smart contracts has revolutionized the insurance industry. B3i is the consortium of five European firms partnering on the blockchain initiative.
- Healthcare- the patient’s medical history can be safely stored and data sharing with doctors and healthcare providers have become easy. The information can be accessed by all from one place and the patients can also earn from their records for the sake of research. Patientory is a blockchain for electronic health records (EHRs).
- Media & Telecommunication- Instant payments enable almost instant delivery. The processes are automated, human errors are removed, and roaming and subscription identity fraud are also reduced. The payments are also settled immediately from wallet to wallet through the use of cryptos. The unit of Deutsche Telekom is a blockchain group.
- Retail & Manufacturing- the technology has ensured better supply chain management and the contaminated foods can be easily traced to their source. IBM is using blockchain with leading food suppliers to regulate food safety.
- Power & Utilities- the electricity can be traded similar to other commodities where the transactions and records are conducted within the blockchain network. Grid+ from Austin, Texas is using Ethereum in the retail energy industry.
- Diamond- the suppliers and intermediaries in the diamond sector have created ‘digital vaults’ in place of the paper certification process to determine the origin of the diamond. EverLedger from the UK uses a forensic approach to prove each diamond’s unique identity and tracks it as a digital asset stored on their distributed ledger. This ensures the buyers that they are getting an authentic, conflict-free gem.
- Travel & Hospitality- the information stored in a decentralized system can’t face the problem of accidental deletion or a malicious cyber attack. Therefore, travel transactions can be easily traced. The blockchain uses:
- Tracking luggage
- Identification– check-in and wait times are greatly reduced using biometrics
- Customer loyalty programs– information and points are easily accessed, distribution of tokens, fraud prevention
- Secure payments- Winding Tree is a global baggage tracking and booking service uses blockchain and doesn’t involve a third-party.
The future is blockchain and this becomes obvious from its tremendous use cases and the potential that the technology holds. Gartner Inc. estimates that the business value-addition of blockchain will be a little more than $ 176 billion by 2025 and will exceed $ 3.1 trillion by 2030. The IT service companies are seeing blockchain as part of their cloud and platform offering. Around 10% revenue of the IT service companies comes from the cloud. They can build security, AI, Machine Learning and Analytics on blockchain-as-a-service.