7 Uses for Blockchain Technology

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Blockchain technology is at the core of crypto currency and pretty much all of the different coins out there.  You can read plenty of our articles both here and out on the internet that show how different minds are looking to leverage the technology.  This is one of there reasons there are so many variateions of crypto currency, truly enough to make your head spin.

The scalability goes much further than cryptocurrency though.  Blockchain as a technology looks to go much further as being the infrastructure upon which to build digital money. Blockchain technology is a powerful invention that can be tailored to be used in several niches of life and business. Some of the key p;aces where the technology is already making great headway include:

Personal ID Protection

The internet has revolutionized our lives and goes down as potentially the largest invention in human history.  It has changed the way we think about and process information.  It has given the freedom of information to people all around the world.

These freedoms do come at a cost.  An explosion has been seen in identity theft. Due to the free and ungoverned nature of the internet, millions of people have fallen victim of identity theft from online criminals.  These digital bandits hijack these identities to use for financial gains!  These days it is   frequent occurrence  to see hackers break into the systems of large online retail chains and steal the identities and credit card data of millions of people.  To this date, Lifelock has been our best defense.  I have been their customer for some time.  But Blockchain also offers a great opportunity.

This exploitable section of the internet can cause pain, but Blockchain may have the solution.  In it’s being, blockchain technology is very difficult to corrupt and hijack.  Much of it relies on small sections of script that are only accessable to the end user.  We are already seeing startups begin to leverage the field by offering users an absolutely secure decentralized means of identification. If these ideas become well funded and are taken mainstream by the industry  we could see a time where people no longer need passports or other paper IDs to travel.  Identifying yourself at the bank will become easy.  With blockchain technology, it is completely possible to create an impenetrable defense for anyone’s identification.

Contracts

There are many types of contracts.  In fact, for any major commitment, we sign contracts and agreements.  These agreements outline an expected execution between two transacting parties. These contracts can often run into  problems due to a number of things, including human nature.  It is common to hear salesman and prospective homeowners alike complaining about contract issues.  We  often back out of a deal, or try to change its terms to our favor once it gets rolling. There are even times when the person given charge of the drafting the contracts (i.e. the lawyers) are found to be biased against one party or the other, which creates a huge problem for businesses.  Normally contracts need to be upheld as law if a sector wants to thrive.  The lack of trust between businesses and weaknesses of contracts have ruined many a business or individual.

Blockchain technology has introduced the idea of Smart Contracts and placed them into action. Smart Contracts are a few lines of instructions that are attached to a payment between parties.   I will do my best to simplify how that works.

The sender of the payment attaches a certain condition under which the payment will get finalized.  Once this contract is put into play neither the sender of the said payment nor the recipient can change the conditions set. And should the recipient fulfill those set conditions, the contract is automatically executed. The main advantage of Smart Contract is that it is able to create a safe buffer-zone where business can thrive, by creating trust where none existed before. Essentially it provides escrow services for us by holding money and individuals accountable over millions of decentralized connections.  These escrow applications have seen many adoptors. Po.et, one of my favorite alt coins to research is known for applying this to digital media.  Kodak, for what it’s worth, claims to want to use blockchain technology to safeguard and escrow digital images. 

Asset Exchanges

The world has become much more global in the internet age.  Where trade in the past was unheard of, we now have smartphones that complete the job for us in anywhere from 1st to third world counties.  In the past, only stock exchanges existed as the sole public spaces where people could invest their money in publicized assets. With the advent of cryptocurrencies, we have seen the creation of cryptocurrency exchanges.  These are the exact parallels of the stock exchanges, only in their case, they purely deal with the buying and selling of various kinds of cryptocurrencies.  You can read more about this here.

It is important to note that both stock exchange and their cryptocurrency counterparts have had their own sets of issues with access.  Even with the advent of the internet, it is still difficult for some individuals to invest in certain countries based on investment regualations.

Blockchain technology has brought ease to asset and digital trading.  With decentralized exchanges like Coinbase, Binance, and recently Robinhood the investor now gets instant and unfettered access to buy in or invest.  With the uneasy relationship of the Crypto industry and many governments around the world, decentralized cryptocurrency exchanges make it impossible for any government to fully crackdown on them.  We have witnessed in China where the government shut down all its major exchanges, yet many Chinese citizens still hold a number of assets online..

Elections

When it comes to governance and upholding the free will of the people in democratic societies, blockchain technology has come in handy.  The United States has companies working on secret contracts.  These assets are developing strategies for world elections and how to keep them fair.  Voter fraud is an issue in many countries.  There really aren’t any exceptions.  We have seen claims of voter fraud from Caribbean countries all the way up to the United States. These fraudulent activities can come with serious conflict in lesser established countries.  It is not uncommon to see military takeovers and wars when such things take place.

These fraudulent activities can come with serious conflict in lesser established countries.  It is not uncommon to see military takeovers and wars when such things take place.  Elections are often blatantly rigged in favor of the incumbent.  This is a nightmare that the blockchain technology can easily solve.  By tokenizing the election process, eery transaction (and in this case vote cast) is guaranteed to be genuine as the voter’s ID.  Once this ID is verified on, a vot may then be cast.  It cannot be duplicated or tampered with.  The expense of such an endeavor is another story.

Money

Money and wealth are the most obvious applications for Blockchain technology.  To date they’re also the most mature uses of the application. Blockchain has engineer a totally decentralized digital asset to which people from all over the world, regardless of geographic location, can invest.  This can happen almost instantly with little or no cost.  This has been the blockchain technology’s greatest success so far and the reason for so much early investment.  Even companies like Long Island Iced Tea, who notoriously changd their name to Long Blockchain, can tell you the financial value that is being perceived for the technology. From Bitcoin to Ethereum to hundreds of other new cryptocurrencies, this industry within the space of just 8 years has grown from nothing to be worth in the tens of billions of dollars.

Insurance

The insurance industry has been held back by a number of things.  In the automotive industry, they have been hit with larger distracted driving claims, lowering profitability.  Due to texting and driving, insurance had it’s worst year in recent memory in 2017.  In homeowners and renters insurance, the industry has been cribbled by an ever increasing number of natural disasters.  There may not be many things we can do to help the insurance insudustry in auto and title, but blockchain technology hopes to help an industry erase decades of being behind in the technology section of the business.

 With increasing claims have come an increase in disputes.  Both the insurer and the insured often complain bitterly about one another, with the insurer accusing the insured of falsely claiming benefits while the insured accuse insurers of manipulating their coverage and cheating them out of their rightful benefits. The relationship can be an uneasy one, and this unending mutual distrust is why the insurance industry is among those with the highest rates of litigation. With the use of blockchain technology, all these problems could be solved seamlessly and sanity will be restored to what has been a constantly rowdy field. Due to the immutability of blockchain contracts, the insured will be rest easy knowing that they will receive instant payment of their benefits as soon as their conditions warrant.  On the other side insurers can know that all payments they make are for genuine reasons as the insured cannot manipulate the standing conditions that will trigger payment.

Smart Energy Grids

Another crucial place where blockchain technology is bringing much needed improvement is in the field of energy consumption.  Climate change is becoming more of a consistent topic in today’s world.   As consciousness increases, the goal of many companies in the industries has been to reduce the cost that comes with their energy consumption as much as possible, while also being less harmful to the environment.  The idea and creation of Smart Energy Grids has come to be out of this need.  At the end of the day, we want to be as optimal as possible in our operations. By leveraging blockchain technology’s famous incorruptibility, whole energy grids can be designed to be self-managing where consumption can be monitored and smartly distributed across it’s patrons. Consumers under this atmosphere will be guaranteed that every bill they get is exactly for what they consumed in power. Energy providers will get a highly efficient grid where energy is effectively distributed efficiently and costs and consumption levels lower.

Blockchain technology is exciting, and over time it is likely that the technology will grow to much more than the seven verticals we listed today.