Small businesses are quickly adapting to the impact of cryptocurrencies and are revolutionizing the way financial transactions are carried out. If you’re one of them, use of this technology doesn’t need to be limited to digital payments. The real power of cryptocurrency lies in its fundamental technology called blockchain. Blockchain has the potential to revolutionize multiple industries, from health care to agriculture.
Elimination of Paper-Based Transactions
Many industries still use paper for important transactions and record keeping, exposing businesses to possible disputes over inaccuracies and fraud. Blockchain technology can eliminate these issues and provide data security with smart contracts that make recorded information permanent, traceable, and completely transparent. Blockchain can effectively eliminate paper-based transactions in several different ways:
- The health care and pharmaceutical industries deal with a huge amount of sensitive data and need a secure, reliable system to handle it. Blockchain can offer such a system and play a vital role in reducing health insurance fraud.
- The Indian states of Andra Pradesh and Telangana have already started to adopt this technology to streamline the efficiency of real-estate transactions, resulting in the elimination of paper-based land transfers and fraudulent cases. Additionally, Bajaj Finserv uses a blockchain-based system to automate travel insurance claims, where it receives flight delay information and automatically calculates and refunds its customers.
- The banking industry has adopted blockchain to increase the operational efficiency of financial services, providing an enhanced user experience to clients. Yes Bank created a multi-nodal system that digitizes vendor financing. Using this system, the bank can process timely payments automatically without any paperwork. The transparency of the system also allows for real-time transaction status tracking.
- Employers, students, and employees can benefit from a blockchain-based system that accurately records the educational qualification and job experience of students and employees. This simplifies and secures the verification process of potential job candidates for employers.
Supply Chain Management
Blockchain technology can be used for real-time monitoring of the supply chain in B2B transactions. Such a system can accurately track the movement of products at every stage and ensure accountability, quality, and proper delivery of products. Increased efficiency can potentially save lives if a famine or food-borne disease breaks out. It can also help farmers by ensuring that good quality seeds, fertilisers, and medicines are delivered. The pharmaceutical industry can also benefit, where the transparency of the supply chain will ensure that no imitation drugs enter the market.
Crucial agricultural data, such as seasonal crop, climatic cycles, and soil testing data can be stored securely in a multi-nodal blockchain application that can be accessed by farmers, insurance companies, marketing agencies, and researchers. Data security and accurate data delivery results in good yield and better schemes for farmers, thereby boosting the agricultural industry.
Reliable Electronic Voting Machines
Electronic voting systems can be tampered with and may result in electoral fraud in many countries. Even absent tampering, EVMs are blamed for poor election results. Introducing blockchain technology into EVMs can reduce this risk and ensure clean and accurate polling results.
The Indian government has taken the above cases into consideration for its blockchain initiative called IndiaChain, which aims to improve the efficiency of major industries in India and implement effective e-governance. The initiative will be combined with IndiaStack to introduce blockchain for Aadhaar identity verification and management, as well link Jan-Dhan accounts with mobile numbers and Aadhaar. With your small business, you can go beyond cryptocurrency and take advantage of the potential of blockchain technology.