3 Major Industries Being Transformed by Blockchain Right Now 5 876

When we think of blockchain and cryptocurrency, we don’t necessarily think about industries like healthcare, human resources, or music. But while the blockchain exists to log all cryptocurrency transactions, the implications of its efficiency and immediacy are wide reaching.

Often more easily understood as a global spreadsheet that runs on millions of computers, updating everywhere in real time, transactions are visible to all, peer to peer, with no unnecessary third parties.

So far, the major areas to benefit from this technology have been financial institutions and technology companies, with IMB investing in cloud services to create custom blockchains for customers. But demand is on the rise. By 2022, the market  for blockchain related products is estimated to reach $7.7 billion.

More industries are trying out the technology to see if they can enhance efficiency, transparency and security, at the same time as staying competitive and up to date. Check out these three major industries being disrupted by the blockchain right now.

Music

You might be wondering what efficient record keeping has to do with the music industry. Well, it’s something about righting the wrongs caused by music streaming. When users could download or play any song they felt like thanks to file sharing programs like Napster, many artists and recording labels suffered losses along the way.
Blockchain is about to change all that. By using smart contracts, music can still be distributed, but ensuring that profits find their way back to the artists. Furthermore, artists can sell directly to the consumers, which will cut out middlemen from the loop. Labels, lawyers and accountants will find themselves pushed to one side, as smart contacts pay out royalties automatically.

Healthcare

When it comes to healthcare, blockchain technology can can establish a clear protocol on the sharing of patient data and ensure the integrity of all electronic medical records (EMR). This would make sure that any breaches of data were held accountable for and make any tampering of documents impossible.

But what about keeping private medical information private? Well, the information is stored as encoded metadata, which patients can access when needed through their providers, but can’t be decoded by any would-be hacker. Blockchain companies are also beginning to create family medical histories for patients, so that they can have them handy when needed and pass the information down from generation to generation.

We’re a long way off full scale adoption yet, but with so many inefficiencies in this large area, blockchain may just be the way to simplify an over complicated industry.

Human Resources

There’s an awful lot of hard work involved with working in human resources. Many HR professionals find themselves taking up a lot of time just verifying candidates’ backgrounds, employment histories and references. But, these time-consuming tasks could be eliminated by blockchain, leaving HR executives with the time to attend to higher priority tasks, such as training and onboarding meetings.

Moreover, when it comes to paying employees internationally, it’s historically a headache. Sending payroll overseas involves currency exchanges, delays, and getting around a lot of red tape. Blockchain, again, with its power to cut out the middleman, can make transactions simple and easy, avoiding all these problems.

Bitwage is a company making waves in the HR industry, as its blockchain-based payroll system facilitates international payments. Companies can pay their employees and contractors through Bitcoin in their preferred currencies, and the blockchain can take care of the conversion rate.

These are just three industries that are staring at the possibility of a brighter, more efficient and transparent future. But, whatever industry you operate in, the ramifications of the blockchain will almost certainly be felt. So, get ready for some interesting times ahead.

Previous ArticleNext Article
Christina is a technology and business communicator who has worked with high profile ICOs and blockchain influencers to break industry news.

5 Comments

  1. I know this if off topic but I’m looking into starting my own weblog and was wondering what all is needed to get setup?
    I’m assuming having a blog like yours would cost a
    pretty penny? I’m not very internet savvy so I’m not 100% positive.
    Any tips or advice would be greatly appreciated. Appreciate it

  2. I’m curious to find out what blog system you happen to be utilizing?
    I’m experiencing some minor security issues with my latest blog and I’d like
    to find something more safe. Do you have any suggestions?

  3. Hello there, I discovered your web site by the use of Google
    even as looking for a similar topic, your web site came
    up, it appears to be like great. I’ve bookmarked it in my google bookmarks.

    Hello there, simply was aware of your blog via
    Google, and found that it is truly informative. I’m going to be
    careful for brussels. I will appreciate should you proceed this in future.

    Many people will probably be benefited from your writing.

    Cheers!

Leave a Reply

Your email address will not be published. Required fields are marked *

Real Estate Doesn’t Need to Be So Complicated 11 2357

Because blockchain is basically data management, one industry it stands to improve a great deal is real estate. The process of buying and selling real estate is first and foremost a data transfer. There were $463.9 billion in large cap commercial real estate investments nationwide in 2017. All that money moves paper. Since land cannot actually be owned, the idea of land ownership must be exhaustively documented, organized, purchased and sold. The myriad processes that make up one transaction, namely title transfers, putting funds through escrow, and navigating an outdated MLS system, all stand to benefit from a technology upgrade.

Blockchain could quicken and simplify these processes by virtue of its transparent, untamperable and near instantaneous handling of data. “What if you could irrefutably determine who previously owned a property, record with absolute certainty who the new owner is after it sells and reference the blockchain at any time to verify all previous owners?” asks Mark Rutzen, Co-founder and CEO of Eondo Inc.  “Even the combination or splitting of parcels would be easy to record with blockchain technology,” he adds.

Moving into the future of real estate, particularly commercial real estate and investment, will soon mean embracing the block. Here are some of the ways blockchain is changing real estate.

Financing Developers and Investors

For anyone in real estate investment or development, the most glaring obstacle is getting the upfront capital when you find a good opportunity.

“Real estate investors and developers are turning to new technologies like blockchain smart contracts to find more liquidity at lower costs,” says Joseph Snyder, CEO at Lannister Holdings, an Arizona-based technology company working to create more blockchain lending and crowdfunding tools through their Lannister Development subsidiary.

Lannister is publicly traded and regulated by the SEC, which is uncommon for a blockchain company. But Snyder sees it as an inevitability in the long term. He anticipates a future where blockchain real estate regulation is the norm, and blockchain development like Lannister’s is part of mainstream business development and commerce.

“We wanted to be heavily regulated up front,” he says. “We believe regulation and financial compliance are coming down the pipe.” And, according to their website, they “see a future of security, transparency, and growth beyond the stale oligarchy of traditionalists.”

Systems like this give access to capital to smaller investors and developers who don’t have a lot of capital to work with up front. In theory, this could level the playing field.

Real Estate Professionals Worldwide Are Developing a Blockchain Future

Others are envisioning a near future where you could buy a house with a click on a shopping cart icon. If blockchain can clean up the real estate process enough, it could do more than just disrupt the industry. It could give it a total overhaul.

The P2P nature of blockchain enables faster sales and a higher volume of deals closed with fewer legal headaches and administrative fees. It also means a trustless economy and immediate processing of property values and other technical details, like zoning regulations or utility expenses.

Organizations like the International Blockchain Real Estate Association, or IBREA, are dedicated to incubating the many possibilities produced by the intersection of real estate and blockchain. Local chapters of IBREA hold meetups in 23 cities for its 5,000 members to come together as professionals and co-educators, with the goal of moving the real estate world into the blockchain age.

According to Ragnar Lifthrasir, founder of IBREA, “real estate technology is going more peer to peer.”

“I think what people are missing with blockchain and real estate is the data problem,” he adds. “We have so much data in real estate. So to really do blockchain real estate well you also have to have a good data system, which is distributed file storage, or IPFS.”

Real Estate Without Headaches

With some real world testing to work out the bugs, blockchain real estate could take us into a future where we can buy and sell property as easily as we do a cup of coffee. With data properly arranged and the transactions secure and transparent, there will be no need for the systems currently governing the industry—nor the room for error, delays and complications they open up at every step.

For anyone with aspirations in real estate development or investment, blockchain promises to open a lot of doors.

DApp Frameworks Will Improve the Blockchain — Here’s How 381 5887

Scalability has always been a problem for blockchains, and it’s the main reason blockchain technology hasn’t reached mainstream adoption. Whether in blockchain fintech—where comparisons of the Bitcoin blockchain’s 10 TPS to Visa’s 24,000 TPS abound—or in other sectors blockchain has touched, this is holding many otherwise promising companies back from delivering new, innovative kinds of value to the public. While larger and better-resourced companies have managed to overcome this problem through sidechaining and/or sharding, there is no substitute for the real thing. DApp scaling frameworks may be a foundation to build widespread solutions to this problem.

What are DApps?

DApps (decentralized apps) use blockchain technology to deliver peer-to-peer value through product offerings, services, or new forms of value. Built on blockchain technology, dApps use its decentralized, trustless, peer-to-peer structure to let users transact between each other without a centralized authority through an encrypted medium (such as NASGO’s platform that we’ve reported on previously).

While this is an otherwise revolutionary solution to the problem of over-centralization, it comes with its own set of baggage. Imagine if every transaction or purchase you made had to be confirmed by a network of other people before completing. This, the consensus protocol—on which Bitcoin, Ethereum, and other leading blockchains are built—is one of blockchain’s greatest strengths, but also one of its greatest weaknesses. For any  blockchain to work as intended, every node participating in it has to confirm every transaction that happens on it.

On the positive side, this massively increases transaction immutability, verifiability and transparency. Unfortunately, it also makes transaction per second (TPS) speed very low. Slow processes usually don’t scale. And without scalability, blockchain technology cannot reach mainstream usage. Right now, only about 8 million people globally use any form of cryptocurrency. To reach mainstream usage, 800 million people must consistently use it.

It sounds like a chicken-and-egg problem, but the blockchain space is already developing resources to overcome this issue. DApp scaling frameworks are one way. They are bundles of code inside blockchain protocols that let distributed apps distribute themselves in a semi-scaled way, letting a blockchain scale improve its TPS and allow more transactions than ever before. Unfortunately, not many developers have access to these, and the few that do have only built the earliest versions of this technology, which brings up the question: is this really a workable solution right now?

What We Have Now

DApps are hard interact with. They’re slow, confusing, and rely on 3rd-party software which only the most sophisticated consumers can readily use. Yet the chief issue here is speed—the key performance measurement of all distributed systems is scalability, and without it, dApps have no real business case or value proposition, let alone any realistic user acquisition strategy. Yet there are fixes for this problem, but little implementation and even less progress on their collective maturation. They exist in five categories, below:

1. Low-Level Optimizations

2. Parallel Blockchains (“sharding”)

3. Homogenous Vertical Scaling

4. Heterogeneous Vertical Scaling

5. Heterogeneous Interconnected Multichains

6. Multilayered dApp development toolboxes

There’s not much to be said for the solutions in the first category. Most of them—consensus algorithms, PoS migrations, parallel processing on transactions and code optimizations in the Ethereum Virtual Machine—are low-level and impermanent band-aids to the deeper problem.

The best of the solutions in the second, third, and fourth categories are at this stage still in the proof-of-concept phase, being built almost exclusively by and for Ethereum and Bitcoin, such as projects like Plasma and the Lightning Network. These are getting the most traction here only because they’re developing out of Bitcoin and Ethereum, but are nontheless still are very early-stage.

The idea behind Plasma is to take smart contracts, give them self-governing alongside self-execution properties to let the Ethereum root chain essentially create buds or “shards”—tiny sidechains each monitoring one aspect of a transaction instead of putting that combined pressure on the root chain—to distribute consensus, letting blockchains dramatically scale their TPS. Lightning Network deals more exclusively with payments—it’s a second-layer payment protocol next to the root blockchain, using a peer-to-peer system to let users make cryptocurrency micro-payments. Both platforms are examples of how some blockchain companies are using secondary and tertiary parallel blockchains to scale their TPS.

Concepts like Polkadot—scalable heterogeneous multichains—provide foundations for later functionality in the area of relay-chains, where the goal is to build validatable, globally connected, frequently-changing data structures on top of these frameworks.

Companies like MenloOne—multilayered dApp development toolboxes—create and deploy digital tools for dApp developers to use when they’re building. They include:

  • A layer for communication.
  • A layer for governance (given lack of server admins to ban malicious users in a decentralized network).
  • A local wallet for smooth transactions (no more MetaMask popups).
  • A core layer, a network of content nodes which cache mirror versions of blockchain data.

These incorporate fragmented systems to make dApp development easier for professionals.

Together, solutions in these categories are working to help top blockchains scale TPS to thousands per second.To become adopted by the mainstream public, these frameworks will need to use a variety of different tools to make transactions effortless for blockchains to process.


What do you think about the scalability of blockchains today? Is it a problem for you or are you unaffected? And, what do you most want to see happen in this area of blockchain technology in the near future? Post in the comments below to let us know!

Most Popular Topics

Editor Picks