- October 9, 2019
- Posted by: Ramkumar
- Category: Strategy
Blockchain is not cryptocurrency
Blockchain has been in the news frequently for quite a long time. Yet we have still not been able to capture the real essence of what the technology can provide.
The unique strength of the distributed database is in authenticating information in order to enable trust between the partners.
We often confuse Blockchain with cryptocurrency or believe that Blockchain’s primary use will be in Financial transactions.
Blockchain value proposition
- Blockchain can enable collaboration among organizations within the private and the public sector. It can improve customer experience in unique areas from Government services to tracking of the gasoline.
- It can enable full digitization because it enable exchange of information within government departments and also between government and private companies.
- Its true value lies in authenticating stuff that moves between different partners. The things can be a physical product like a diamond or a digital one like data.
- With Blockchain one can build a system that allows tracking shipments from their source and can help stakeholders ensure the shipments reach the right people.
- It can also allow artists to register and track their own paintings. If the painting features and the ownership records are stored in Blockchain’s database, buyers can be assured that the paintings they have bought are genuine. Companies can also issue tokens to certify the ownership of the painting.
- Blockchain’s architecture can secure data and can be used in combination with Artificial intelligence.
- For instance, if Artificial intelligence algorithms are used to discover brain hemorrhage in scans without invasive procedures then the algorithm needs preliminary data. This preliminary data can be collected from hospitals and then stored in the Blockchain’s database.
- One can validate the accuracy of the data so that the algorithm will have a higher probability to diagnose the patient correctly. In this case, researchers are not entering the patient’s data in the Blockchain but only the analytical inputs that allow AI to make the right decisions.
- It works in the background and hence user’s experience will be easy as they do not require technical knowledge. The end users ideally interact with smart screens, apps or websites to resolve their requirements and Blockchain enables this interaction to happen by sharing data across multiple users.
- Blockchain can act as a collaboration tool among organizations. As data and information stored in the Blockchain’s structure cannot be tampered, it can be used to store data about agreements that the companies have entered with each other. The agreements can be executed and automated even when the partners are not trustworthy.