Blockchain technology was created in 2009, and even then, it was clear that the potential of its applications went beyond cryptocurrencies. Even now, almost 15 years later, the list of blockchain applications is constantly updated with new breakthrough developments. And if you're thinking about building your own software application, it's time to learn more about blockchain technology and how you can get the most out of it.
So, let’s start with the basics: what is blockchain, and what makes it up? How could blockchain for real estate be implemented, and what are the benefits of this technology? Are there pitfalls that you should know about? The more you learn about how to use the blockchain, the deeper you have to dive, so take time to find all the answers, and feel free to reach out to professionals who can guide you.
Blockchain: The Basic info to start with
When we say “blockchain”, we mean a distributed record on a shared open database. There is a network of computers (they are called nodes) that maintains this record. And when it comes to protection, there is a symbiosis of cryptography and encryption protocols. If we look closer, we understand that a chain of blocks, that are listed in chronological order, contains the following information:
- Data (or payload) itself. It could be any data, e.g., text documents, images, transactions, music files, a list of passwords, a list of properties for rent, etc.
- A timestamp that helps us to understand when exactly the block was created.
- A string of numbers - a hash value that identifies the block.
- The hash value that was used before.
It is easy to understand that once you change any of the data in the block, all the following blocks change too.
Benefits of Blockchain in software development
There are plenty of blockchain application examples, and it is not a secret that the demand for new products is growing. The key benefits of using this technology include:
- ecentralization - the third party is not needed when it comes to P2P (peer-to-peer) transactions.
- Transactions can be successful even when you deal with individual parties that are unknown to each other. There is no need for trust in them because there is trust in blockchain software development mechanisms.
- The technology is reliably protected against fraud, so you can be sure that your data is secure.
- As all members involved share the same data, the processes are as transparent as possible.
- The contracts are executed automatically.
- Whether you deal with tangible or intangible goods, you can track them.
Therefore, understanding all these benefits before you hire blockchain developers from a reputed software company would make a lot of sense.
Let’s dig deeper and learn how blockchain helps various industry verticals with examples.
Blockchain for Real-estate
If you have never dealt with blockchain technology before, you might not know that it can impact real estate processes. Actually, there are plenty of ways to buy and sell properties. For example, you can forget about traditional contracts since they could be easily replaced by smart ones. It also means that you no longer need real estate agents, lawyers, or any other third parties.
Property sellers have an opportunity to tokenize their assets, e.g., when they divide them into smaller pieces and attract small investors. Besides, blockchain technologies allow renters and buyers to pay for properties with cryptocurrencies.
What we really love about this technology is that you can expect higher investment and liquidation opportunities. Leverage the chance to transform current renting and property sharing systems!
Blockchain for the Healthcare industry
If you're in the medical industry, the chances are you're well aware of the disadvantages of accessing, tracking, and maintaining patient health data. There are really a lot of them. First, often such information is not stored in a centralized location. This means that obtaining a complete picture of the patient's medical history becomes a challenge. If you want to find a specific person's medical records, you'll need to search by examining the records of different healthcare providers. Obviously, the issue of security here is also very acute because each company has its own security policies and procedures for which they are responsible.
The good news is that these problems can be forgotten when companies using blockchain. Whether it's information about a doctor's appointment, an X-ray, a prescription, or any other medical data, the blockchain can securely store such information. The exchange of data between different medical organizations is also simplified. Of course, patients can also access the information they need and decide with whom they are willing to share access.
Blockchain for personal identity management and security
When you’re about to receive services, sell and buy in the marketplace, visit the doctor, or when you own property or vote, it is paramount to be able to prove your identity. If you don’t have such an ability, you’ll surely be left out of the system. Actually, even such day-to-day activities as buying alcohol or driving a car are not accessible when you can’t prove your identity.
At the same time, the more we move our lives online, the more vulnerable our personal identity becomes. That’s where blockchain can help, it prevents identity thefts and protects your personal accounts from hackers. Blockchain technology provides decentralized identification that is separated from banks, government organizations, etc.
Blockchain for voting
There are companies that use blockchain opportunities to create new systems for voting. For example, Follow My Vote uses for blockchain to solve corruption, fraud, and security issues, and to provide access to sites.
When a database is centralized, there is no need to be suspicious about entities that hold votes and count them. Votes just aren’t stored by one entity; people can use a transparent shared database, and this prevents fraud. One vote - one id, and it is not possible to copy this data.
Moreover, as blockchain is a digital technology, people can use their smartphones or other personal devices to vote. Forget about transfer issues, waiting in overcrowded lines, etc.
This blog has gone through the significance of Blockchain in software industry and how it plays key role in various industry verticals. When we speak about various blockchain software development services, it is necessary to understand that their potential is not limited. Whether you’re about to develop an Internet of things application, an insurance app, a media app, etc., you have a chance to realize your bravest ideas!