As a result, the technology has been researched, tweaked, tested, and implemented. It is a viable solution to the existing flaws within various industries. This is evident in the number of blockchain-related startups. Their primary objective is to tackle specific challenges in various sectors. Furthermore, the unprecedented increase in the number of blockchain-related job offers is another indicator of its importance.
Clearly, blockchain technology cannot realize its impressive features in the existing traditional systems where flexibility, transparency, and security are in no way a guarantee. Prior to its emergence, a central entity controlled – and often still does – traditional databases.
This structure is prone to attacks and system failure, as well as the loss and the manipulation of data. Consequently, it costs an enormous amount of money and resources to keep these systems running and to protect them from prying eyes.
Then came the blockchain era, where encrypted data was loaded onto a distributed ledger available to all of the network’s participants, thereby creating a trustless and immutable peer-to-peer network. Consensus mechanisms that govern the network’s validation process and promotes decentralization while ensuring that data and transactions are tamper resistant augment its distributed nature. Undoubtedly, blockchain technology’s impressive functionalities perfectly suit the operations of critical industries.
Therefore, it’s not surprising that several industries are accepting the use of blockchain in optimizing their operations. Experts estimate that the influence of the technology in these industries will increase exponentially. What’s more, experts estimate that the global blockchain market will be worth a whopping $20 billion by 2024. This estimate highlights the growing influence of distributed ledger technology in the way we live.
Other industries are picking up pace
Apart from the financial and banking sector, which have witnessed the disruptive nature of blockchain technology firsthand, other industries are starting to see the potential of blockchain-enabled systems. One such industry is the healthcare industry, which is currently showing a surge of such projects for fine-tuning and improving healthcare services and systems.
As a result, it’s becoming easier to create and maintain a tamper-resistant and secure database for patients’ medical histories. Also, the colossal effects of blockchain technology in the healthcare sector have resulted in time-efficient, reliable ways of accessing diagnoses.
Furthermore, the blockchain movement is garnering lots of attention in the energy industry, particularly in the renewable energy sector. The demand for renewable, clean energy is on the rise; however, when it comes to the establishment of a sustainable global renewable energy market, the technology seems to be in the thick of things.
With the help of blockchain technology, the quality of transactions and data records in this sector is attaining premium status. More importantly, smart contracts efficiently get rid of the middleman while reducing the cost of generating and accessing clean energy.
The above-mentioned effects of blockchain technology are but a few of the many ways this technology is revolutionizing critical industries. To get a bigger picture of blockchain technology’s impact, check out the link below to an informative infographic.