15 Use Cases of Blockchain across Various Industries
Blockchain has revolutionized the way industries function as it is no longer a kept secret. Over the last decade, businesses have utilized this technology to get better insights and streamline their operations. Bitcoin or cryptocurrency was the widely known example of blockchain technology, but today, the technology has made impressive strides across various industry verticals. While few businesses struggle to understand what is blockchain technology and how it can help businesses, others have implemented it on a larger scale.
In all quarters and circles, you’ll find real-world blockchain examples in play, from automobiles to healthcare to real estate and more. The World Economic Forum anticipates that 10% of the global GDP will be stored on the blockchain by 2025. It means the global executives are preparing for the seismic shift and ready to back its implementation on a larger scale.
The use cases of bitcoin might differ; however, the benefits that the technology offers remain unchanged: immutability, security, transparency, and redundancy. We’ve rounded up 15 use cases of blockchain across various industries for this pragmatic yet revolutionary technology.
Asian bank, a fintech startup, is making crypto-centric banking solutions mainstream by using blockchain technology at its core. It is a holistic platform for users with crypto assets looking for a place to store, transact, and convert cryptocurrencies into fiat currency. Asian Bank is a core banking solution that offers diverse functionalities such as wire transactions with crypto, wallet recharges, buying and selling cryptocurrencies, and other payments using Bitcoin and Ethereum.
Empire Hotel, a well-acknowledged hotel chain around the world, uses cryptocurrency for payments. It is a perfect real use case that combines the power of crypto with the hotel industry. Users can easily order rooms and services using fiat and crypto assets with EmpireCash. By introducing blockchain open source technology to the business model, the blockchain application development team overcame the customary challenges like double booking, incorrect data problems, and cost issues and entirely mitigated them.
Spotify acquired Brooklyn-based blockchain startup Mediachain Labs with the aim to develop solutions via a decentralized database to better connect artists and licensing agreements of the tracks on Spotify’s service. The peer-to-peer database is implemented to connect applications with media and relevant information about it. Also, Spotify offers an attribution engine for creators and a cryptocurrency that rewards creators for their work.
BMW, a luxury automobile company, runs a program with suppliers and plants in various countries- Europe, Mexico, and the US. The program uses blockchain open-source implementation technology to track materials, components, and other crucial parts across its supply chain. Bavarian Motor Works (BMW) is also a member of the Mobile Open Blockchain Initiative (MOBI), a consortium of auto manufacturers. MOBI recently launched a blockchain vehicle identity standard that gives new cars a digital identity. The major blockchain used are Hyperledger Fabric, Ethereum, Quorum, Corda, and Tezos.
Citigroup, an investment banking company based in New York, issued digitally its first letter of credit using trade-finance-focused blockchain Komgo. Currently, Citi is working with Goldman Sachs and thirteen other trading firms to automate the reconciliation process and matching of equity-swaps derivative contracts using Axcore blockchain. The company has moved its entire workflow to blockchain and is effectively reducing errors and operational costs while minimizing disputes over assets valuation.
Honeywell, a multinational conglomerate company, based in Charlotte, North Carolina, has developed a blockchain-based marketplace for used aerospace parts. Honeywell’s GoDirect Trade platform collects information about aircraft parts over their complete life cycle and makes it available to potential customers prior to the sale. In its first year, the platform processed over USD 5 million in online transactions. The platform uses a blockchain ledger to securely aggregate information from multiple sources, including competitors.
Chained Finance, an iPhone maker’s trade-finance venture based in Taipei, Taiwan, pays electronic suppliers using digital coins minted on the Ethereum blockchain. It meets the hugely underserved need for supply chain finance in China and supports industry and economic development. The spin-off project is created to connect non-banking personnel with suppliers who don’t deal directly with financial institutions.
Figure, a finance unicorn based in San Francisco, California, is another example of blockchain technology implementation. It has facilitated over US$800 million in home equity loans, mortgage, and student loan refinancings. In the last three years, Figure has launched a series of fintech firsts using the Provenance blockchain platforms for services like loans, private fund services, banking, payments, and loan origination. All documents are stored and algorithmically verified on the blockchain. The company aims to bring speed, efficiency, and savings to both consumers and institutions.
Google has integrated its BigQuery data analytics platform with Chainlink, allowing data from third-party sources to be used in apps built directly on the blockchain. The partnership helps process futures contracts, make transactions more private, and settle speculative bets. Also, Google launched a suite of tools on BigQuery making blockchain data for bitcoin and seven significant cryptocurrencies such as Chainlink, Ethereum, Bitcoin Cash, Ethereum Classic, Litecoin, Zcash, and Dogecoin Dash fully searchable.
Dole, a food company based in Charlotte, North Carolina, has adopted blockchain technology applications across all vegetable processing. Now, millions of pounds of lettuce, spinach, and coleslaw are processed using this technology. The company is focusing on more robust food safety along and is implementing product tagging and other traceability solutions across its three business divisions- fresh vegetables, tropical fruits, and other diversified products. Dole’s new level of traceability starts on the farm and ends at the grocery store aisle, allowing them to identify trouble spots in the supply chain.
General Electric is actively exploring blockchain technology applications through its aviation subsidiary. It focuses on record storage of an airplane engine, including all essential details of the manufacturing process and maintenance specifications performed. Airplane parts without proper documentation are not easily bought and sold, and GE is overcoming the issue by enabling quickly accessible records critical to productivity. The blockchain team has created a digitized paper trail in order to prevent airplane engines with incomplete documentation from sitting unused.
ING is using the decentralized trade finance platform Komgo to eliminate the delays and redundant documentation involved with issuing letters of credit used to finance trade. The first commodity trade on Komgo was made by ING in July 2019, which was powered by the Quorum blockchain. The Distributed ledger technology empowers customers to transition to a distribution economy and is used to settle international money transfers instantly. A USD 43 million letter of credit was processed and approved by ING Geneva in a couple of minutes for Mercuria Energy Trading SA.
HSBC platform uses a modified version of Ethereum and has conducted over one million foreign exchange transactions totaling USD 1.2 trillion. Another use case is the application of Contour, a blockchain that provides letters of credit to global exporters whose shipments reach before the loan documentation. HSBC FX Everywhere uses Distributed ledger technology to automatically settle these payments and enhance the customer experience by increasing efficiency, lowering risks, and reducing processing time and costs. Contour uses Corda blockchain to connect buyers, sellers, and trade finance banks to a sign shared ledger.
Nestle uses blockchain technology to gain more transparency in the food chain. The company uses a program based on distributed ledger technology to enable the end-to-end traceability of food in the supply chain. It allows users across the world to easily assess the responsible sourcing of facts and figures. Using blockchain technology helps prevent food waste, enables detection of food-borne diseases, sets up product recalls, and isolates contaminated breaches.
Optum, a healthcare company based in Eden Prairie, Minnesota, co-founded the Synaptic health alliance to explore blockchain in healthcare. The consortium includes other companies like Aetna, Humana, and Quest Diagnostics, allowing the members to view, input, validate, update, and audit healthcare provider data within the network. The aim of incorporating blockchain is to simplify the process of updating healthcare provider information. This helps clinics and insurance companies avoid rework and government fines due to errors or inaccurate data.
Hope you liked the above real use cases of blockchain in businesses across various industries. The above-shared list is a fraction of the thousands of blockchain application lists. Blockchain development company such as Pendentive is assisting business to switch to disruptive technologies such as blockchain to grow the real-world scenarios of blockchain applications. From fine art to logistics, it’s challenging to find a sector untouched by this disruptive technology. As predicted, the world will see mainstream blockchain adoption by 2025; however, considering the current adoption rate of blockchain software development, it can be assumed to reach before than expected.