Blockchain appears to be a decentralized, distributive, and ledger which consist of the records known as blocks. These blocks are used to record the transactions made on cryptocurrency across the globe so that these blocks cannot be altered retroactively. With new advances in blockchain technology, it has become more beneficial for the different industries that want to bring absolute transparency in the transactions done by the management.
The blockchain uses hashes to store the data that make the blockchain safer and more immutable. The blockchain technology is primarily used for money transfers, payment processing, supply chain, data sharing, digital id’s creation, copyright, etc. There are numerous blockchain technologies like Agridigital, Grassroot, etc. which can help the NGOs, social entrepreneurs, and other industries to improve their system and protect their valuable data from cyber theft.
Blockchain Solutions for Social Impact
There are numerous blockchain projects which are making significant social progress. These projects improve the existing system of operation in the major industries. It is estimated that 1 in every ten people die of food contamination around the world.
The problem of food contamination rises because supply chains seem to be inefficient sometimes, resulting in food wastage. Moreover, the supply chain errors are maintained on a paper, which further makes the process slower and difficult to track. But if these records are maintained on the blockchain’s system, a significant improvement can be witnessed. Both the consumers and the producers can keep track of the product and check for its quality. Similarly, this technology can also be deployed in the agriculture sector to check the problems of food fraud, contamination, etc.
As per the recent survey, the blockchain can also be fruitful in the government sector. There are numerous instances of discrepancies in the electoral system of the government. The primary problem in the government is the lack of identification of the voters, but blockchain technology can eliminate this issue. The distributed ledger security of the blockchain makes it impossible to erase the citizen’s data when stored on the blockchain’s networks.
Moreover, the energy and climate sector can also enhance its existing grids both for the consumers and the utilities. The energy sources around the climate sector appear to get extinguished. Therefore, it becomes vital to store what is left. The blockchain creates microgrids that seem to fuel the peer-to-peer transaction of the payments in the energy sector. Moreover, the companies working in the energy sector can gain millions of users by using blockchain technology to improve their grids.
How to Trust the Blockchain Network?
It is human nature to be cautious and anxious while implementing new technology into their operations. Similarly, when introducing blockchain technology, it is vital to pay extra attention to the detail so you won’t face any problem in the near future. Here are some of the reasons to implement the blockchain technology into your organizational structure:
- Blockchain technology allows its users to trace and verify any transactions though its transferability feature. This proves to be beneficial for the NGOs and financial institutions who need to track their funds.
- The blockchain technology is immutable, which means that hackers can’t get access to the data. It runs on the cryptographic hashing, making any subsequent changes in the original data whenever it detects any unauthorized access.
- There is no requirement of a middleman in the transaction made through blockchain technology. This happens because blockchain uses smart contracts, which eliminates counterparty costs and risks.
- The blockchain technology can easily authenticate and identify the users. This can happen with a strong infrastructure with reduced costs. This feature makes it more useful for the underserved population and digital assets.
Hence, we can conclude that numerous industries can get benefits from the amazing features of the blockchain. There is also high resistance among the other players and industries to incorporate blockchain technology into their business. Similarly, with the advancement of technology, the industries should incorporate the blockchain into their business. It has the capacity to not only improve the social sectors significantly and also revolutionize them accordingly.