What 3 Key Industries Are Being Affected By Blockchain Technology?
Blockchain technology; it’s the reason why there exists today a slew of various cryptocurrencies. Thanks to its decentralised nature, no one entity or corporation has control over the machinations of blockchain technology. There is no singular server sitting in one location handling all the transactions. As a result, many deem blockchain technology to be safer and faster; in essence, a more streamlined system for the day to day exchange of information and value.
It also means that the applications of blockchain technology can transcend the world of cryptocurrencies to become useful and effective in various sectors of society. These sectors include and are not limited to entertainment, infrastructure, healthcare and the public sector.
Below is more detail are 3 of the key industries being affected by blockchain technology.
Music, video streaming, gaming, sports management, gambling – all stand to benefit and evolve thanks to blockchain technology. In terms of music, blockchain is being used to create smart contracts so that content creators can receive fairer revenue shares based on pre-determined licensing agreements. Video streaming could see content being exchanged for an applicably made crypto coin while the cost of video traffic could be reduced by decentralizing content distribution, storage and video encoding.
By way of a blockchain’s distributed ledger, gamers can rely on a singular character, avatar or skillset across various digital worlds while sports fans can literally invest in and fund their athletes while earning returns. The transparency gap between the consumer and the business can be tremendously reduced in the online gaming and entertainment sector and this means companies can run a tighter ship while their customers enjoy a greater degree of privacy.
If there’s one industry that’s really going to be shaken up by blockchain technology, then it’s the financial services industry. The sheer scale, magnitude and ripple effect of blockchain will affect accounting, loans and credit, insurance, crypto exchanges, banking, crowdfunding and more. The banking sector alone which accounts for $5T + can see its services such as payments, settlements and clearances tremendously disintermediated. This could amount to these institutions seguing their resources for forex and crypto trading to possibly offset future losses. Blockchain technology can also improve the process of buying, selling and trading stocks through automation and security.
Travel and mobility
Cars, trucks, planes, and even aerospace all stand to benefit from blockchain technology. The production process of automobiles stands to become even more automative. One such example is the recording of parts for the prevention of fraud. When it comes to car rentals and sales, the process is laden with paperwork and administration. With blockchain renting a car can be as simple as “click and sign” whereby the sale of a car can be streamlined thanks to automatic history checks. At the moment companies like Uber use complicated algorithms while paying their drivers a fixed rate. With blockchain, riders could establish their own rates and even build their own transport companies without being reliant on a corporate entity.
The sale of airline tickets can also be streamlined whereby a physical ticket becomes a token. Thus, as opposed to all the admin employed in booking a ticket – names, birthdays, credit card numbers, immigration details, destinations, and more – blockchain allows for all this to be folded into a digital token, thus cutting settlements down from days to seconds. In addition to this, aircraft maintenance, the prevention of overbooking, and other streamlining initiatives are all made possible with blockchain technology.