Blockchain Technologies. Real Opportunities and Application Areas

We are now observing the hype around blockchain technology, which is becoming more confused. In pursuit of screaming headlines and hype, we should not forget to inform the audience about the practical benefits of blockchain for the average person. This article outlines several real-world areas where the benefits of blockchain implementation will be tangible and bring value to everyone.

1. Transport and Logistics

Any area where asset movement is used requires transactions transparency and traceability. With the help of blockchain, the development of these industries can be brought to a completely different, game-changing level. Distributed ledger technologies (DLT) are able to completely update the entire logistics infrastructure and add complete transparency and audibility of processes. To do so, it will be necessary to simultaneously implement both blockchain and IIoT (Industrial Internet of Things). In this case, smart sensors make it possible to track the state of transport equipment (provide predictive servicing) and monitor cargo in real-time. A commonly distributed register for all market participants with observance of access rights depending on the role (transport company, cargo insurers, cargo owners, transport equipment owners, infrastructure owners, government regulator) will allow the market to develop and step to a qualitatively new level of service provision.

2. Pharmaceuticals and Drug Circulation

Since the counterfeit medicines issue is very acute in many countries, it is one of the perfect cases for introducing DLT into the industry. Thus, to register and track each medical product, the manufacturers mark and register each product and place the data in a single ledger. Next, the medicines distribution network (pharmacy chains) is to be connected to the distributed register. It will make it possible to track the entire drug supply network and effectively set up supply chain in every region involved.

The best option is to be included in the public health network infrastructure. Then it will be possible to place hashed medical data of citizens in the DLT and remove the need for medical records of patients and drugs prescriptions because all pharmacies will be connected to the same ledger. Thus, huge paperwork will be digitized and transferred to the blockchain infrastructure. The main task for blockchain administrators of healthcare infrastructure is to separate access rights to the information stored in the ledger according to the roles of participants of medical products circulation market to comply with the principles of personal data protection.

Anonymized data on the levels of consumption of certain medications, the frequency of diseases occurring in the context of gender, territorial and age groups can be used by research institutes to conduct research. Blockchain technology will ensure the quality of the samples, while the use of the latest technologies will guarantee the reliability of researches. In the context of pandemic and post-pandemic restrictions, this technology will allow tracking the distribution of humanitarian supplies, vaccines, and other socially significant medications. The vaccination procedure using blockchain technology will also allow avoiding unwanted fraudulent actions associated with the issuance and registration of vaccination certificates.

3. State Queues and Registers

In this context, all data registers of individuals and legal entities can be placed on the blockchain. It is also possible to enter data on the available training certificates (validation of higher education diplomas, etc.), information on places of work (digitization of work records books, a unified base of employee work experience). The idea of ​​transferring all municipal queues (kindergartens, social housing, etc.) to a distributed register is also quite feasible. These measures may help exclude a corruption component, as well as providing incomplete or inaccurate data. In addition to the above, it is possible to use blockchain for maintaining land cadasters, real estate registers, insurance databases, credit histories, etc.

Thus, returning to the thesis asserted at the beginning of the article, blockchain in combination with other cutting-edge technologies (big data processing, Internet of Things, etc.) makes it possible to increase traceability and transparency in almost any area of the economy. As a result, it allows state institutions to enter new markets and attract more investment in the economy, which is very important at the moment.

The above three areas of blockchain application are the key areas that can change people's lives for the better by increasing the level and quality of daily used services. In addition to the above stated, there are many effective options to introduce transparency, immutability, and data security in almost every area and industry where people interact.

One of the examples of introducing blockchain technology into everyday life in Kazakhstan is Blockchain & Big data Lab, the subsidiary of Techgarden ACF. The team is able to implement projects, both in the state sphere and in the open market. B&B Lab is developing projects in tax administration, land management at regional levels, education, etc.

Author: Independent Director of the Skymax Technologies Group of Companies, A.Tokzhanov