Top 10 Real-World Problems That Blockchain Can Resolve

Introduction

In the world of new real-life technologies, there have been a lot of technologies that have captured people’s attention. Blockchain solutions are one of them. It was initially developed as the foundational technology for digital currencies such as Bitcoin. But later on, blockchain evolved a lot. It now also offers solutions to numerous real-world challenges. It not only transforms the industry but also impacts the lives of its consumers. Blockchain has become instrumental in addressing some of the most pressing issues that were previously insurmountable.

In this blog, we will learn what are the uses of blockchain for businesses or daily challenges. Before delving into the top 10 real-world problems solved with blockchain, let's learn the basics first. What exactly is blockchain technology?

About Blockchain Technology

Blockchain is like a special kind of chain which is made of blocks. These blocks hold information according to certain rules. These chains are connected using secret codes. These codes are called cryptographic hashes. Blockchain is a type of distributed and decentralised ledger real-life technology.

"Fact: In 2023, the worldwide market size for blockchain technology reached $17.57 billion. It is projected to expand from $27.84 billion in 2024 to a remarkable $825.93 billion by the year 2032."

Blockchain helps in storing and keeping track of transactions and digital things. It does so by keeping it in a safe and secure network. There are special rules on how to store this information so that it does not get messed up or attacked. Today, lots of businesses want to team up with the best blockchain companies that come up with blockchain development services or provide dedicated blockchain developers. They do this to make special solutions that use this cool technology for what they need. There are many blockchain use cases as well to prove that.

10 Real-World Challenges Which Blockchain Solve

The practical use of blockchain is immense. Multiple problems with blockchain can be solved. Now, let’s look at 10 real-world challenges that can be solved using Blockchain:

1. Data Storage: 

In today’s digital age, anyone can access any information in any way they want. It has become a lot easier than earlier age. Platforms like Facebook and advancements in AI and ML create a lot of information. There's a ton of data being made because of them. As technology continues to evolve, the information continues to grow. But keeping all this information starts to get difficult. According to IDC, it's predicted that by 2025, there will be 163 zettabytes of data to store. Toda’s cloud storage services cannot handle this amount of information easily.

Blockchain might help solve this data storage problem because it's spread out and not controlled by one place. It can store a lot of information in a way that's safe and spread out. The information needs to be broken into smaller parts to be encrypted and uploaded onto the blockchain. This method makes the data accessible even when part of the network fails. So, this method is more efficient than cloud storage to keep the data intact.

2. Data Security: 

Data stored in a cloud system is vulnerable to security breaches as it is kept in a centralized unit. With blockchain’s decentralized nature, the safety and speed of cloud storage can be increased on many levels. Data stored in blockchain cannot be tampered with or stolen. In a distributed blockchain data storage network, redundant copies of data are stored across different nodes. It ensures that there's no downtime or loss of data, regardless of the circumstances. Blockchain has the potential to securely store, process, and manage data without the involvement of any third party.

3. Crowdfunding: 

The traditional crowdfunding model has its limitations and is gradually improving. But there still can be seen a lot of issues it struggles to overcome. Most of the crowdfunding projects fail to reach their goals. It shows a need to change the current crowdfunding model. Blockchain technology makes the funding process easier to access, transparent, and secure. You can use it from anywhere in the world. Blockchain can help create a global crowdfunding tool that everyone can easily use. This will make crowdfunding available to everyone, making it more inclusive.

4. Secured Transaction: 

Today, many industries use banks and other financial institutions for processing payments. They rely on them to help with things like sending and receiving money. However, many businesses are turning to a decentralized payment method to increase efficiency. Blockchain technology enables real-time auditing of transactions, safeguarding them from unauthorized modifications. This advancement enhances the efficiency of industries that require strict compliance measures. With the help of blockchain’s payment system, companies can reduce delays and streamline the payment process.

5. Supply Chains: 

Managing supply and logistics chains has become very difficult in today’s world. There are many steps that many products have to go through in their journey of supply chains. It takes a lot of time and resources. Throughout this process, errors, fraud, and unforeseen circumstances can result in substantial losses. Longer supply chains increase the potential for losses for all parties involved. Blockchain is one of the best solutions to manage the supply chain. It helps the business in each step of the journey of a product in the supply chain resulting in lesser time and resource wastage.

6. Intellectual Property: 

Protecting intellectual property rights has become tremendously difficult for creators worldwide in today’s digital age. Creators always stay in fear of their works being stolen or copied without their consent. Blockchain can help protect different types of ideas, like inventions and creative works. It also keeps track of the steps people take when they come up with new things. This makes it easier for creators to show where their ideas come from. Many companies are also using this technology to save their work from being copied or stolen.

7. Government Operations:  

Unfortunately, there is no government in the world which is flawless, corruption-free or completely just. But with the help of blockchain, there is a potential to enhance the delivery of public and government services. It can effectively address key challenges in areas such as election, identity management and taxation. Identity management standards vary globally. It results in lengthy, inconvenient, and vulnerable identification processes.

By combining biometric technology with blockchain, outdated identity management systems can be replaced. It can simplify participation in elections, receipt of government benefits, and travel procedures. Blockchain can also improve the efficiency of taxation systems. It can be done by automatically verifying tax records for fraudulent activity. With blockchain solutions, the government can keep tax records safe and unchangeable. This helps make sure they stay secure and accurate. It will help in preventing hacking and unauthorized alterations.

8. Real Estate: 

In recent years, blockchain technology has become super important in the area of real estate industry. Real estate values are going up, so we need new technology to handle more people wanting to buy and sell houses. This helps manage the demand better. Blockchain technology helps the real estate industry in this matter. There are many applications developed with blockchain technology for the real estate sector. It helps the real estate industry in various steps.

Applications made with blockchain help keep records of who owns land and deeds, and they can also help with other things like managing money for real estate and checking who's investing. They can also help with things like keeping track of who's renting and paying for properties. These applications make it easier to handle all the important parts of real estate. Blockchain can make things faster and cheaper, and it also helps come up with new ideas and make things work better. The immutability of blockchain ensures secure access to deeds through distributed ledgers. It helps prevent unauthorised alterations or tampering with information.

9. Copyright and Prevention: 

There are many advanced features in blockchain technology. These features can help in securing data from malicious activities. Its transparent nature allows anyone to look into the public records. But its strong security prevents anyone from altering any type of data. Thus, it maintains the integrity and security of any data.

See Also: Top Custom Software Development Trends for 2024

10. Voting: 

Blockchain uses a clear crypto code that can help the government let people vote anonymously. This means people can vote without others knowing who they voted for. This technology will put each vote into a secret code and store it on the blockchain. It's hard to change or hack because it uses tricky math stuff. It can help the government in reducing the risk of vote manipulation.

Conclusion

Blockchain is a useful technology that can record and keep data safe. It's really good at making sure information is secure. Lots of businesses use this tech to make their work better. They do this to get more money back from what they put in.

However, building a blockchain-based application can be a little difficult. So it is necessary to hire blockchain developer.

At AspireSoftServ, we have a team of experts who make useful stuff with blockchain.  We are prowess at blockchain development services. We help make apps that use real-life use cases of blockchain or other business needs. Our team knows how to make things that people can use.

Hire our expert team of blockchain developers and we will help you succeed. 

Visit our website to know more.