Blockchain Technology is like the Sun — it has given life to Cryptocurrencies such as Bitcoin and Ethereum. But did you know that several mainstream industries and sectors of our global economy harness their power and progress from Blockchain as well? Let’s talk about the Blockchain Universe and it’s far reaching impact on the global ecosystem in context of something we know well — the Solar System.
We all see the Sun rise and set every day — to many of us, the Sun may be like a constant non-event in the backdrop. But did you know that the Sun itself goes through many phases and changes. Without the Sun, life as we know it would be non-existent. Just like the Sun, Blockchain is shining in the background right now. Rising each day and providing life, sustenance, and growth to many industries. Yes, Blockchain’s humble beginning was the spark that gave birth and life to Cryptocurrencies; however, don’t let the trendiness of Bitcoin, which showcases Blockchain’s financial application, fool you! Blockchain Tech is not limited to Crypto. In fact, Blockchain is a rather limitless technology at the forefront of the transformation of several mainstream industries. Blockchain Tech is itself incredibly dynamic and evolving — very much like our Sun. Blockchain is not only evolving, but it is rapidly spreading across the galaxy of industries and revolutionizing them.
Around the Blockchain/FinTech Evolution revolves the entire ecosystem that spans across almost every industry across the globe.
As many of us know, Blockchain is simply an online, transparent, auditable packet of code in the shape and form of a ledger that records, validates, and tracks digital transactions. If Blockchain is the Sun, then I think of the industries like Hospitality, Real Estate, Media/Entertainment/Gaming, AI/Quantum Computing, etc. as the planets revolving around Blockchain and FinTech to harness Blockchain’s power. This phenomenon can be easily seen through the use cases and innovative deployments of Blockchain application.
Blockchains run on a decentralized platform with no centralized supervision — this makes Blockchain Tech resistant to fraud. As more and more companies and businesses start to use Blockchain to drive greater transparency and verification across the giant ecosystem of digital data, the more awareness there will be o how Blockchain Technology is at the center of the much needed upgrade and revolution in age-old sectors from Infrastructure to ESG and everything in between.
Just as the Sun and planets work together in the universe to make the solar system work, here is how Blockchain works with and empowers four major Industries to make our day-to-day lives work smoothly and efficiently.
If Blockchain is our Sun, then…
…The Hospitality Industry is our Mercury.
Blockchain enables hotels, airlines, and tourism businesses to run on a “decentralized open-source B2B travel marketplace” that bypasses third-party operators that charge high fees/commissions. This bypass leads to a direct and much stronger client experience. In addition, hotels are more profitable thanks to Blockchain by not having to fork over 10–20% of their total revenues to middlemen. Imagine travelers and their travel data having a safer and more secure journey — from secure paperless smart tickets, accurate logs of aircraft maintenance, and no more over-bookings! To top it off, imagine instantly and securely turning your frequent flyer miles into cryptocurrency that can be spent flexibly on several purchases in addition to future flights. Imagine a world where a large number of industrial devices and internet infrastructure can communicate with one another autonomously to manage software updates, bugs, or energy management. Imagine your building being a tech-enabled and digital asset-enabled smart space. Imagine your city being one of the smart cities out there! How streamlined would life be whether you are at home, on vacation or away for work!
…The Real Estate Industry is our Earth.
The throngs of physical paperwork involved in real estate transactions are replaced with accurate, verifiable, securely stored, online smart contracts. This real estate application of Blockchain lowers transaction costs, errors, fraud and saves our planet by using less paper while speeding up transactions.
…The Media/Streaming/E-Sports Sector is our Mars.
Imagine a “decentralized content operating system or a media library” that helps Indy artists make more money and keep most of their revenues from their listeners through direct crowdfunding, supports fairer content sharing, identifies the right holders of media content for royalties payments, and allows media owners to convert their database of media, metadata, and rights into “smart content” that self-execute licensing transactions. The media and entertainment industry is looking at Blockchain to facilitate all of that and more. Imagine disrupting the centralized ecosystem of video streaming and storage through peer-to-peer sharing over the cloud infrastructure. Blockchain Tech pumps up gamers as they earn and exchange rewards more quickly and securely. Imagine being an artist in the physical or digital art world who now has a growing global platform and access at fractions costs. NFTs based on Blockchain Tech are certifying ownership of works of art with a unique signature for each piece of art, tracking each piece, earning royalty payments, and avoiding forgeries. Imagine being a photographer being fairly paid royalties directly by the consumer for their use of your pictures — having full control over the price, copyright and licensing of your images.
Additionally, thanks to Blockchain … micropayments and usage-based payment models facilitate a path away from subscription models. Recent research by Deloitte found that the COVID-19 pandemic has further influenced the way in which we consume content. While subscriptions to paid streaming services initially rose as consumers began to add and sample services, they are now beginning to cancel subscriptions. This makes for an extremely competitive market in which consumers demand the best value for their time and money. Both consumer-friendly and efficient, blockchain media use cases like micropayments and usage-based consumption models allow consumers to pay for exactly what they want while using smart contracts to ensure that artists receive payment, creating a win-win situation for all. Consumers can access the bite-size low-value content they seek and content creators are automatically paid without losing chunks of their profits to intermediaries. Moreover, subscription providers can engage users who may not want to commit to recurring subscriptions but are more comfortable making one-off individual payments.
Last but not least, you may be surprised to hear that advertising fraud cost the industry an astounding $23 Billion in 2019 as bot traffic, invalid traffic, and hidden ads all continue to drain advertisers’ pockets resulting in both poor ROI and a frustrating user experience. Blockchain in the media and advertising market provides immutable metrics that allow agencies, advertisers, and clients to authentically track and attribute advertising metrics so they can clearly see how their budget is being spent and where it’s generating real clicks. From clicks and impressions to lead generation, using blockchain as a shared ledger and universal source of truth guarantees that the data is free from manipulation and fraud. Blockchain is therefore helping advertisers to craft a focused advertising spend that accurately depicts their ROI.
…The IT/AI/Quantum Industry is our Jupiter.
The three known pillars of the future of IT, Information Technology, are: AI, Quantum Computing, and you guess it by now — Blockchain. Imagine a world where the IT we know becomes the new Deep Tech and everything it touches becomes the next best version of its self. AI is changing how the Financial Services industry serves customers, streamlines operations and manages risk. In today’s challenging and changing healthcare environment, AI is disrupting traditional care and business models. Recent AI advancements have also allowed the field of life sciences to make significant leaps forward, completely reshaping traditional notions of the time and cost needed for activities like drug discovery, imaging and more.
AI is essentially the new electricity. Big data is the new fuel and Quantum is the new Turbocharger.
By enhancing AI’s ability to analyze and learn based on data sets, Quantum Computing will eliminate the main concerns about data quality and analysis accuracy that still serve as obstacles in the application process of machine learning algorithms in various scenarios. Even though Quantum Computing needs more time to find full integration and adoption across industries today, the possibilities it may introduce are, by all means, revolutionary and promising.
Blockchain Tech is coming through loud and clear in our gigantic universe as the Core, as the central dis-intermediating disruptor that the satellite industries revolve around.
The universal question is:
Are we ready to accept that our evolution just may be pegged to the evolution of Blockchain?
Blog by Payel Farasat, MScFA (CIO, Burkhan World Investments)
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