Intro
Crypto offers a lot of opportunities to make money. However, the underlying technology may be even more interesting than the gold rush. Banks, governments, healthcare institutions and many others are experimenting with blockchains for all sorts of use cases. This is because there are some benefits to blockchain applications that set them apart from the rest. Blockchains are able to validate transactions automatically, are making interference of third parties unnecessary and are able to decentralize of data. This brings advantages like more security, reliability and accessibility of information.
There is no doubt in my mind that someone probably told you about blockchains before. Still, most people don’t know actual blockchain use cases. What are actual use cases and where are these implemented in the real world? In this article we describe five appealing and big use cases in the crypto world.
Financial Services
The application of blockchains in the Financial Services are diverse. Blockchains were frequently used for limitless funding during 2017 and also beyond in the form of ICO’s. They have also been used for speeding payment completion time, facilitating prediction markets and for insurance purposes.
Traditionally, every transaction within the banking system leaves digital traces about your private life and intimate financial details. Banks and the corporations that cooperate with them spend a huge sums on security. Blockchains help immensely in securing this type of data, as there is no need to include all kinds of digital traces compared to the traditional banking system.
Smart Contracts
Smart Contracts are another interesting application for transactions between people. Smart Contracts are complex contracts in code. By means of code, all terms are noted and the contract is executed as coded. Automated contracts are now widely used and in particular via the Ethereum Blockchain. Imagine complex transactions being carried out more automatically while conducting business. This would definitely facilitate business relationships. Ideally, it opens doors to healthier digital relationships between people and businesses with less hassle.
Entertainment
Blockchains are extremely suitable for the entertainment sector and have enormous potential to impact sports, gaming and gambling. For example, gambling becomes transparent because transactions on the blockchain are visible. This makes fraud far less likely. The blockchain also ensures that the house edge costs are lower, because of the low overhead costs of crypto casinos. In addition, you can gamble anonymously. And finally there is less dependence on third parties and greater legal freedom of movement. Some blockchains are almost only used for gambling purposes.
Cross-border payments
Banks use very complex structures for cross-border payments. A payment often goes through a huge chain of parties for the simplest transactions. Blockchains make the use of central data systems more redundant and provide a direct peer-to-peer transaction. This lowers transaction costs, transaction times and also makes a lot of third parties involved unnecessary.
Conclusion
Blockchains are able to let people establish healthy digital relationships. Whether it is established through digitized contracts, peer-2-peer cross-border payments, transparency and anti-fraud, it is exciting to see a digital technology strengthen our ability to form all kinds of relationships with less hassle than ever before. And not only in one field, but for a lot of diverse fields and different use cases.