In the modern era where almost everything is digital, you may know or at least hear if blockchain technology is one of the biggest innovations in this era. Thanks to this system, it has changed the way the world trades, communicates, and works in many fields such as finance, logistics, and government.
What is Blockchain?
You probably have heard about blockchain technology, but do you know what it really is? For short, it actually can be defined as a growing list of blocks where each block is linked to the previous block. The block in the system represents a collection of transactions with a timestamp and a hash of the previous block.
In simple terms, blockchain also can be described as a digital transaction storage system. This system will permanently record every transaction you made and save the data in a public database called a ledger or ledger where the ledger represents distributed transactions.
Implementation of Blockchain Technology in Life
As we know, nowadays the development of crypto assets is increasingly popular with the general public. Unfortunately, even though the existence of crypto cannot be separated from a technology called blockchain many people still assume if crypto is blockchain itself.
This is actually not true, in fact blockchain technology underlies the development of many crypto assets such as Bitcoin and NFT (Non Fungible Token). So, apart from being the fundamental for developing digital assets, what are the other benefits of this system and implemented in our life? If you want to know, here are a few examples.
1. Government Transparency
As we explained at the beginning, blockchain technology can be very effective in storing transactions and information traces which will be very useful for government audits since it can be seen by the general public without having to go through a login process first.
This is because this technology also works as a real-time monitoring of e-government services and government contracts. Blockchain technology is fundamental for the development of good and efficient public services where all institutions can easily and transparently share their data.
For your information, blockchain actually allows inter-departmental data storage in a private network, providing authentication on each network so that it can be useful in building trust and confidentiality.
As a database, this system is designed to store your information in a digital format so it can maintain records safely and organized.
Unlike banking systems, the blockchain is different because all the data, information and even funds that you provided will not be known by unauthorized people without your knowledge or permission.
Not only is it effective, the blockchain can also make your life easier and provide a sense of security due to the principle of transparency that we have explained. Not only that, this principle is also very useful for minimizing the embezzlement by certain individuals.
In addition, this is still controversial but many developed countries are considering using this system for voting. In the future, voters will receive an ID which also functions as a verification medium where their vote is registered on the system and counted officially.
2. Healthcare
Do you know if blockchain technology also can be used in healthcare including health insurance, drug supply, biomedical research, medical education, electronic health records, procurement processes, and other patient service needs?.
The database in the blockchain is appended only, where you can only add information but cannot access to correct the data. With this system, it will make hackers who want to attack or steal your data difficult to enter.
During a healthcare worker crisis like today, this system will be of great help. When an organization needs someone for a certain position, they only need to issue a smart contract on the blockchain system. This can help job applicants to see more information on each job position.
3. Finance
In finance, blockchain has become an important tool because it is very useful in simplifying banking processes, reducing risk, credit services, and reducing processing time. Apart from that, this system also makes it possible to track any accounting transactions.
This is because the system is created as a digital ledger which only can be accessed and visited by anyone, anywhere and anytime without having to ask for approval or permission from the banks.
Please take a note if the system does seem profitable at first glance, but you need to remember that no system is perfect. If there are advantages, of course there are disadvantages that need to be considered. Therefore, if you want to use this system, you should also pay attention to the negative impacts of blockchain technology, so that you understand the risks that may occur.
Read Also: Be Aware of Crypto Phishing Attack with 4 Important Steps
