Blockchain Use Cases: Exploring the Most Promising Applications
22 January 2024
The concept of a blockchain, as it is known today, was first conceptualised and implemented by the person or group known as Satoshi Nakamoto, in the process of creating Bitcoin. The development of blockchain technology, however, was built upon earlier ideas and technological advancements such as Cryptographic Hash Functions, Public-Key Cryptography, and Distributed Networks.
There are several key factors where blockchain technology offers advantages over a centralised data bank. The advantages revolve around decentralisation, security, transparency, and immutability, and are in line with the foundational principles set forth by Bitcoin.
Blockchain's Promising Use Cases Beyond Bitcoin
After Bitcoin's inception, the growing recognition of its decentralized and secure nature sparked a broader enthusiasm and interest in the underlying blockchain technology, leading to a subsequent hype around its diverse potential applications.
At the Next Block Expo in Berlin, we asked blockchain and web3 professionals to give their take on what the most promising use cases for blockchain technology are today. Check out the results in the following video:
The main use cases discussed were:
B2B Applications: Emphasis on B2B use cases, particularly integrating blockchain with existing infrastructures and large-scale industries.
Rewards Integration: Connecting blockchain with rewards, not necessarily play-to-earn, but as an additional layer for user engagement with core products or businesses.
AI Integration: use cases that involve the blending of blockchain technology with AI.
Traditional Business Adoption: Recognizing potential in traditional businesses joining the blockchain industry, leveraging existing data.
Identity Solutions: Foreseeing identity-related applications (Digital IDs), including human and object identity, for the development of future use cases.
Supply Chain Authentication: Significant interest in authenticating products and preventing the entry of fake products into markets.
Payment Gateways: Identifying payment gateways as a crystallizing use case, streamlining global transactions and consolidating them on the blockchain.
Proof of Authenticity and Ownership for Real-World Assets: Acknowledging the ability of blockchain to provide clear proof of authenticity and/or ownership for real-world assets.
Many blockchain endeavors, however, talk about decentralisation but are still structured in a relatively centralised way. Unless there is an honest effort to facilitate a decentralised infrastructure, a centralised data bank may remain more efficient, and cost-effective than a blockchain.
The blockchain may only shine in specific use cases that truly aspire to achieve incorruptibility through a transparent decentralised network.
Bitcoin stands out as the strongest truly decentralised global computer network, and the recent approval of a Spot ETF for Bitcoin signals its increasing mainstream acceptance, making it a formidable candidate for the most promising blockchain use case today.