Bitcoin (BTC) and other cryptocurrencies like Ethereum (ETH) and Litecoin (LTC) among others have been struggling in the market this year, with Bitcoin (BTC) dropping 16% to below $4,250 per coin on Monday. However, on the backend of altcoins is a powerhouse piece of technology with innumerable use cases called blockchain.
At its most basic, a blockchain is a digital file used for storing information, but unlike most computer files, blockchain functions differently. When someone shares a video of their cat playing ping-pong on their Facebook (FB), this can be shared and accessed all over the internet, but others viewing the clip have no ownership of the file nor the data stored inside. With blockchain, the cat video is distributed and duplicated, in its entirety, across many computers, meaning that no one individual or entity has control over the content.
Blockchain technology, pioneered by Satoshi Nakamoto back in 2009, has been used to create and distribute cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH), but blockchain can really be used for anything that requires secure transactions. Blockchain’s digital ledger stores data as well as an ongoing record of every interaction with that information, so if a company wanted to, say, store personal information of its clients, blockchain would come in clutch.
If there’s any industry, outside centralized banking, that could benefit greatly from blockchain technology, it’s the healthcare industry. According to a study conducted by IBM (IBM) in 2017, 16% of healthcare executives in sixteen different countries “expect to have a commercial blockchain solution at scale” in the next five to ten years. The study posits that on permission-less blockchains, all parties have equal, unfettered access to the information stored, which, when applied to healthcare, means that medical professionals and specialists could have access to a global database of health information for patients around the world, “no matter what electronic medical system they used.”
“How valuable would it be to have the full history of health? What if every one of your vital signs that have been recorded, all the medicines are taken, information associated with every doctor’s visit, illness, operations and more could be efficiently and accurately captured?”
–“How Blockchains Can Provide New Benefits For Healthcare” from IBM
As more doctors and medical experts recognize the potential applications of the blockchain, the technology is quickly emerging as a must-have in the healthcare sector. John Halamka, Chief Information Officer of Beth Israel Deaconess Medical Center in Boston has been published in several academic journals of medicine, speaking on what he believes will/won’t work as blockchain technology enters the healthcare space. Halamka wrote, in one of his articles, that “blockchain is not meant for storage of large data sets” because it has very slow transnational performance. He does admit that the tamper-proof nature of blockchain as a ledger makes the tech “ideal for proof of work” and record-keeping.
Halamka recognizes several opportunities for blockchain implementation in the healthcare industry:
- Medical Records – When medical records are generated and authorized by a medical professional, this information can be stored to the blockchain, and thanks to the integrity of blockchain’s public ledger, the information will be safe from individuals wishing to corrupt/tamper with the records
- Micropayments – Halamka suggests that healthcare companies in the space can incentivize patients to follow a healthcare plan by rewarding them through the blockchain. For example, if a patient authorizes the use of their information, stored on the blockchain, for clinical research, they could receive a discount on their insurance or some other incentive.
According to Deloitte’s 2018 Global Blockchain Survey, which polled more than one thousand executives around the world, from all industries, over 60% believe their companies will be at a competitive disadvantage if they don’t find ways to integrate blockchain into their businesses.
Whereas the banking industry is still largely concerned about the safety and security of digital currencies created with blockchain technology, the global market believes blockchain will help create industry-wide solutions, especially for companies working in the health care space.
