Web3

Blockchain Use Cases: 5 real-world examples

July 25, 2022

Although the blockchain started as a global payment system, Web3 has revolutionized even more sectors. We can find blockchain use cases in practically any field that requires data integrity, privacy, or intermediaries to facilitate transactions. 

Using the blockchain reduces the friction accompanying traditional Web2 processes. It paves the way for a new system with more privacy, transparency, and efficiency.

In this article, let’s take a look at five major blockchain use cases. You’ll read about real-world examples about how Web3 is revolutionizing how we use the internet—and how you can be a part of this paradigm shift.

Already interested in how you can start a Web3 career? BloomTech’s Web3 Development course teaches you the most in-demand skills needed for these high-paying and in-demand roles.

5 Major Blockchain Use Cases

Before we dive deeper, what is blockchain? Simply put, it’s a digital ledger distributed across networks. As it’s not centralized, it’s incredibly secure. When someone adds data (a block), the nodes—or decentralized computers that hold a copy of the blockchain database—must verify the data, which prevents fraud. Once blocks are verified, they’re added to the chain across all networks, so they’re incorruptible. 

(Need more information? Read our beginner’s guide to Web3.)

Don’t worry if this still seems abstract. Let’s look at blockchain examples so you can see how this Web3 technology is used in real life. 

1. Blockchain in banking

Banking is one of the primary blockchain use cases and, interestingly, how everything started. During the 2008 financial crisis, which exposed the significant flaws in the current banking system, Bitcoin was introduced as an alternative payment method. 

Although its adoption was slow initially, blockchain applications that allow you to transact, borrow, or lend money across the globe have gained enormous momentum. Currently, blockchain examples range from accounting and auditing to fundraising. All of this is powered by decentralized finance (DeFi), which allows you to transact through transparent, trackable algorithms not dependent on any central party.

The result? We get a banking system that’s instant, secure, transparent, and efficient. Its security safeguards greatly reduce errors and fraud. With this banking blockchain use case, you wouldn’t need to pay hefty fees to transfer money across borders, fill out paperwork, or worry about banks locking up your funds in a financial crisis. 

2. Blockchain and supply chains

During the pandemic, did you ever go to the store and discover you couldn’t buy toilet paper or your favorite chips? The global crisis showed us how quickly supply chains could break down if there is any disruption. The consequences can be much more serious than inconvenience or missing out on your go-to snack. In some cases, we had a shortage of essential equipment like PPE and vaccines. And in other cases, there was an oversupply of retail stock, forcing companies to throw away unused items and lose huge amounts of money. 

Many companies have turned to blockchain to address supply chain issues. Blockchain provides efficient tracking and real-time data verification, authenticated in a decentralized manner . Smart contracts, a native feature of blockchain, are also being used to streamline trade agreements and improve overall efficiency in the supply chain process.

For companies who supply physical goods, missing supply chain parts or deliveries are an absolute nightmare. This blockchain use case enables transparent supply chains. It maintains records on where and how a product and its parts are shipped. Not only can blockchain help us track missing parts efficiently, but it also becomes much easier to verify the authenticity and origin of a product. 

3. Healthcare blockchain examples

Blockchain has the potential to transform the healthcare industry—and this statement is not just theoretical. Estonia implemented blockchain-based healthcare back in 2012 and currently, over 95% of the country’s health information is on the blockchain. This has helped them cut back healthcare operational costs and improve data security.

Now, let’s look at how this blockchain example worked in Estonia. As the blockchain is an incorruptible and privacy-oriented data store, it naturally lends itself to storing confidential information such as healthcare records. And with blockchain’s strong encryption policies and security, it may be the answer the world needs to battle with exponentially increasing data breaches in the healthcare industry.

Additionally, blockchain’s decentralized nature allows it to be a single source of truth on which doctors, patients, and hospitals can collaborate on. (You can imagine how saving time can translate to saving lives.) With private blockchains, you can also control access to patient data ensuring that only authorized people can view it.

4. Blockchain use cases with music and art

There’s a major ownership battle in the music and art industry. Taylor Swift’s long battle for rights to her music is a prime example of how artists don’t always retain rights to their work.

Even if an artist independently builds their following on Instagram or TikTok, their success is directly tied to the platform’s growth. If the platform changes its terms, there isn’t much creators can do about it.

This is where the blockchain can change things—by a lot. First: the blockchain is decentralized, meaning changes to the protocol can be voted on by everyone participating in the network. 

Now, let’s talk about the second part of the problem: ownership. Blockchain has an answer to this problem, too.  Non-fungible tokens, or NFTs,. represent ownership of real-world assets. Each piece of art or music can be tokenized as an NFT and traded on the open market. Thus, the blockchain enables a fair playing ground for all interested parties to access and distribute data in the music and art industry.

5. Real estate and blockchain

If you’ve ever tried buying a house, you know how complicated the process can be. Slow transactions, trust issues, fraud, the intermediaries—the list goes on! 

Blockchain has the power to reduce this friction in the real estate industry. For buyers, this means the ability to track the property history efficiently. For sellers, this means faster transactions and eliminating intermediaries . You can also expect less paperwork since all blockchain data can be verified and authenticated.

Beyond this, the real estate sector also allows for an interesting blockchain use case: fractional ownership. With fractional ownership, you don’t need a ton of cash to invest in a house; you can co-own a part of the property. The current system is not equipped to carry this out efficiently, mainly due to trust issues and fraud. However, with the blockchain, you could substitute land deeds with NFTs or smart contracts, powering a self-sustaining ecosystem for the real estate industry.

Learn Web3 skills like blockchain

The blockchain examples above show us how far we’ve come with this exciting technology. And as with any new technology, building new use cases equals more opportunities and jobs in the field. Web3 companies need skilled engineers to help them build the next phase of the internet and implement ambitious blockchain use cases like these—and even more that haven’t yet been imagined.

Do these possibilities make you excited? Then you could be perfect for the field. BloomTech’s Web3 Development course can help you train for a well-paying Web3 role. Ready to get started? Learn the blockchain skills needed to kickstart your Web3 career by applying to our Web3 Development course today!