Blockchain technology is becoming more popular. Thanks to its ability to generate more transparency in the financial sector and other industries. This article explores what blockchain can do for the industry in the coming time, and how it will impact your business in the future.
Blockchain technology has the ability to change the way we do business and maybe even improve current practices. With its amazing capabilities and applications, blockchain will be one of the biggest disruptions in recent years.
The blockchain is now a well-known term in the world of finance, but it's not just about currencies and stocks. In fact, revolutionary technology has so many applications that it's hard to keep track of them all. It could be used for smart contracts, voting, tracking data and more. Below we have discussed some interesting blockchain use cases for sustainability in 2023.
Environmental sustainability for large businesses has never been more important in the history of the globe. The public is demanding greater accountability from all industries while the world is undergoing dramatic transformation. The blockchain community is commonly blamed for the problem, however this is completely untrue. Even so, this technology may aid in the transition to a sustainable future.
The advantages for the environment are too significant to ignore, and sustainable blockchains open up a wealth of opportunities. Of course, there are still issues to resolve, as in any industry, but they are acknowledged and actively being addressed. What other industry's second-largest operator has cut energy consumption and emissions by more than 99% in the less than ten years after the company was established?
The data in a blockchain is secure because of the distributed ledger's immutability and cryptography. Highly sensitive personal data, such as investment portfolios or medical notes, is best stored on a blockchain.
AI (Artificial Intelligent), on the other hand, is constantly and voraciously hungry for data. Algorithms are now being developed that will let AI use encrypted data without disclosing it.
Nevertheless, it should be noted that while the blockchain is safe at its core, its various layers and applications are not. Therefore, machine learning in the financial sector will aid in optimising the implementation of blockchain applications and forecasting potential system intrusions, thereby enhancing security.
Numerous smart contracts built into blockchain systems are set up to release and transfer money automatically when specific criteria are satisfied. To use smart contracts on the blockchain, network consensus must be established. The majority of smart contract code is available for public inspection. Every piece of code can be painstakingly and completely examined by hackers in search of vulnerabilities. AI can assist with smart contract verification and foresee exploitable problems.
Between the public's confidence in the correctness of such judgements and AI's decision-making capabilities, there is a real trust gap. No matter how well it performs, if people don't trust AI, they won't use it. The inability to fully comprehend machine judgments is holding back the use of AI. Blockchain's ability to document the decision-making process will help AI acquire public trust much more quickly.
Blockchain and AI can increase transparency in the way computers think. Every choice an AI makes can be recorded and analysed on a distributed ledger, and data point.
Large volumes of encrypted data may be stored using blockchain and distributed ledger, and AI can effectively manage and analyse it for each new use case. By combining the two, this synergy will create new markets for data, models, and artificial intelligence.
Large volumes of data that are helpful for AI processes for analysis and decision-making are accessible to giant Web2 monopolies like Google, Facebook, and Amazon. However, these monopolies make sure that nobody else can get this information. Such hoarding may be countered by using financial data and voluntarily shared Web3 information.
Hacking and theft of personal information are popular cybercrimes. Approximately 1 in 15 people, or nearly 14.4 million people, fell victim to identity fraud in 2019. Identity theft can take many different forms, from faking documents to hacking and violating personal files. By keeping important personal data (such as social security numbers, birth dates, addresses, PANs, etc.) on a decentralised and immutable ledger, blockchain can help fight this threat.
Key issues with the current centralised Web 2.0 include selling personal information to unaffiliated parties, identity theft, combining passwords and usernames, and more. As a result, it is unable to provide users with self-sovereign identities (SSI). Blockchain, however, can provide people complete control over the data in their IDs and digital identities. SSI is made possible by a number of use cases for blockchain, one of which is personal identity security.
A self-governing identity can express one's identity over numerous metaverse projects via avatars and offer interoperability in the metaverse. One of the blockchain technology use cases that significantly benefits the general public from a system that makes it possible for people to identify more securely is personal identity security. A blockchain-based digital identity management system offers the answer to this problem.
Large-scale corporations are aware of the requirement. They are creating apps that make it easier for the general public and their employees to create digital identities. Even if it will take some time, work has already begun on creating a worldwide identity.
Every time a new technology has been developed, detractors have pointed out its shortcomings or have been reluctant to use it in their daily operations and take full advantage of its benefits.
When cloud storage first emerged, its detractors lamented the security and privacy threats it posed. There have been concerns that "the rising use of AI systems would lead to the extension of existing hazards, the introduction of new threats, and a shift in the normal character of threats," AI was received with even more severe warnings.
When discussing blockchain, words like "Black Money" or the "Underground Economy" are used. However, each of the aforementioned technologies made adjustments to address such worries by developing hybrid models or addressing security issues.
By Akhilesh Kumar Yadav
By Akhilesh Kumar Yadav