Blockchain Comes as a Silver Lining Amidst the Pandemic
The COVID-19 pandemic has impacted virtually all businesses, but the effect has not been uniform. While the current disruption may present challenges to the blockchain industry in the short term, it will also unlock new opportunities in the mid and longer-term. By providing help in the COVID-19 crisis and recovery, Blockchain can play a pivotal role in accelerating post-crisis digital transformation initiatives and solving those problems highlighted in the current system. There are some bright spots where Blockchain is used to combat the effects of COVID-19 and aid in the recovery process.
The COVID-19 crisis has caused major disruptions across global supply chains. Two factors in tandem play a very pernicious role: many factories have shut down due to safety concerns and there is unprecedented demand for certain goods, especially medical supplies. This high demand forces many users to source supplies without knowing their origin or quality. Blockchain is particularly suited to supply chains because it can connect all stakeholders in a supply chain and provide a single source of truth. It provides transparency and breaks down data silos while guaranteeing security. This is why many of the Blockchain solutions deployed in the wake of the COVID-19 pandemic are in supply chain management. In these difficult times, the right balance has to be struck between data gathering and protection of privacy. Blockchain can be used to both gather and collate patient data more efficiently, monitor patients' movements to guarantee social distance, and protect their identity at the same time. In Blockchain there is no central authority and users are given control of their personal data. They can selectively share information that is important for coronavirus mitigation efforts, while protecting their identity and other sensitive information.
IDC believes Blockchain technologies offer great potential in many COVID-impacted scenarios, especially in the supply chain. Given its benefits in terms of reliability of the supply chain, transparency across multiple use cases, and the tracking of goods, however, Blockchain investments are expected to recover once the pandemic eases. This edition tells you the most active Blockchain startups who have the potential to help industries cope with the pandemic.
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