Blockchain technology can be used to create digital records, such as certificates, public registers, or agreements, which can be stored, shared, and amended online. As products or materials change hands, records can be added, inspections and deliveries can be logged, and payments can be automated. Anything that happens to these records can be automatically documented and encrypted for security: showing amendments made, and who sent or exchanged them. There’s no need for a third party, such as a bank or a regulator, to verify these actions because it’s a shared process, secured by cryptography. Organizations can pinpoint fraud or contaminants with speed and accuracy. The technology can also be used to issue warnings about inconsistencies or trigger an automated dispute.
Currently, the most renowned blockchain-based companies in Singapore are all cryptocurrency trading platforms such as Coinhako and Binance. This shows that the average public tends to associate the industry with volatile and speculative trading assets with no other use case in mind.
However, plenty of blockchain-based companies are actually flourishing in Singapore, outside of decentralised finance and financial applications.
To give you a better idea on blockchain use cases, here are three under-the-radar blockchain-based companies in Singapore that you should know about:
- Yojee – Logistics Software
- Electrify – A Retail Marketplace For Energy
- Bluzelle – Peer-To-Peer Data Storage Sharing
Decentralized Finance (Defi) is the most used term today in the cryptocurrency market. According to PWC analysis, 45% of financial services providers and intermediaries such as banks suffer from hackers every year.
This is among the motivating factors for the emergence of a new DeFi gem in the crypto market. The continued dependence on traditional finance systems has exposed people to cyber-attacks and financial loss.
Decentralized finance has become their to-go-to option for financial safety. It also addresses the challenges that come with the traditional systems.
The core benefit of blockchain is that it builds trust between parties sharing information. The information shared is encrypted as an electronic list of records or blocks. It cannot be erased, which helps to ensure trust between users. Once information is recorded, it cannot be changed without changing all of the records, which also provides for secure transactions between users. We’ve observed how this would be valuable to the life insurance industry, as it helps to ensure information is accurate, secure and trusted.