New Blockchain-Based Startups Create Opportunities for Healthcare
Nov 13, 2017 Posted / 4982 Views
Healthcare is another popular industry where blockchain has made a contribution. The Blockchain has provided a new foundation and structure for health information management, creating electronic medical records more efficient, without including intermediaries and allowing patients to manage their records themselves.
In this article, we will reveal top 3 benefits of Blockchain-Based Startups in Healthcare sector and how to create new opportunities for the healthcare industry.
So, if you’re one among them - either healthcare professional, healthcare startup, or an individual, who is interested in leveraging the benefits of Blockchain technology, you must read on!
How helpful it would be if you can have the full history of your health?
What if the medicines you’ve using, information of every doctor’s visit, operations, and illness can be collected accurately and efficiently?
This is where Blockchain in the healthcare industry could do exceedingly well.
Using blockchain healthcare applications, the risks and costs are likely to go down while the quality of healthcare is predicted to rise - as you know that data stored on blockchains can be communal in real time across a group members or institutions. So that, each event or transaction is time-stamped - as a permanent record and cannot be tampered.
In case of permissionless blockchains, individuals are allowed to view all records. Also, in permission blockchains, an agreement is used to maintain privacy - by masking the identity of the party who view the agreement.
Regardless, a lot of healthcare organizations are emerging and even seem to have a lead for blockchain in healthcare. Recently, a blockchain study conducted by IBM - where they graphed 200 healthcare executives from 16 countries and conclude that - 16% of them aren’t just experimenting, By the end of 2017, they are likely to build commercial blockchain applications.
However, they’re leading the charge with real-time blockchain applications and expecting to take down the frictions that`s holding them back. They seem to be intended on log on new and trusted information that they can keep a system secure, safe, and enter new markets as well.
Despite the current euphoria, let’s move to the realistic benefits of blockchain in the healthcare industry.
Usually, Data exchange concept first topic pops up in the head, when talking about the term Blockchain in Healthcare. Alongside, the blockchain-enabled Health IT systems that provide technological solutions to many challenges, including health data security, integrity, and interoperability.
Most importantly, the health data exchange systems that are irrevocable and cryptographically secured are enabled, using Blockchain technology. Ultimately, it enables unified access to real-time patient health data and remove the cost and burden of data reconciliation.
Recently, a data-centric security company: Guardtime, collaborated with Estonian eHealth Foundation to protect the health data of over one million Estonian citizens using KSI (Keyless Signature Infrastructure). To prove the success of Blockchain in Healthcare sector, this is a good example.
5-10% of healthcare costs are fraud in today's digital era, as a result of billing unperformed services. In 2016, Medicare fraud in U.S. caused around $30 million in losses. Even for $1 billion Medicare fraud and money laundering scheme, the U.S. Department of Justice charged three individuals
However, Using blockchain applications and systems, it is not possible – as people have to provide realistic solutions. Blockchain Technology completely eliminates the need for intermediaries and decrease the administrative costs, by automating the bill processing activities.
At present, the pharmaceutical companies suffer an annual loss of $200 billion – the reason behind is counterfeit drugs. However, the use of Blockchain based system assures a chain-of-custody log, and track every step of supply chain at an individual product level.
Moreover, proof of ownership of drug source at any point in the supply chain can be built with private keys and smart contracts.
Putting iSolve LLC as an example. It is working with many pharma companies to implement Advanced Digital Ledger Technology (ADLT). Blockchain healthcare application here is helping them to manage drug supply chain integrity.
Another example is FivePharma which is a healthcare application developed by Space-O that revolutionized the way of providing auditing, training, and consulting services in Healthcare sector. Every month the app is updated and try to enhance the pharmaceutical industry for the better.
Healthcare startups like FivePharma, are on their way to bring the next disruption, using Blockchain Technology. As far as drug supply chain is concerned, Companies can modernize the entire process of bringing updates to supply chain log with Blockchain Technology.
Blockchain Technology is built on open-source software, commodity hardware, and open API. Blockchain architecture includes widely used and accepted as industry standards cryptography technologies, in-built fault tolerance, and data encryption. All these capabilities of blockchain made it easy to work with and eliminate the need developing complex point-to-point data integration in health IT systems.
The data is rapidly growing from cheap smartphones and wearables. Further, these data are distributed across numerous servers at various different locations, this means - there is no single point of failure. This is considered as a huge advantage of blockchain in the healthcare industry. This made various healthcare professionals and startups to actively look for ideas and blockchain developers in order to build next-generation blockchain applications for the healthcare sector.
As an advice: Since Blockchain technology has created a definite place in the health IT systems, one should make advancement on re-basing their interoperability strategy in order to gain leadership in forthcoming years of healthcare sector
Applancer is an open platform for discussion on all things like Blockchain , Cryptocurrency and Ico news updates. As such, the opinions expressed in this article are the author's own and do not necessarily reflect the view of Applancer .
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