Use Cases of Blockchain Technology in Healthcare
Blockchain technology, though initially created for cryptocurrencies like Bitcoin, has now expanded its applications across multiple industries.
In the healthcare sector, for example, blockchain services provide a decentralized and safe system to change the way medical staff and patients manage, share, and use data.
In this article, we’ll explore the top 10 use cases of blockchain technology in healthcare and the advantages it brings to the industry.
How Blockchain Works in the Healthcare System
In the healthcare system, blockchain serves as a distributed ledger. It allows multiple parties, such as healthcare providers, researchers, and patients, to have a synchronized record of transactions and information.
Unlike regular centralized databases, where a single authority controls the data, blockchain creates a decentralized network.
Each individual in this network has access to a copy of the ledger, which keeps a full history of all information stored on the blockchain.
This decentralized nature ensures that no one has ultimate control over the data, minimizing risks of manipulation, fraud, or unauthorized access.
When a transaction or information is added to the blockchain, it goes through a consent process. This process ensures that all network participants agree on the transaction’s validity before it is recorded on the blockchain.
After achieving consent, the transaction or information goes to a new block. Then it is linked to the existing chain of blocks, creating a steadfast and tamper-proof record.
The transparency of blockchain in healthcare is another crucial aspect of its operation.
While the data on the blockchain is encrypted for privacy, the transaction’s metadata, including the timestamp and participants, is visible to all network participants.
This level of transparency develops trust and liability since any participant can check the authenticity of the information stored on the blockchain.
Finally, by using blockchain technology, the healthcare industry can overcome the problems of traditional data management systems.
The distributed nature of blockchain improves data integrity, reduces the risk of data breaches, and promotes secure and efficient data sharing among healthcare participants.
Advantages of Using Blockchain in the Healthcare Sector
Blockchain technology offers several notable advantages when applied in the healthcare sector. The following are just some of them:
- Enhanced Security: Blockchain technology provides powerful security measures, securing sensitive patient data from unauthorized access. With its decentralized architecture and cryptographic techniques, blockchain reduces the risk of data breaches and ensures privacy.
- Improved Interoperability: Healthcare systems often struggle with interoperability issues that impede the smooth exchange of patient information. By using blockchain, healthcare organizations can establish a single framework for data exchange, ensuring compatibility and consistency across all systems.
- Efficient Data Sharing: Blockchain enables secure and efficient sharing of medical data among approved stakeholders. Patients can grant permission for specific providers or professionals to access their records. And this streamlines the process of data sharing and collaboration.
- Enhanced Patient Ownership and Control: With blockchain, patients have greater control over their health data. They can decide who can access their records and have more freedom in their healthcare decisions.
- Traceability and Openness: Blockchain enables end-to-end traceability in the entire healthcare supply chain. It allows participants to monitor the flow of drugs, medical devices, and other healthcare outputs. And this ensures authenticity, reduces counterfeit medications, and improves patient safety.
Top 10 Use Cases of Blockchain in Healthcare
Blockchain technology has the power to transform various aspects of the healthcare industry. Here are the top 10 blockchain healthcare use cases:
Clinical Research and Trials
Clinical trials are vital for moving medical knowledge forward, developing new treatments, and ensuring drug safety and effectiveness.
However, the current clinical trial process is often complex, time-consuming and needs data integrity, patient consent management, and regulatory compliance.
Blockchain technology allows researchers to securely collaborate, verify the authenticity of data, and maintain an auditable record of trial results, ensuring the integrity of clinical research.
Supply Chain Management
The healthcare supply chain involves the complex process of procuring, tracking, and distributing medications, medical devices, and supplies.
However, this process often suffers from counterfeit products, inefficient inventory management, lack of transparency, and difficulty in verifying product authenticity.
Blockchain can overcome these issues and help supply chain management by providing a decentralized and immutable record of every transaction and movement made.
Due to blockchain, stakeholders can track and check the originality and quality of healthcare products, removing the risk of counterfeit or low-quality items.
Regulating Financial Relationships
Financial transactions play a vital role in healthcare. They involve insurance claims, billing, reimbursement, and payments between various parties.
However, the existing processes often suffer from administrative burdens, delays, and lack of transparency.
Blockchain can refine financial transactions and contract management between healthcare providers, insurers, and patients.
Smart contracts, for instance, can automate processes such as claims consideration, reducing administrative overheads and increasing transparency in financial transactions.
Electronic Health Records Management
Electronic Health Records (EHR) are important for providing quality patient care. It includes essential medical details, such as diagnoses, therapies, medications, and test results.
However, the current system of health record management often faces challenges such as data fragmentation, data breaches, and limited patient control.
Blockchain makes a safe and adaptable system for handling electronic health records. Patients can store their data on the blockchain and share specific details with healthcare professionals only when necessary.
Information Credibility
In the healthcare industry, the credibility and accuracy of information is of utmost importance. Misinformation and false health claims can have serious consequences on patient care and decision-making.
Blockchain technology can combat the spread of misinformation and fake news in healthcare. By using blockchain-based solutions, information sources can be quickly checked and validated. This ensures the credibility of medical research, articles, and other health-related content.
Telemedicine and Remote Patient Monitoring
Telemedicine and remote patient monitoring have gained great importance in the healthcare industry, especially in situations where in-person visits are unavailable.
Blockchain can enhance telemedicine and remote patient monitoring by tightly storing and sharing patient data.
It enables real-time access to patient information, including vital signs and medical history. Smart contracts can automate consent management and payment settlements between patients, healthcare providers, and insurers.
Drug Authentication and Anti-Counterfeiting
Counterfeit drugs pose significant risks to patient health and safety, and combating this issue requires robust measures.
Blockchain technology offers a promising solution for drug authentication and anti-counterfeiting efforts by providing a secure and transparent platform to track and verify the entire drug supply chain.
Health Insurance and Claims Management
Blockchain technology has great potential to transform health insurance and claims management processes.
It can address challenges related to efficiency, transparency, and data security and resolve complex interactions between insurance companies, healthcare providers, and patients.
On top of that, blockchain enables real-time verification of insurance coverage, simplifies claims processing, reduces fraud, and improves the overall performance of the insurance system.
Medical Research and Data Sharing
Medical research relies on diverse datasets to advance scientific knowledge and enhance patient well-being.
Unfortunately, the current state of medical research encounters obstacles such as inconsistent data, restricted access, privacy worries, and inadequate data-sharing practices.
Blockchain technology offers a solution by simplifying secure data sharing among researchers. This enables them to collaborate more efficiently, access a broader range of reliable data, and speed up medical breakthroughs.
Public Health Surveillance
Public health surveillance is vital for tracking and controlling the spread of diseases.
But traditional surveillance systems often face challenges such as data fragmentation, delayed reporting, and limited interoperability.
Blockchain can enhance public health surveillance by securely collecting and analyzing health data from diverse sources like electronic health records, wearable devices, and population health surveys.
This can help improve disease surveillance, early detection of outbreaks, and response coordination while maintaining privacy and data security.
The Bottom Line
Blockchain technology has lots of outstanding applications in the healthcare industry.
By leveraging its decentralized, secure, and transparent nature, healthcare organizations can improve data management, enhance patient privacy, and ensure trust among healthcare providers and patients.
And although challenges still remain, the adoption of blockchain in healthcare has the potential to boom the industry and provide better healthcare outcomes for patients worldwide.
At SCAND, we have a skilled team of software developers with many years of experience creating blockchain-based solutions.
Combining this experience with our expertise in healthcare IT software development, we are capable of developing robust and effective solutions for your business tasks.
So if you have some incredible ideas in mind, don’t hesitate to contact us today!
