Blockchain, a term which many of us use synonymously with Cryptocurrency (crypto). It is in fact a popular term for DLT (Distributed Ledger Technology) that allows a transaction between two persons without any interference of an intermediary for authorization like banks i.e., the system is decentralized. The use of keys and cryptographic signatures, as well as peer-to-peer authentication, makes this system trustworthy among its users.

Prima facie, blockchain, and cryptocurrency are two different aspects. Blockchain is basically a principle (technology) and crypto is just one of its many applications. Every now and then we heard the news that the governments around the world are announcing a ban on crypto but does that mean they are announcing a ban on the blockchain? Absolutely not. In fact, Blockchain has now been seen as an innovative technology to bring drastic reforms in the e-governance models and digitized economies around the world, including India. Out of the many benefits, five of them are listed below-

Transfer of land records and property:

Everyone knows that property transfers necessitate a lot of paperwork to verify the credentials of the parties and the transaction involved. In such cases, Blockchain can provide a quick, safe and secure transfer of records. Thus, apart from making the process hassle-free, it will reduce litigation on title disputes on the property which we commonly see around us, as the ledger will record an indelible public entry that will be visible to all and cannot be tampered by anyone.

Pension and Insurance:

The use of blockchain in these areas can definitely save a massive amount of time and money. One can have “event-based smart contracts”, for eg: if an insured car is lost and the owner uploads the corresponding FIR for the same on a blockchain-enabled portal, then he may get the assured sum, without having interference of any agent. These smart contracts with “automated paying capacity” will reduce the involvement of a never-ending list of middlemen or agents, thereby saving a lot of money for the insurance companies and precious time of the beneficiaries. Additionally, recording the claims on such a portal will prohibit duplicity of claims.

E-voting:

It is perhaps the only avenue that entices the legislators and parliamentarians to discuss this tech on the floor of the Parliament. If the voters are registered on a blockchain-enabled voting portal, then duplicity of votes can be avoided, as the ledger will record only one vote per voter. Furthermore, people will not have to stand in long queues for hours anymore and the hefty cost of maintaining election arrangements will get reduced.

Reaping the benefits IP:

As one of the primary purposes of blockchain is to detect duplicity, it can help in identifying possible IP infringements that occur on a daily basis by providing a quick and cost-effective solution. It can help reduce piracy of artistic work (like keeping track of music, film, designs, etc.) thereby ensuring the creator’s adequate remuneration of their intellectual creation.

Maintaining Health-records:

After the arrival of the EHR (Electronic Health Record) system, people are reluctant to share the records of their personal health, which is obvious, as centrally stored data is more prone to cyberattacks. Thus, EHR needs to be combined with the privacy model of blockchain, which can only be accessed only by the patient and the doctor via a cryptographic key. This will also maintain a uniform record of the patient and every healthcare practitioner will have the same & updated access to his/her health details. Further, details of medical insurance can also be clubbed in that system, so that the patient doesn’t have to move pillar-to-post to settle down his claims.

This article has merely unearthed some of the hundreds of uses of blockchain technology that have been discovered till now and future generations can use this technology for various new purposes. As blockchain is merely a tool, in the right hands it can act as a lifeline but in the wrong hands can be a terminator for our future generations and thus needs to be regulated with certain rules and guidelines defining its broad framework. All these upcoming legal developments and novel uses will be updated timely in the later series of articles.

By

Atul Bhatt
LLB, 3rd year
Campus Law Centre
University of Delhi