How can Blockchain help in COVID-19 crisis and recovery
Blockchain technology has made significant advancements since its inception and has constantly been advancing into different areas. Few of them are as critical as medicine and sustaining medical facilities. The recent outbreak of the COVID-19 global epidemic has brought blockchain technology into the limelight as it can play an important role in containing the spread of the virus.
The pandemic and the subsequent lockdown have had a negative impact on many industries and we expect a significant slowdown in technology spending, including blockchain. Nevertheless, there are some bright spots where blockchain is used to combat the effects of COVID-19 and aid in the recovery process. These innovative use cases can demonstrate the benefits of blockchain to a wider audience.
Contact tracing
Medical facilities need immutable, trustworthy medical data quickly and electronically. A critical requirement to contain coronavirus is to track any individual having tested positive and to track the health of anyone who has come in contact with that individual, even if those encounters were across borders. Therefore, blockchain could act as a database globally where the information can be accessed by medical facilities anywhere. Blockchain can allow medical facilities to access the data on the people tested, the test results, and kits on a real-time basis to identify and curtail false information. 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.
Data and fact checking
The technology should also be used to ‘validate quality medical advice’ and recognize sources of misinformation as these can have serious effects during such crises. Currently, social media has caused several myths and other ill-represented facts, conspiracies to spread. The blockchain can serve as a means to verify quality advice the public should follow versus false claims the public should disregard. This is important to avoid fake news and prevent people from being afraid of facts that have not been checked by professionals.
Telemedicine
Most countries have taken measures of lockdown and shelter-in-place to restrict the spread of the virus while healthcare providers are working round the clock to provide essential services. This has already put tremendous pressure on this sector, where telemedicine has emerged as a viable option as people need to stay in isolation. Telemedicine is the remote use of telecommunications to deliver care, like trading the typical doctor’s appointment for a private, secure video call with a medical profession. Therefore it can be used for medical consultation without a physical visit, which has naturally led to a boom in this sector, presently. Although it does not apply for all cases, because some patients need to attend physically, it’s a really viable option for this times of pandemic.
Supply chain management
The COVID-19 crisis has caused major disruptions across global supply chains. Two factors 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. Long supply chains cause needless opacity and this makes it difficult to forecast and plan supply accordingly. 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.
Disaster Relief and Insurance
The enforced lockdown introduced by governments around the world has exacted a heavy toll on many businesses. Most physical stores have closed, while demand for all but the most essential items has plummeted. In these times of financial distress, governments have taken measures to stave off a steep economic downturn. Providing loans and other financial lifelines is a way to keep many businesses afloat. Blockchain is used in the loan and insurance industry to simplify and shorten the complicated application and approval process by removing third-party intermediaries and inherent delays in processing. The benefits include faster processing time, lower costs, reduced operational risks, and rapid settlement for all parties involved.
In conclusion
Despite blockchain technology bringing in such advancements, countries need to take comprehensive steps to prevent the further spread of the pandemic. Blockchain technology has facilitated a boom in the telemedicine industry, although it is far beyond the reach of the average customer, especially in countries like India. However, the technology can certainly lay the foundation for firms building on a system of remote healthcare as this pandemic would isolate most of the global population.
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.
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