Blockchain and Its Applications in the Real World

International Research Journal of Engineering and Technology (IRJET) e-ISSN: 2395-0056
Volume: 10 Issue: 09 | Sept 2023 www.irjet.net p-ISSN: 2395-0072
© 2023, IRJET | Impact Factor value: 8.226 | ISO 9001:2008 Certified Journal | Page 370
“Blockchain and Its Applications in the Real World”
Rajesh Kumar Kona1, Syed Ishrat2, Sameer Rithwik3, Mahesh Babu Kona4
123 UG student Dept of Cyber security, IOT incl. Blockchain Technology , VVIT, Andhra Pradesh, India
4 UG student Dept of Artificial Intelligence , MITS , Andhra Pradesh, India
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Abstract - Blockchain technology has the implicittoreshape
and contribute to an enhanced quality of life. Blockchain
technology has surfaced as a important force with the
eventuality to reshape traditionalparadigmsandsignificantly
ameliorate the quality of life. This explorationpaperdivesinto
the different practical applications of blockchain. Blockchain
plays major role in cryptocurrencies. blockchain boost the
sectors ranging from finance and supply chain operation to
healthcare and governance. By implementing translucency,
security, and data integrity, blockchain is at the van of
fostering trust in the digital age. This study examines both the
openings and challenges that blockchain presents in real-
world , emphasizing its capacity to revise the way we
interact with the world around us.
Key Words: Blockchain , Applications , Smart contract ,
Healthcare , Finance , E-governance.
1.INTRODUCTION
Blockchain is a technology introduced in 2008 by a person
using the name Satoshi Nakamoto. Satoshi Nakamoto's
revolutionary whitepaper on Bitcoin, the first practical
implementation of blockchain, introduceda groundbreaking
conception , a distributed ledgerableofrecordingdealsinan
incorruptibleand immutablemanner.Sincethatmomentous
publication, blockchain has enormously evolved beyond its
origins in cryptocurrency, web technology and real-world
applications .blockchain is implemented in finance , supply
chain management to healthcare and E-governance .In the
realm of finance, by offering secure, transparency,andcost-
effective deals, blockchain led to digital currencies like
Bitcoin , Ethereum . The impact extends to supply chain
operation, where blockchain ensures end-to-end visibility
and responsibility, combatting issues similar as fake
products and inefficiencies. In the healthcare sector, usage
of Blockchain technology led to provision of secure and
interoperable electronic health records( EHRs). This
invention streamlines data sharing among healthcare
providers, leading to more patient-centric care. In the
Governance sector, blockchain driven revolution, promising
transparent and tamper-resistant voting systems, as well as
secure digital individualities.
The birth of blockchain technology can be traced back to the
enigmatic Satoshi Nakamoto, whose seminal whitepaper,"
Bitcoin A Peer- to- Peer Electronic Cash System," published
in 2008, laid the foundation for a technological revolution.
Nakamoto's visionaryconceptionofa decentralized,tamper-
resistant tally surfaced as a direct response to the
vulnerabilities exposed by the global financial crisis . The
initial implementation of this groundbreaking technology,
Bitcoin, made its debut in 2009 as the world's first digital
cryptocurrency. It introduceda peer-to-peerelectroniccash
system . This invention marked a vital moment in the
history of digital currencies, as it showcased the eventuality
for a secure, transparent, and borderless system of value
exchange. The arrival of blockchain technology didn't
simply address the failings of being fiscal systems,it
ameliorates real- world operationsthatextendedfarbeyond
its cryptocurrency origins.
2. BLOCKCHAIN ARCHITECTURE
2.1 BLOCK HEADER
Block header acts as the identification for a particularblock .
It is periodically hashed by miners by changing the nonce
value . It contains meta data and information about the
transactions.
2.2 PREVIOUS BLOCK HASH
Previous Block hash is used to connect the present block to
the previous block (i th block with the ith-1 block ). It acts as
a reference to the parent block .
2.3 TIME STAMP
It is the date of creation for digital documents . It helps in
arrangement of the blocks in blockchainchronologically. Itis
represented as a string of characters.
2.4 NONCE
Nonce is a random number used in the mining process only
once . In short Nonce is referred to Number used once
.Nonce value is changed every time when a miner mines the
block to find a valid solution.
2.5 MERKLE ROOT
Merkle Root summarizesall thetransactionhashesina block
into a single hash , which is then stored in the block header .
This results in efficient way of verify if a transaction is
included in the block or not, enhancing the blockchain's
efficiency and security

3. BLOCKCHAIN - CRYPTOCURRENCY
Cryptocurrencies are known as digital or virtual form of
currency. They are a type of digital currency which people
can make their transactions digitally through online
platforms . Cryptocurrencies will not have any enacted or
intrinsic value they are simply tokens, what people are
willing to pay for them in the market. This is in contrast to
national currencies. There area numberof cryptocurrencies
bit the most well-known of these are Bitcoin and Ether. One
of the most active areas of the blockchain is in the financial
sector especially in the field of cryptocurrency.
Bitcoin has been called as the king of cryptocurrency.Within
two years of its quiet launch in 2009, Bit coin grew to
comprise billions of dollars of economic value despite only
brief assessment of the system's design. Since the timemore
and more research has been done to find hidden but
important aspects of the system, discover potential attacks,
suggest better alternatives, and point out tough challenges
we'll face in the future.
Below graphs shows the distribution of the ten largest
cryptoassets, with Bitcoin maintaining its position as the
largest by market cap. The total market cap of
cryptocurrency ranges fromapproximately$500-600billion
to a peak of $1.5 trillion, source – coinmarketcap.com.
Figure 3:Individual proportions of top10 crypto
assests
Figure 4 - Total marketcap of all cryptoassests
3. 1 BLOCKCHAIN – TRANSACTION PROCESS
1. Transaction initiation - When a user wants to send
cryptocurrency, user creates a digital message or a
record this record or message includes required
information like the public key of the recipient ,
amount of cryptocurrency to be sent with
timestamp.
2. Broadcasting - Message is Broadcasted to the entire
network. This message is sent to all nodes in the
network for validation
3. Pending state - Transaction joins a pool of pending
transactions waiting to beincludedinthenextblock
this is often referred as mem-pool or memory pool
4. Creation of Block - Miners , nodes in the network ,
compete to create a block of transactions . Creation
of block is done by solving a complex mathematical
problem, often referred to as the PROOF OF WORK.
The creation mechanism may vary based on the
Consensus mechanism.

5. Validation - once the Block is created, it contains a
set of pending transactions. After creationtheblock
is Broadcasted to the network
6. Network Consensus - Other nodes in the network
verify and validate the newly created block . They
check the transactions and ensure that the miner
followed the network rule .
7. Confirmation - Cryptocurrency often wait for
multiple confirmations from the network nodes .
Each node's confirmation is considered as a single
confirmation. Bitcoin's minimum confirmation for
the block to be validated is six. Each new block is
then added to the Blockchain.
3.2 Non-Fungible Tokens (NFTs)
Digitalization of assets can be done by adding a layer of
uniqueness and ownership verification . Digital asset is an
advantage of the blockchain . Digital assets are named as
Non-Fungible tokens(NFTs), unlike traditional
cryptocurrencies like bitcoin which are fungible and
interchangeable, NFTs are not fungible,cannotbedividedor
changed and they represent ownership of a specific item or
piece of content . NFTs are mostly representedinthe form of
digital arts , collectibles , music or virtual estate.
Uniqueness of NFT is the reason behind the digitalization of
assets in the form NFTs. Each NFT has its own properties
that differ from other NFTs . No one can modify or duplicate
the NFT or ownership of the NFT. NFTs areissuedbya smart
contract . The smart contract can create NFTs and assign
them to owner. Ownership of the NFT is done by mapping it
to the owner's address. Ownership can be transferred by
sending the NFT to receiver . NFT can also be destroyedonly
if the creator includes a functionality to burn known as
"burn" in the smart contract.
Figure 1 : Blockchain Transaction process
4. BLOCKCHAIN – APPLICATIONS
Blockchain technology is implemented inseveral operations
similar as finance, supply chain operation , healthcare ,E-
governance, and property rights. In finance, operation of
Blockchain promises secure and transparent deals,
potentially reducing the need for third-party and reforming
payments styles. In supply chain, Blockchain is enforced by
recording and validating each step transparently, reducing
crimes and enhancing trust, and enabling real- time
traceability. In healthcare, it helps secure electronic health
records( EHRs) and data sharing among hospitals , doctors
and case- care center. E-Governance made easy byenforcing
blockchain for transparent voting systems and securing
digital individualities, while property rights are strengthen
through blockchain's asset verification and content
protection.
4.1 BLOCKCHAIN – FINANCE
Blockchain technology is disrupting the financial sector by
providing transparency, secure, tamper-resistant
transactions. In the traditional financial system, money is
sent to the receiver from the sender by the means of third-
party or banks.
Sender is dependent on the third-party system which is a
centralized system. By implementing the blockchain
technology we can revolutionize the financial sector by
introducing the decentralized system with no third party

authority .Blockchain based cryptocurrencies like Bitcoin,
Ethereum have gained attention as alternative forms of
digital money, replacing the banking system. Blockchain is
streamlining cross-border payments, reducing the
transaction time from days to minutes. Blockchain also
facilitates peer-to-peerlendingplatforms ,withdecentralized
Finance (De-Fi) platforms emerging , the traditional finance
system are facing a pushback. One of the most significant
impacts of Blockchain is its transparency , every transaction
is recorded on the blockchain is visible to all theparticipants
in network. Transparency is crucial in auditing , fraud
detection .Smart contracts are introduced , a self-executing
agreements powered by blockchain reducing the need for
intermediaries . Blockchain's immutable ledgerensuresthat
once a transaction is recorded , it cannot be altered or
deleted which results in enhancing thesecurityandintegrity
of financial data.
4.2 BLOCKCHAIN – HEALTHCARE
In the healthcare there are many network connection of
applications that run on block chain technology for privacy
and security which includes the storingthedata ,exchanging
the data from many hospitals , and also the data from
pharmaceutical companies which are having wide range of
transportation , physicians. In Early traditional systems the
data is stored in physical format likewise paper documents ,
files in the centralizeddatabases,Thesephysical records face
several challenges such as vulnerability to loss, damage,and
unauthorized access. Retrieving the data can be time-
consuming which leads to delays in patient care and
decision-making and the current condition of the patient
may vary from the records stored .To overcome this , a new
proposal is made by the use of Blockchain technology .
Blockchain enhances the healthcare sector by enabling the
secure transfer of patient medical records, improving drug
supply chain management, and ensuring the safe and
efficient way of handling genetic code information. A
person's health records are sensitive information andneeds
to be dealt with high security .By implementing Blockchain
we can store the Health records by encoding using
cryptographic hash functions and storing them in
Blockchain, where a private key is provided which would
allow only specific individuals to access the records. Patient
records stored on the blockchain can be seamlessly
transmitted to insurance providers, or doctors can securely
share health records with relevant parties. It also
substantiate how the Ethereum smart contracts will provide
automated arbitrations in a secure environment by
supporting real-time patient monitoring application. can be
integrated with wearable Internet of Things (IoT) devices,
revolutionizing health record monitoring for both patients
and healthcare providers.
Blockchain technology Blockchain offers a secure and easily
authenticated platform for data transferfrom wearableslike
fitness trackers, health monitors, and activity devices. This
data is accessible to patients and doctors assuring a secure
and real-time monitoringofthepatientshealthandprogress.
Doctors can access this secured , regularly updated data
which enable them to track patient's healthcare condition
and make informed decisions about their healthcare.
Insurance claims also plays a vital role in thehealthcarefield
that can get benefits from block chain that provides
transparency , immutability of stored dataonitwhereinthe
blockchain medical insurance system that provides medical
insurance industry with encryptedstoredmedical insurance
data. The unique capabilities of blockchain whichcanhelpin
real-time report of diseases and the that can help identify
examination of disease patterns and its transmission
parameters and origin.
Figure 2 : Blockchain Streamlining Healthcare Roles
4.3 BLOCKCHAIN – E-GOVERNANCE
E-governance , often referred to electronic governance , is
the usage of digital technologies to enhance and connect the
government services to the citizens and engage the citizens
in decision making . Initially E-governance is seen as the
digitalization of the traditional government practices ,
making it more accessible and efficient .By implementing
Blockchain in the field of e-governance we can upgrade the
present practice and enhance the efficiency , transparency ,
and security to the operations and data .
1. Manage Digital identity: A decentralizedBlockchain
platform can be created for managing digital
identities. These identities are verified and hash
value of the identity is stored in the block , ensuring
privacy and reducing the theft risks . This could
facilitate secure across several services like online
voting system .
2. Secure voting system: As the blockchain is
immutable and tamper-resistant ,each vote is
recorded as a tamper-proof transaction making it
impossible to alter or manipulate which could lead
to no fault tolerance .
3. Smart Contracts for Government services: Smart
contracts , self executing agreements with
predefined rules and conditions can be
programmed to automate thegovernmentservices.
We can include the public or citizenpool toconsider

the opinion of the people by using D-app
(decentralized app)
4. Budget and expenditure transparency: By
implementing the blockchainingovernment budget
and expenditure , the public can track the funds
usage which promotes transparency and
accountability in government finance.
5. Digital Notary : Blockchain can be used as a digital
notary by timestamping documents and
transactions to verify its integrity and authenticity .
6. Governmnet pay: Blockchain can be used to track
the distribution of the money , resources and other
services to the people .
Benefits:
1. Transparency : Blockchain usage in E-governance
improves the transparency by making the records
transparent and available to the public and storing
it in a immutable ledger ensuring all the data are
visible to authorized people
2. Security: Blockchain encrypts the data by
implementing cryptographic algorithms like
SHA256 making it highly resistant to unauthorized
access
3. Integrity: Data stored and recorded in blockchain
cannot be deleted or altered.
4. Decentralization :By implementing blockchain we
are removing the central authority,thisreducesthe
risk of service/system failure as the nodes in
network are up and running .
5. Efficiency: By using Smart contracts for self
executing programs based on conditions or
agreements we can reduce the human error and
increase efficiency.13% of the Blockchain industry
is considered to be E-governance.Several
publications are being made inorder to implement
blockchain in the government services
4.4 BLOCKCHAIN – SUPPLY CHAIN
A supply chain is a network formed by different
organizations , people , activities,informationand resources
involved regarding moving a product/service from supplier
to the customer and management of the product
Supply Chain management is necessary and used across
several sectors including manufacturing , healthcare ,
logistics .In Traditional supply chain management, a person
or an organization acts as a central authority and makes the
decision and checks the status of the process or product . All
the other members in the network are not provided with
accurate information and are dependent on the central
authority . Stakeholders and customers doesnotgettoknow
the status of the process/product accurately .Traditional
supply chain management lacks transparency , limited
Traceability , manually recording the data , Delay in
Information , High management cost, Limited Trust .
Traditional supply chain follows linearstructurewhereeach
participant performs its role in a sequential order by
downstream .All the decisions are made by central authority
such as product scheduling , replenishmentwhichcouldlead
to time delay .To overcome it , blockchain is implemented in
supply chain management .
In Blockchain based supply chain managementsystem, each
step of the supply chain is recorded in blockchain , from raw
materials extraction to end consumer , ensuring that every
transaction and status is visible to the end consumer and
immutable . This boosts the transparency in supply chain
and reduces risk of fraud and counterfeiting. It provides
consumers with the ability to trace the origin of products.In
this system central authority is replace by smart contracts
and the process gets executed based on conditions,
agreements which reduces the time delay in decision
making. We can automate various processes like payment,
order fulfillment , order status . Smart contracts streamline
operations, reduces delays , and mitigate disputes .Data
regarding the consumer and information of theproductsare
stored by encrypting using blockchain's cryptographic
techniques to ensure compliance with data privacy
regulations.
5. CONCLUSION:
In the current era of technological advancement, blockchain
has transformed with several real-world applications.
Initially Blockchain is used in cryptocurrencies. Now
blockchain has impact on various sectors by extending its
advantages and acting as a transformative force for the real
world operations. Decentralizationandtransparencyplaysa
major role in implementing in real world applications .
Blockchain offers enhanced security , traceability which is
critical in several sectors. Blockchain is used in sectors like
finance , supply chain , health care, E-governance and more .
Traditional banking system is replaced by the blockchain's
decentralized finance and cryptocurrency offering secure
and reducing intermediaries . Supply chain benefits from
blockchain's usage by providing end-to-end visibility of the
consumer .Blockchain being integrated in Healthcare
industry to secure health records instead of traditional way
of maintaining physical records .E-governance gets
benefited by blockchains tamper-resistant immutable
recording and integrity.In the new era , blockchain brings
new ways of enhancing the real world applications by
offering a new paradigm for industries.

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