5 domains that fit Blockchain like a glove


We are living in an increasingly paperless world and more and more we talk about blockchain and Smart Contracts. With the advent of the internet and e-commerce, businesses have taken on a global scale, making it easy for even the smallest entrepreneur to reach a worldwide customer base. This in turn implies contracts and transactions happening across continents.

Paper contracts, whose sensitivity requires high courier fees and longer waiting periods, were in many cases scrapped in favor of digital variants, which have proven far too easy to tamper with. Between a tried and tested method that has lost its efficiency and a fast, but insecure option, is there room for a third way that combines security in a 21st-century format? For many, the answer lies in blockchain and Smart Contracts.

Smart Contracts are digitally signed and use self-executing code on a blockchain to automatically enforce the terms of an agreement between two or more parties. Their most famous applied example is the Ethereum project, but a host of other cryptocurrencies such as Monax, Lisk and Tezos also offer Smart Contracts capabilities. Technology research firm Gartner estimates that, by 2022, Smart Contracts will begin to impact global commerce, with 25% of global organizations implementing them.

Like all new technology, blockchain and Smart Contracts are likely to be adopted in waves, with some domains embracing it early on, while others will take a more cautionary approach and prefer to wait until they are tried and tested. Startups, the usual market disruptors with nothing to lose, are already experimenting with the integration of blockchain and Smart Contracts into their business plans.

But which are the big domains that are likely to see blockchain and Smart Contracts implementation in the coming years? Let’s find out!


When it comes to financial institutions such as banks, money talks and the numbers are in favour of blockchain technology. According to a report from technology firm Accenture, investment banks could save up to $12 billion a year by integrating blockchain technology into their infrastructure. An organisation-wide implementation could in fact reduce infrastructure costs by 30% and compliance associated costs by as much as 50%.

With an estimated two-thirds of banks’ current IT budgets being spent on the support of outdated back-office legacy programs, it’s no wonder that banks are eager to experiment with blockchain. The areas where Smart Contracts specifically might be of support include the generation of KYCs, mortgages and bonds.


With the rise of compliance regulations demanding the protection of personal data such as the GDPR in the EU and HIPAA, which deals exclusively with healthcare records, in the US, companies are always looking for ways to improve data security and stay clear of fines.

Smart Contracts could encode personal health records on the blockchain with access granted through a private key only to those that need to process or review the information. They could also allow for the transfer or access of electronic health records based on approvals between patients and providers.

Smart Contracts can be applied to crucial research, where Smart Contracts could ensure confidentiality and anonymity of participants. Billing and healthcare claims is another area where they might prove useful in healthcare by automating processes that usually take months to be finalized.

Supply Chains and Logistics

Supply chain management has evolved into a complex system of paperwork and processes. Payments between manufacturer, supplier, customer and vendor, are weighed down by traditional contracts handled by lawyers and banks which both delay deliveries and imply additional costs. Smart Contracts could revolutionize the entire system by introducing automatic payments upon delivery monitored through trackers and GPS or the meeting of other necessary conditions.

By replacing traditional documentation, Smart Contracts could eliminate major steps in shipping and moving goods such as issuing customs and landing bills while also reducing the number of third parties included in the process. Other areas where they could be successfully leveraged in are quality control, product traceability and maintenance reporting.


In the entertainment industry, Smart Contracts could bring about a new way for artists and associated parties to receive their royalty payments. They could help track ownership rights and ensure that every person legally obliged to receive royalty payments is paid.

Changes to the data would also require approval from all parties registered in the Smart Contracts, thus protecting its integrity and raising the level of trust in ownership. Once a product is bought, the transaction is broadcasted across the blockchain and royalty payments are generated automatically and paid without delays.

Internet of Things

As a new and itself disruptive domain, IoT is one of the prime candidates for the early adoption of blockchain and Smart Contracts. Without the burden of rigid infrastructure and with needs fueled by the latest technologies, IoT is set to become a blockchain trailblazer.

In fact, companies combining Smart Contracts and IoT have already started emerging: Slock.it, a German startup specializing in blockchain and IoT applications has developed smart locks controlled by Ethereum Smart Contracts. Any property owner can use them to automatize their renting process: the lock opens on the condition a payment is made to the Ethereum blockchain. The same can be done for rented or leased cars, the latest models of which already operate on smart systems. The practical applications can thus be endless and are likely to lead to the creation of an entire new subdivision within IoT.