Revolutionizing Healthcare: Top 5 Real-World Examples of Blockchain Applications in the Medical Industry

 

Healthcare faces numerous difficulties when it comes to data sharing and verification. Doctors lack easy access to patient records while hackers exploit them with relative ease; patients don't feel in control of their health data, and no one has an effective system to check fake drugs entering the market.

Does traditional data management become outdated?

Blockchain technology has quickly gained prominence not only within financial services but also in healthcare institutions and hospitals alike. Global medical blockchain sales are predicted to experience compound annual growth from 2021-2026 at 35% compound annual compound average growth - reaching $55,83 billion in 2026! Hospitals and other medical facilities are using blockchain development services to optimize data practices within hospitals or medical institutes.

How is Blockchain used within the healthcare sector, and what challenges might come from its application in healthcare settings?

How Can Blockchain Be Used In Healthcare?

Blockchain technology's distributed ledger provides secure medical record transfers between patients, improves data security, and manages medicine supply chains for improved supply management - as well as helping researchers unlock genetic codes.

Blockchain in healthcare can offer relief by decreasing spending bubbles and improving the healthcare experience. Blockchain has already proven its usefulness, from secure data encrypting to controlling dangerous diseases spreading.

Blockchain And Healthcare Data Security

Blockchain applications in healthcare have long been utilized to protect medical data securely. Security remains of vital concern; between July 2021 and June 2024 alone, 692 significant breaches compromised healthcare data such as credit card numbers and bank account details, health records, and genomic tests stolen by criminals.

Blockchain technology is ideal for applications that demand security due to its incorruptible log and decentralized, transparent nature. While Blockchain can be seen as public or transparent, its complexity allows individuals to hide behind complex codes to protect sensitive medical data more privately than traditional solutions. Decentralization also facilitates quick sharing between healthcare professionals, such as doctors and patients, quickly and securely.

How Does Blockchain Benefit The Healthcare Industry?

Blockchain healthcare is an open-source, decentralized system designed to store and generate data. All devices on a blockchain generate blocks that reflect any transactions conducted on it by individual devices, or when data has been altered, it's recorded into blocks allowing changes to be verified back to their source easily.

What can Blockchain do for healthcare? Blockchain uses advanced cryptography to secure data. It also features a permissions system that gives back ownership to individuals while its transparency supports clinical trial documentation by timestamping every detail; contract management capabilities and payment solutions are available via Blockchain technology.

Blockchain In Healthcare: Benefits

Blockchain technology has many benefits for different actors in healthcare.

Blockchain In Healthcare:

• Blockchain allows multiple doctors to see the same data from different locations in real time.
• The medical record system is transformed into a secure decentralized database.
• Medical credentialing is now faster.

Patients Blockchain:

• Patients can now take ownership of their medical data.
• Consent mechanisms that prevent healthcare providers from gaining access to information without consent
• Patients can participate directly in research or otherwise monetize their data.
• Securely collects and stores wearable device data.

Blockchain In Pharmaceutics

• Recruitment of participants in clinical trials
• Its immutable record supports reliable documentation and auditable clinical trials.
• Allows spotting counterfeit drugs

Insurance Blockchain:

• The confirmation process is accelerated.
• Smart contracts allow insurers to create and manage intelligent agreements.
• Eliminating intermediaries reduces costs.

Blockchain In Healthcare: Disadvantages

The nature of blockchain technology has several drawbacks for healthcare.

• The transaction time will increase as the number of blocks increases. This can cause delays.
• Unable to delete records permanently. It is not possible to permanently delete records.
• To make this technology work, all organizations involved must be in agreement.
• Large patient databases, including MRIs, can cause problems.
• Costs of planning, development, and maintenance

Use Cases Of Blockchain In Healthcare

Seven of the most prominent blockchain applications for healthcare are listed below:

1. Supply chain transparency.
2. Medical credentialing is now faster.
3. Patients-centered EHRs.
4. Medical trials that are manageable.
5. Security Enhanced.
6. Smart contracts enforce commitments.
7. Research on Genomic Technology.

Blockchain Enhances Transparency In The Healthcare Supply Chain

Counterfeit medications remain an ever-present danger; according to Health Organization estimates that up to one percent of medication sold in developed nations may be counterfeit and almost 10% in developing nations, as evidenced by the Drug Enforcement Agency's (DEA) capture of over 9.5 Million Fake Medicines In US by 2021 alone (which they claim exceeds both previous years combined!). This number represents proof that the counterfeit drug problem persists ad endlessly.

Blockchain can assist healthcare customers by enabling them to track products from manufacturing through wholesale distribution and delivery to ensure the authenticity of products they purchase - such as drugs or medical equipment. A ledger created for each drug documents its source - such as an established lab - while every change or manipulation since has also been recorded and saved on the Blockchain; for instance, labor costs or time wastage due to production and transport could all be revealed using this approach.

MediLedger, a blockchain protocol healthcare organizations use to verify their supply chains of prescription drugs, provides expiration dates and manufacturers. MediLedger also allows secure messaging between parties - this network has already become widely adopted among many prominent healthcare providers such as Bayer, Pfizer, and Cardinal Health.

Blockpharma, a Parisian company, offers an innovative solution. Their mobile app scans medication supply chains at all shipping points before verifying them with patients using its verification feature - intercepting 15% of counterfeit drugs worldwide in its current capacity!

The Blockchain Accelerates Medical Credentials

Verifying credentials such as training, licenses, and skills is often an intensive and time-consuming process that typically happens via email or phone; sometimes, this takes four or six months! According to Council for Affordable Quality Healthcare data, payers spend nearly $2 billion every year maintaining databases of healthcare providers. However, blockchain technology offers an efficient and more reliable alternative solution without needing human reference as part of verification procedures.

Blockchain allows healthcare organizations to track and monitor employee credentials efficiently. Hiring processes become faster, and there's more trust between hospitals and subcontractors; blockchain records permit incremental updates as soon as professional qualifications need updating.

ArchiveCore, founded by two physicians, uses blockchain technology to validate primary credentialing documentation quickly to speed up background checks of new employees faster. Carilion Clinic found that ArchiveCore would have saved them over $1.2 Million!

Read More: ''Overview Of Blockchain Technology In Healthcare''

Blockchain Enables Patient-Centric Ehrs

Sharing medical data between departments requires extreme discretion. A survey in the US of physicians and nurses showed that 74% believe this puts patient safety at risk when information is shared across departments.

Blockchain has revolutionized the healthcare industry to offer a comprehensive overview of patient records while managing consent for data sharing. Patients gain complete control of their records using these systems - they receive notifications whenever their data changes and decide if/how it's shared with researchers, doctors, or others (full record sharing or partial). They may set time limits when third parties view or access this data directly, allowing insurers to verify directly with patients without third-party intermediaries being necessary.

MedicalChain, one company using Blockchain, assists healthcare providers with integrating electronic medical records onto a powered platform. MedicalChain may also be utilized for other healthcare solutions like virtual consultations or marketplaces, letting patients profit from anonymized data.

Blockchain Can Facilitate Clinical Trials

Report A estimates the global cost of drug development at $350 billion annually, with clinical trial data generated involving many participants, including sponsors, subjects of studies, doctors, scientists, pharmaceutical manufacturers, etc. There is also the high risk of mistakes or intentional fraud; another difficulty lies in recruiting trial participants, as only 8 percent of cancer patients currently participate. Unfortunately, information related to clinical trials tends to be stored centrally, which makes sharing difficult between all interested parties.

Blockchain can also help enhance transparency in clinical trials. Researchers can use it to detect studies with dubious protocols and stop their publication; all documents associated with clinical trials can also be securely and timestamped using this technology - including project proposals, survey results, research designs, blood tests, and consent forms from patients - securely timestamped within this technology's blockchain records - even across geographical borders! Participants also see real-time updates about what information has changed, with real-time updates available across all geographical regions simultaneously using this tool.

Blockchain can also assist clinical trial finances. Boehringer Ingelheim recently joined forces with developing a Blockchain-powered bookkeeping system. Another issue related to trial participants' delayed incomes can take several months; Bloqcube, however, offers blockchain software explicitly designed for clinical trials that work with central bank digital currencies for faster payment processes. Hence, doctors and patients receive their compensation promptly upon completing tasks.

Blockchain Enhances Security

Most health data are stored in centralized databases that do not offer adequate protection from theft or breaches, according to Journal's estimates breaches compromising 44,993,618 medical records alone.

Blockchain technology provides a way to safeguard health data storage and transfer securely. Network in California utilizes this blockchain-powered solution for creating policies and configuring layers within data layers; further, checks health data sources and destinations in real-time to provide verification services in real-time.

Blockchain offers encryption. Healthcare providers require accessing patient information using public keys provided by blockchain-supported healthcare organizations; research indicates 63% fail to encrypt PHI on their computers, making viewing this type of data harder for healthcare organizations and more vulnerable to patient privacy violations. Testing and vaccine-verification platform Testd uses Blockchain to anonymize further and secure their data.

Wearable medical devices are another application of Blockchain in healthcare that provide security benefits, with this technology ensuring the safe recording and transmission of IoT device information from healthcare devices to providers while simultaneously blocking specific devices to avoid unauthorized access or compromises.

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Smart Contracts Enforce Blockchain Commitments

Contractual disputes plague every industry. According to research, 10 % of medical insurance claims are denied due to incomplete or duplicate information being supplied to insurers.

Intelligent contracts may provide the solution.

Smart contracts are code pieces deployed onto blockchain networks that, once created, execute themselves when certain conditions have been fulfilled. By eliminating intermediaries, costs in medical industries can also be significantly decreased with smart contracts.

This technology empowers healthcare stakeholders, such as providers, patients, and insurers, to document contract clauses. A network will automatically authenticate users and record contract clauses in real time; any time someone visits their doctor, they'll be recorded in an event ledger and the insurance provider notified; intelligent contracts can help speed the resolution of disputes faster and verify information more rapidly.

Curisium was recently developed and was acquired by HealthVerity of Philadelphia to create and use Blockchain to facilitate contract negotiation and management within the healthcare industry. Their platform allows payers and providers to engage in secure contracting and find common ground when disputes arise.

Blockchain Enables Genomic Research

Costs associated with genome sequencing have fallen considerably from $10k just a few short years ago to under $1,000 today. Some companies even claim this can be done for just $100. Scientists are eager to conduct genome research; where can participants willing to participate be found and stored securely?

Another blockchain application in healthcare. This technology enables users to securely store and exchange billions of genomic data points between parties without necessary intermediaries. Individuals can legally monetize their genomic information using this solution.

EncrypGen offers a DNA marketplace enabled by Blockchain. Participants can utilize traceable DNA tokens to upload, share, search, and sell genetic data.

DNAtix, an Israeli biotech firm, also effectively leverages Blockchain to enable genomic data sharing between researchers and data owners by accepting DNAtix tokens as payment. DNAtix prides itself in anonymizing all payments and contracts; Ofer Lidsky, its CEO, states this proudly: "We bring you an exciting way to participate in research studies while remaining anonymous - test and store DNA anonymously while participating anonymously! Soon the most secure genetics will be on offer."

• Complying with HIPAA regulations and data privacy laws: Blockchain stores compassionate patient data and regulates it on a transparent network. Healthcare organizations must ensure they comply with HIPAA and other data privacy regulations. Blockchain stores compassionate patient data on a network that is designed to be transparent.
• Medical facilities must evaluate how to store large volumes of data while maintaining performance.
• We can't optimize blockchain security, decentralization, and scalability at the same time. The improvement of one of these parameters comes at the cost of another. If, for example, Blockchain's payment system were to become globalized, then the security in handling transactions would be at risk. The researchers are working on solutions, but it is still a concern for now.
• Another challenge with Blockchain is data authorization. Data access in the healthcare sector is dependent on permissions. What if the patient is physically unable to give consent? The organizations will need to develop protocols for operating in such situations.
• Blockchain uses cryptography for its security. Key management is a concern. If the public key used for each block is compromised, all data will be revealed. A different key is needed for every block. This will increase costs when storing data and accessing it.

Read More: ''BLOCKCHAIN FUTURE: How And Where We Can Use It''

What Is The Best Way To Implement Blockchain Technology In Healthcare?

During an interview, Stuart Hanson (CEO of Avaneer Health) explained to Healthcare IT News that Blockchain wasn't just another technological solution that medical facilities could rely on to solve all their issues instantly. To reap maximum results with their adoption, hospitals may need to modify internal processes, upgrade tech stacks and encourage staff and partners to embrace a different mentality if they hope for successful blockchain adoption.

Organizations need to cooperate closely to realize the full benefits of Blockchain in healthcare, so organizations, banking institutions, blockchain Healthcare services and Aetna joined together with healthcare providers such as Sentara to establish a governance framework to monitor a blockchain-powered healthcare network and create this governance structure aimed at creating one. This collaboration's purpose was also envisioned in creating this structure of healthcare blockchain networks.

Consult professional software companies if you are curious about using Blockchain in healthcare. Although implementing this technology may appear complicated, doing so could significantly lower costs while improving patient care, data security, and transparency for medical facilities.

5 Blockchain Healthcare Use Cases In Digital Health

Transparency Of The Supply Chain

Like in other industries, verifying their authenticity is one of the most significant difficulties associated with medical products. Customers can gain complete visibility into their purchases using blockchain-powered tracking systems that monitor every item throughout its journey from production to distribution.

Industry security should always be top of mind, particularly in emerging markets where counterfeit pharmaceuticals cause thousands of deaths yearly. Medical devices are becoming an increasing target as their proliferation with remote monitoring attracts criminals.

MediLedger is a pioneering example of blockchain technology that empowers pharmaceutical supply chains to authenticate medicines' authenticity, expiry dates, and other vital details such as manufacturer details.

Blockchain and AI:

• Confidence of the customer: The ability to track packages from manufacturer, wholesaler, and shipping all through.
• Compliance: To ensure the safety of patients, medical devices and pharmaceutical manufacturers must report a lot. Aggregating supply chain data in one system can help streamline compliance. For instance, FarmaTrust's blockchain-based system notifies law enforcement when it detects an issue.

AI-Driven Supply Chain Optimization: Once data has been accumulated, AI will use machine learning algorithms to predict demand more accurately and optimize supply.

Supply chain transparency and management is one of the many uses for blockchain outside financial markets, like Walmart's partnership, to ensure food safety throughout their supply chains. Given this technology's proven results and ROI potential, supply chain management could significantly impact healthcare.

Electronic Health Records Centered On Patients

Healthcare systems around the globe are grappling with how to handle silos of data, meaning both patients and providers of care lack an accurate picture of each other's medical histories. Johns Hopkins University conducted research that demonstrated medical errors caused by poorly coordinated care were the third most frequent cause of American deaths between 2016-2025 - this included planned actions which weren't carried out or discrepancies within patient records that weren't identified during patient assessments.

Blockchain-based medical record systems connected to existing electronic medical record software could offer a solution. Every new record added to the Blockchain - such as doctor prescriptions, lab results, or physician notes - is translated into unique hash functions containing numbers and letters deciphered only with consent from its owner - in this instance, the patient.

Every time a patient grants an update or consent to share, this transaction is recorded on the Blockchain. One example is Medicalchain, an EMR provider-focused company that implements blockchain EMR systems.

Medical records for each individual serve as an invaluable source of knowledge that providers and patients can rely on. Patients can view when their records have been updated and can choose to share them with healthcare providers or researchers as desired. They also have control over when third parties can gain access to this data.

Medical insurers can gain immediate confirmation from patients of healthcare services provided, saving time and money in verification procedures. Medicalchain has gone beyond providing blockchain-based records of healthcare to creating an open platform on which other companies can create digital health solutions, like virtual consulting or data exchange where patients may exchange anonymized medical data in exchange for Medtokens to support digital health applications such as population-level analytics solutions.

As more sophisticated analytics emerge, their impact will become even more significant as more comprehensive digitalized patient records are shared among healthcare practitioners. Poor data have greatly limited personalized medicine development. Accessing reliable population-level data would allow us to segment and analyze targeted medicine results more precisely.

FarmaTrust provides more than just supply-chain solutions; in addition to this offering, they also have developed gene and cell therapy support solutions, and several research programs are exploring AI/Blockchain technologies to advance personalized medicine.

Smart Contracts For Insurance And Supply Chain Settlements

Blockchain companies such as Chronicled and Curisium allow healthcare players, including pharmaceutical manufacturers, medical device OEMs, wholesalers/retailers, insurers, healthcare providers, and agents, to authenticate themselves as organizations while tracking transactions as well as payment settlement information for goods and services bought or provided - creating an ideal digital working environment between trading partners, insurers and healthcare providers.

At present, manufacturers, distributors, and healthcare organizations can reduce disputes regarding payment charges for prescription drugs by signing digital agreements through blockchain ledgers rather than having individual contracts between themselves. According to estimates of how pricing structures fluctuate constantly, over one million chargebacks are filed annually between all these parties; over five percent require manual resolution due to disputes among them.

A recent report shows that 10 percent of medical claims are disputable, making intelligent contracts shared among patients an invaluable way to manage them and ensure proper payment by insurers. Once digitalized and accessible to them, insurance providers also utilize advanced analytics to optimize outcomes and costs associated with healthcare delivery.

Verification Of Medical Staff Credentials

Blockchain technology can also be utilized to track the provenance and experience of medical practitioners. Trusted medical institutions or healthcare organizations can record staff credential information to expedite hiring practices for healthcare providers. ProCredEx, an American-based company, has devised an automated verification system using the R3 Corda protocol to verify medical credentials for healthcare providers.

Blockchain technology has many benefits.

• Credentialing healthcare organizations faster during the hiring
• Medical institutions, insurance companies, and healthcare providers can monetize their data on their past and current staff.
• Transparency for all partners. Organizations subcontracting locum-tenens or emerging virtual health delivery models to inform patients about medical staff's experience

IoT Security For Remote Monitoring

Remote monitoring has emerged as a central trend within digital health. All types of sensors can now measure vital signs from patients remotely, giving healthcare professionals more significant insight into their well-being while providing proactive preventative care solutions. Our previous articles about 5G and digital health highlighted several promising remote monitoring apps.

Security in health IoT is of utmost importance. To safeguard patient data collected by health devices is safeguarded and unaltered. Connected devices may also play an invaluable role during emergencies like heart attacks or falls requiring assistance; systems designed to alert elderly caregivers needing care must be resilient against DDoS attacks or similar disruptions that might threaten these services.

Blockchain systems offer a solution for protecting IoT remote devices.

Blockchain cryptography ensures that only authorized parties can access sensitive personal information stored on its blockchain network. Any changes made to data sources result in new hashes being generated for each occurrence of changes; as a user, you need access to keys to translate hash values back into original data forms.

Once patient data has been recorded in a blockchain (using hash functions), its alteration becomes virtually impossible as that would require access to all copies stored.

Decentralized Blockchain allows IoT devices to communicate directly without going through an intermediary server, making DDoS attacks and man-in-the-middle attacks much harder to execute. For more information, see STL Partners' "Moving Beyond the Lab: How Blockchain Can Pay" report.

 

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Last Thought

Blockchain could play an essential role in strengthening IoT security for healthcare, yet its full potential remains to be discovered. Although Blockchain could become part of digital health firms' overall security strategies for monitoring devices remotely, its effectiveness remains uncertain. Blockchain should only be utilized as part of an overall plan to safeguard this vital aspect.