Traditionally, blockchain technology has been associated with cryptocurrency, but the technologies applications are far wider reaching.
As a secure public ledger, experts feel that blockchain could be exactly what the healthcare industry needs, because it removes the middleperson. Through blockchain, there is a unique opportunity to increase the security of various transactional activities in the healthcare space, while eliminating bureaucracy and manual inefficiencies, improving quality of care and democratizing patient data.
Blockchain is a decentralized list of digital records linked together by cryptography. Each record is known as a ‘block’. Every block contains a cryptographic hash of the previous block i.e. a mathematical algorithm, a timestamp, and data of that transaction. Blockchain technology was developed to be a secure open ledger to record digital transactions, managed by a peer-to-peer network.
According to an article in Digital Authority Partners, HIPAA reported that in 2018, there was at least one data breach of healthcare records every day. Between 2009 and 2018, more than 59% of the US population had their healthcare records compromised from data breaches. In the age of data-insecurity, health organizations should, therefore, be looking at utilizing blockchain technology.
There’s a lot more to it than simply transactional activities’ - blockchain is about securely sharing data previously deemed impossible to extract.
According to Healthcare Weekly, “40% of healthcare executives see blockchain technology as one of the top 5 priorities in the industry.
“Furthermore, the adoption of the blockchain in healthcare could save the healthcare industry up to $100-$150 billion per year by 2025 in data breach-related costs, IT costs, operations costs, support function costs, and personnel costs, and through a reduction in frauds and counterfeit products.
“Blockchain technology can prove to be just as effective a solution as AI; it can help improve the drug supply chain and make the clinical trials process more efficient. One of the main issues in pharma is preventing counterfeit medicines from getting to market,” Healthcare weekly continued.
Creating end-to-end visibility in supply chain management and maintaining prescription drug traceability and integrity hold utmost importance in the pharmaceutical industry, which is currently accelerated by the compliance requirements DSCSA from FDA (Food and Drug Administration).
Chairman and CEO of Healthcare Triangle, Suresh Venkatachari, said:
“FDA’s requirements alone are not the driving factor behind accelerating the blockchain transformation of pharma supply chain.
“Blockchain is the best track & trace solution available for us today, giving complete end-to-end supply chain visibility, thus can make a significant difference, if adopted right.” Venkatachari continued.