The use of a blockchain in identity management is one of the most promising applications for the technology. This is because entries on a public blockchain are forgery-proof. This enables any contractual partners to ensure that their counterparties are trustworthy. Furthermore, the stored data is in their own hands. Everyone can decide for themselves which personal data they want to disclose.
Identity management and the Bitcoin secret
One example where the Bitcoin secret technology has already been well received is the Swiss Federal Railway. Railway workers can store data on a Bitcoin secret blockchain. If the employer changes, the migration of the data is considerably simplified and the data does not remain on the employer’s servers.
The so-called supply chain management can also benefit from the increase in trust through the use of DLT. Manufacturers of conflict-laden goods such as gold or diamonds can use DLT to express their commitment to ethical production processes.
Consumers can see the different stages of the value chain on the public block chain. Since subsequent changes to the protocol are blockchain-compliant, counterfeiting is ruled out.
However, a major problem with the “blockchain in supply chain management” remains: The data may be stored on the blockchain forgery-proof. Whether an entry is also factually correct, however, must be proven elsewhere. There is always the danger of misuse of the technology, as certain data can already be falsified before it is uploaded into the blockchain.
The legal system
Hardly any other organ of the administration of justice stands more for institutionalised trust than the notary’s office. Sworn notaries notarise high-volume legal transactions, administer estates and certify legal documents.