The Use of Blockchains: Application-Driven Analysis of Applicability

Bitcoin paved the way for a highly successful FinTech (Financial Technology) application on the basis of a newer technology termed blockchain. As this technology has evolved very recently beyond the financial market, gaining more public attention, other promising blockchain applications areas and use cases are emerging. However, it is still not a straightforward in which application areas and use cases blockchains do provide an advantage beyond distributed databases and decentralized systems. Through a decentralized and immutable data storage blockchains enable the enforcement and verification of exchange assets, while disrupting potentially existing business models by promoting the disintermediation of processes involving multiple stakeholders. While having no mediator or a third party controlling the operation, less operational costs and a higher business agility are targeted at. However, the adoption of blockchains requires not only overcoming its technical challenges, but it also implies to reach the ability to understand and handle the impact on existing business models, processes, and legal compliances. This chapter will overview the main blockchain application areas by providing examples and by discussing from the technical perspective on how and under which conditions the use of blockchains can be useful for a successful use case.