Recently, a statement given by the Chinese president, Xi Jinping, marked a huge victory for blockchain even though Bitcoin crashed with the spread of the novel coronavirus pandemic. Interestingly, the positive remarks about blockchain made by him also had to do with the same deadly virus outbreak.
The Need for an Effective Governance Model
From the very beginning, China has been more open to blockchain technology than most other countries. The country also boasts of having the highest number of crypto miners and has, from time to time, attempted to integrate the technology into the creation of practical solutions.
Xi Jinping has been very vocal about the benefits of blockchain and has often given it more value than its most popular use case— cryptocurrencies.
This is important in the present context, when— following the impact of coronavirus— Bitcoin lost 50% of its value in a single day but blockchain has been said to be an active tool which could help us combat the very disease that has such a stunting effect on the world’s economy. Xi Jinping has also, reportedly, highlighted this potential of the technology.
As reported in Xuexi Qiangguo, the Chinese President has said that the fight against a global health crisis like coronavirus requires a more efficient governance model.
How Can Blockchain Help Build a Better Governance Model?
Sure enough, Xi Jinping’s remark does signify a positive milestone for blockchain. However, the question remains if the technology would be able to tackle the stumbling blocks of the existing solutions offered to fight the pandemic. There are many ways in which blockchain-based solutions could be used as a better alternative.
Donation frauds are not something new; events of donation model used for scamming people have happened far back as the twentieth century when George W. Ryder, the Secretary of the Cripples’ Welfare Society, had been exposed by The New York Times for using donation money to meet personal ends.
Even today, as one comes across pictures floating on social media— depicting donated goods being deviated from the hands of the needy to those who want to pocket them for material benefits— one hesitates before being kind. Even China’s Red Cross suffers from a damaged reputation due to previous scandals. This is indeed worrisome in the present context when people combating the viral outbreak are in a dire need of contributions.
In such a scenario, blockchain can come to aid. A blockchain-based donation tracking platform, Shanzong, has already been launched in China. It aims at improving the transparency and efficiency of donation related processes. Other startups can also take a cue from the Hangzhou based blockchain platform and build better donation tracking models.
Being a ledger technology at its core, blockchain can be used to do what it does best, namely, data tracking. Data related to the viral outbreak can be recorded on a blockchain so that medical experts get a precise and accurate report and are able to access the situation better in order to handle it well. Moreover, it cannot be tampered with and hence, provides greater reliability.
A blockchain-based platform, Acoer, is helping healthcare institutes to track the virus by providing them with the map of how it is spreading across the world, through an application called HashLog.
Cross Border Payments
Blockchain technology has been a champion of cross border payments and this can come in handy in the present situation as well. Since the technology has reduced the transfer fees to almost nothing and has gotten rid of third parties, institutions and charity organizations from across the world can help countries and people most affected by a pandemic of such a scale.
Medical Supply Chain Tracking
After the virus spread globally, people suffered not only from the disease but also from deception and fraud. A number of fraudulent supply chains were busted as the demand for healthcare products overshadowed the supply. Perhaps many such factories are still functional.
While it is too late to implement any major change in the medical supply system to fight coronavirus in the present, the situation highlights how important a blockchain-based solution is to the existing medical supply chain.
Expanse Means Fighting Together
One thing which stands out among the pandemic is that no matter what we say, we were not prepared for something with such a massive scale like this. Many things are being done and yet many lessons are to be learned for the future. Fighting such a global crisis requires togetherness and innovation. And Expanse provides just the right beginning. Based on Ethereum, it can help build blockchain-based solutions to combat everyday problems. And building a better governance model is the right strategy to combat a pandemic like coronavirus, now and in the future.