Tarun Nagar Blockchain technology is gaining traction in different industries, and healthcare is no exception. Its transparent and secure nature, making it one of the ideal solutions for storing and transferring sensitive healthcare data.
Using blockchain, healthcare businesses can streamline processes, improve data security, and enhance interoperability between different systems. As a result, this innovative technology has the potential to change the way medical data is managed and accessed, leading to better patient care and outcomes.
In a study, I found that the size of the global blockchain market for healthcare was estimated at USD 0.76 billion in 2022. This data is projected to reach approximately USD 14.25 billion by 2032, growing at a compound annual growth rate (CAGR) of 34.02% between 2023 and 2032. Hence, this depicts room for the growth of blockchain in healthcare industry.
If you, too, want to integrate blockchain into your healthcare, you have come to the right place. Read this blog until the end.
Quick summary: In this blog, you will learn how to implement blockchain in healthcare industry, how it works, and its benefits, challenges, and use cases. You will also understand how this technology is changing the entire healthcare industry and what its future can be.
What is Blockchain in Healthcare?
In the healthcare industry, blockchain technology is a revolutionary approach that offers a transparent, secure, and decentralized way of managing patient data. The system creates an unchangeable leader of healthcare data, ensuring that information is appropriate and can be accessed only by authorized parties.
This depicts that medical records are secure and there is less possibility of fraud. Furthermore, blockchain also supports clinical trials by facilitating a transparent and tamper-proof record of patient consent and research data.
Overall, blockchain in health holds immense potential to transform medicine by enhancing data security and promoting innovation.
Market Stats of Blockchain in Healthcare Industry
Blockchain technology cloud market size worldwide in 2021, with a forecast for 2030(in billion U.S. dollars)
- By 2032, blockchain technology will reach about $1 trillion in value worldwide.
- According to a June 2022 prediction, “Blockchain technology” was expected to reach 1,235 billion U.S. dollars by 2030 at a compound annual growth rate (CAGR) of 82.8 percent.
- A more recent estimate from December 2023 projects a value of 943 billion USD at a compound annual growth rate of 56.1 percent in 2032. The source does not explain this discrepancy.
Types of blockchain in healthcare industry , 2024, 2035 (USD Billion)
The worldwide blockchain market for healthcare is expected to increase from USD 58 million in 2023 to USD 641 million in 2035, with a compound annual growth rate (CAGR) of 22% from 2023 to 2035.
Advantages of Blockchain in Healthcare Industry
You might wonder why healthcare businesses should integrate blockchain into their medical services. Well, many benefits healthcare professionals enjoy blockchain technology. If you want to know about these advantages of blockchain technology in detail, have a look at the following points:
- Improved Data Management
- Supply Chain Transparency
- Accelerated Clinical Research
- Reduced Fraud and Waste
- Enhanced Data Security
1. Improved Data Management
Blockchain technology streamlines the data management process by providing a unified, single source of truth. Patient-related information or data can be kept securely and efficiently, eliminating the requirement of several solid databases.
It’s more beneficial especially if you develop a healthcare app because the data can be seamlessly integrated across different platforms, ensuring accuracy.
2. Supply Chain Transparency
You can use blockchain for healthcare to track the movement of medical supplies, devices, and pharmaceuticals throughout the supply chain. As a result, this can help you identify substandard or counterfeit products that ensure the efficacy and safety of medication and healthcare equipment.
3. Accelerated Clinical Research
Integrating blockchain into your healthcare business can accelerate clinical research by streamlining data collection, transfer, and analysis. By securely keeping and transferring patient data, you can gain valuable insights into different diseases and work on new treatments efficiently, reducing healthcare costs while improving patient outcomes.
4. Reduced Fraud and Waste
With healthcare blockchain, you can benefit from reducing fraud and waste in your business. It provides great transparency and accountability as well. For instance, the system can be used to track the usage of prescription drugs to prevent over prescribing and reduce costs.
5. Enhanced Data Security
Implementing blockchain in your healthcare business ensures the confidentiality and integrity of patient data. All data entry and transactions are recorded on a distributed ledger that prevents it from being hacked.
Hence, blockchain for medical records, reduces the risk of data breaches and safeguards patient privacy. Moreover, with the private blockchain development, security and privacy can be enhanced further.
How Does Blockchain in the Healthcare Industry Work?
As you know, blockchain based solutions offers a revolutionary approach to healthcare data management. However, do you know how exactly it works? Well, if you are familiar with this, it’s good, but if you want to know, then let’s understand its working process with the following points:
- Data Collection and Encryption
- Data Storage and Verification
- Consensus Mechanism
- Immutable Record
- Access Control and Sharing
1. Data Collection and Encryption
Patient data is collected from different sources, including electronic health records, medical devices, and other healthcare providers. Later, this data is encrypted to ensure security and confidentiality.
2. Data Storage and Verification
All the encrypted data is stored on a computer’s decentralized network, nodes. This is because all nodes keep a copy of the blockchain, preventing data loss. Blocks containing new data are then added to the blockchain and connected by cryptographic methods.
3. Consensus Mechanism
A consensus method ensures that each node agrees on the data’s integrity. This procedure includes proof-of-work and proof-of-stake and authenticates new blocks before adding them to the blockchain.
4. Immutable Record
Once the information is added to the blockchain, it can be changed or removed. Due to their unchanged nature, patient records are stored reliably and accurately, offering high data integrity, which is crucial for the healthcare CRM software solutions.
5. Access Control and Sharing
With blockchain technology, it’s easy to regulate data access differently. It enables patients to allow or deny authorized healthcare providers or researchers access to theirs. As a result, this promotes safe data sharing while giving patients authority over their health-related information.
The Future of Blockchain in Healthcare Industry
While blockchain in healthcare industry is still in its early stages of adoption, there is no doubt that it can change the industry in different ways. If you are considering blockchain development services for your health business, keep the following point in mind and go further accordingly:
- Healthcare Insurance
- Drug Discovery and Development
- Telehealth and Remote Monitoring
1. Healthcare Insurance
Blockchain streamlines claim processing enhances transparency and claim processing in healthcare insurance. By reaching healthcare data and insurance claims on an unchangeable ledger, blockchain in insurance eliminates the need for intermediaries that reduce administrative costs. This also ensures that potential patients get accurate and timely reimbursements.
2. Drug Discovery and Development
Blockchain has immense potential in drug discovery and development. Healthcare businesses can safely exchange and access data by establishing a decentralized platform for clinical trial data that accelerates the development of new therapies and treatments.
Blockchain technology can also be used to trace the pharmaceutical supply chain, which prevents counterfeit medicine from entering the market.
3. Telehealth and Remote Monitoring
Telehealth and remote monitoring are new emerging trends in healthcare that can be further enhanced through technology. Blockchain can ensure remote consultations, reduce healthcare costs, and improve patient outcomes by securely storing patient data and enabling seamless data transfer between healthcare professionals.
How is Blockchain Changing the Healthcare Sector?
No doubt, blockchain technology is revoluntizing the way healthcare organizations operate their businesses. If you are aware of its impact on the medical industry, it’s good. However, if you are not familiar with this, let’s understand what changes the healthcare industry is going through:
- Streamlined Management
- Swift Claims and Billing
- Personalized Medicine
- Healthcare Payments
- Advanced Medication Security
1. Streamlined Management
With its decentralized and unchangeable nature, blockchain is changing the healthcare industry by addressing significant challenges. The system streamlines the management process by creating a secure and shared ledger that reduces the need for intermediaries, improves efficiency, and lowers administrative costs.
2. Swift Claims and Billing
The healthcare app development company ensures that the blockchain technology accelerates the claims and billing process with its decentralized structure. It enables more accurate and faster data sharing between medical professionals, patients, and insurers, leading to a quicker claim process and enhancing patient experience.
3. Personalized Medicine
Blockchain advances personalized medicine by securely storing and transferring patient-related information and data. As a result, it enables healthcare businesses to develop tailored treatment plans that improve resource utilization and patient outcomes.
4. Healthcare Payments
Regarding healthcare payment, blockchain technology provides a transparent and secure way to keep and transfer healthcare data that identifies risks and prevents fraud.
Hence, with this increased security, patient confidence also gets boosted, and the adoption of new payment methods like cryptocurrency is encouraged.
5. Advanced Medication Security
You can also enhance medication security, as the blockchain tracks drugs through the supply chain and prevents counterfeit medication from reaching potential patients.
This is significant for high-cost and high-risk medication, as fake drugs can create serious health risks. However, blockchain monitors drug interactions to ensure that patients avoid harmful combinations.
Real-World Examples of Blockchain Implementation in Healthcare
Now that you have learned about blockchain applications in healthcare, its benefits, and how it impacts the overall healthcare industry, let’s learn about real uses of the blockchain. Here is a list of real-world examples help you understand how it can be used with examples:
- MedicalChain
- SimplyVital Health
- Supply Change Administration
- Transparency and Data Management
- Funds Transfers and Insurance Claims
1. MedicalChain
This decentralized healthcare platform is designed to create a global healthcare ecosystem. The medical chain enables patients to keep and transfer their healthcare information securely on the blockchain.
With the blockchain development platform, you can also avoid paper records while reducing the risk of data theft. Moreover, it allows healthcare professionals to access patient data in real-time.
2. SimplyVital Health
This healthcare technology streamlines the healthcare supply chain. The platform facilitates transparent and secure tracking of medical supplies to ensure authenticity. Hence, it helps to prevent fake drugs and healthcare devices from entering the market, protecting patients from harmful diseases and ensuring safety.
3. Supply Change Administration
Healthcare providers can use blockchain technology to track and trace medical supplies throughout the supply chain. This ensures that medical devices and medicines are delivered to the right place promptly, improving efficiency and reducing waste. Furthermore, blockchain technology helps identify and resolve supply chain disruptions, such as recalls or shortages.
4. Transparency and Data Management
Blockchain provides an unchangeable and transparent record of medical records. This can reduce fraud, enhance patient privacy, and improve data accuracy. For instance, in healthcare, blockchain can be utilized to monitor the movement of patient data, ensuring it can be accessed only by authorized individuals.
5. Funds Transfers and Insurance Claims
In healthcare, blockchain technology is used to streamline the process of funds transfers and insurance claims. This also helps improve efficiency and reduces eliminating the needs of intermediaries and paperwork. Moreover, healthcare professionals use the blockchain to prevent fraud and ensure that payments can be made efficiently and on time.
How to Implement Blockchain in Healthcare industry?
With advanced technology and increasing demand for convenient healthcare services, most of the healthcare providers have started implementing blockchain in their businesses. If you are also considering the same, you must know how blockchain can be implemented in healthcare. Here is a step-by-step process to help you blockchain in the healthcare business:
- Identify Use Cases
- Choose a Suitable Platform
- Design the Network
- Develop Smart Contracts
- Address Privacy and Security Concerns
1. Identify Use Cases
At first, you need to identify the area where blockchain technology can add value. Some blockchain use cases include clinical trials, pharmaceutical supply chain management, electronic health records, and healthcare payment. With knowledge of the different challenges and opportunities in such domains, you can tailor blockchain solutions to meet your specific needs.
2. Choose a Suitable Platform
You have to choose the blockchain platform based on different factors such as security, scalability, and the specific requirements for the use case. Some of the popular options include Hyperledger Fabris, Ethereum, and Corda. All these platforms offer different features. Hence, if you need any help, hire blockchain developer with years of experience in the field.
3. Design the Network
After choosing the platform, shift your focus to designing the blockchain network. This involves determining nodes (participants) and their roles that define the consensus mechanism and establishing governance rules. With a well-designed network, you can ensure the reliability and security of your blockchain system.
4. Develop Smart Contracts
Smart contracts are considered self-executing contracts with terms directly written into code. They can automate healthcare processes like data sharing, patient consent, and payment transactions. They can also eliminate intermediaries and reduce paperwork to improve transparency and efficiency.
5. Address Privacy and Security Concerns
As you know, encryption and security have become major concerns in healthcare. Blockchain technology provides transparency and immutability, enhancing data security.
However, ask the solana blockchain development company to implement robust security measures like access control and encryption to protect sensitive patient information. Furthermore, you are responsible for considering regulations like HIPAA and ensuring compliance.
Cost to Operate Blockchain With Healthcare
Nowadays, the cost of operating blockchain in healthcare industry has become a major concern as businesses cost-effectively want quality. However, first, you need to understand that the cost of a blockchain platform for your healthcare business could not be more specific; it all depends on your project’s requirements.
If you have basic requirements, the blockchain app development cost will be around $ 8,000 to $ 15,000. However, If you want a well-structured and feature-rich system, you must pay nearly $27000.
For a clear understanding, the following table can help you understand how different levels of complexity can influence the overall cost of operating blockchain in healthcare industry.
Website Structure |
Estimated Cost |
Time Frame |
| Simple Website | $10000 – $15000 | 3 to 6 Months |
| Medium-Complex Website | $15000 – $23000 | 6 to 9 Months |
| High-Complex Website | $30000+ | 10+ Months |
Challenges to Implement Blockchain in Healthcare Industry
Now that you have learned everything about blockchain in the healthcare industry and how it can be implemented in healthcare, you must also learn it’s quite challenging to integrate blockchain technology into the medical services. Let’s know about some of the challenges:
- Adoption and Resistance to Change
- Interoperability and Data Standards
- Regulatory Compliance
1. Adoption and Resistance to Change
Implementing blockchain in healthcare industry requires a cultural shift. However, healthcare providers may hesitate to add new technologies at work as they might disturb the workflow. Hence, to integrate blockchain successfully, you need to overcome resistance to change.
2. Interoperability and Data Standards
Integrating blockchain technology in healthcare industry requires an effective interoperable and consistent data exchange. As per the healthcare app maintenance services providers, it’s very significant to establish common standards and ensure data compatibility. However, it’s very difficult because of varying systems and regulations.
3. Regulatory Compliance
The healthcare sector is fully regulated, with strict guidelines governing patient rights, medical records, and data privacy. Hence, when implementing blockchain technology, you have to comply with these regulations, which are time-consuming and quite challenging.
Conclusion
This blog has determined how blockchain offers a promising solution to the challenges faced by health providers in data management. Blockchain securely stores and transfers patient data in a decentralized manner, potentially transforming the entire industry.
If healthcare professionals implement blockchain technology, they can improve interoperability, enhance data security, and provide better care for patients. As blockchain technology evolves rapidly while taking the healthcare industry to the next level, it’s the right time to invest in such a platform.
So, if you are also looking for the same, hire healthcare developers to bring your dream to life. For instance, Dev Technosys has years of experience in the field and has delivered several quality projects that have exceeded clients’ expectations.
Frequently Asked Questions
1. What is a Blockchain Platform or Technology?
It’s a decentralized digital leader that records transactions, making it impossible to change or hack. This distributed database is spread across multiple computers worldwide, making it resistant to single points of failure.
2. How Much Does It Cost To Create a Blockchain Website In Healthcare?
If you want to develop a blockchain platform in healthcare, the overall healthcare website development cost can be $8,000 to $27000. The cost can fluctuate based on the project’s complexity level, advanced features, and design.
3. How Long Does it Take to Develop a Blockchain App For The Healthcare Industry?
The average time to develop a blockchain app in healthcare can be between 3 months to 7 months. However, if your blockchain app has some special requirements, the time can be extended by 10 months.
4. How Much Does it Cost to Hire Blockchain Developers?
If you want to implement blockchain in healthcare industry, consider hiring experts. Depending on their experience and skill, the cost to hire blockchain developers can be $15 to $25.
