Artificial intelligence (AI), the Internet of Things (IoT), and blockchain are the most promising and rapidly evolving technologies of our time.
Combined, these three technologies solve many problems across many different industries, including supply chain management, finance, healthcare, and manufacturing. We will explore how this combination can change many aspects of our lives.
Supply Chain Management
One potential use case for combining AI, IoT, and blockchain is tracking and managing goods moving through a supply chain. By using IoT sensors to gather data on the location and condition of goods and blockchain to create a transparent and immutable record of that data, it is possible to create a real-time, end-to-end view of the supply chain.
This system can help to improve efficiency, reduce the risk of fraud, and increase transparency for all parties involved.
Another potential use case for combining these technologies is optimising logistics and transportation. By using AI to analyse data from IoT sensors and make predictions about demand, shipping routes, and other factors, logistics companies can make more informed decisions about how to move goods more efficiently. Being immutable, blockchain can also create a tamper-proof record of shipping data, which can help improve transparency and reduce the risk of fraud.
Additionally, these technologies can be combined in smart contracts, which can automate and streamline supply chain transactions by using AI to identify and execute contract terms and blockchain to ensure that the contract terms are executed transparently and securely.
In financial services, the first potential use case for the combination of AI, IoT, and blockchain is in the field of fraud detection and prevention.
By using IoT sensors to gather data on financial transactions, and blockchain to create an immutable and transparent record of that data, it is then possible to use AI algorithms to identify patterns and anomalies that indicate fraudulent activity. This combination helps financial institutions detect and prevent fraud more quickly and effectively, reducing costs for the company and the client.
Another potential use case for the combination of these technologies is risk management. By using AI to analyse data from IoT sensors and other sources, financial institutions can gain a more comprehensive view of the risks they are exposed to and make more informed decisions about managing those risks.
Finally, like with the supply chain, these technologies can be combined in intelligent contracts. Financial institutions can automate and simplify the contract execution process, reducing the need for manual intervention and increasing efficiency. The cost-benefit of such a solution could be significant by preventing human error, creating a trustless environment, and providing nearly minute-by-minute updates.
Combining AI, IoT, and blockchain technologies can also significantly impact the healthcare industry.
One potential use case for combining AI, IoT, and blockchain in healthcare is the management of electronic medical records (EMRs). Using IoT sensors to collect and transmit data to the blockchain makes it possible to create a secure and tamper-proof patient data record. AI algorithms can then be used to analyse this data and identify patterns that can help improve patient care on the individual level and speed up the discovery of new treatments for all.
Another potential use case is in the field of personalised medicine. Personalised healthcare is a new concept that could turn the medical world on its head. For example, the way cancer drugs are currently tested, a group of patients with a particular type of cancer is given a drug, and its effectiveness for the overall group is determined. A patient’s cancer cell DNA would be tested with personalised medicine, and a cocktail of drugs effective at treating cancer that fit that genetic profile could be prescribed.
Using IoT-enabled devices to collect data on a patient’s health, combined with blockchain to create a secure and transparent record of that data, AI can analyse the data and make personalised treatment recommendations. This can help doctors provide more individualised care to patients, leading to better health outcomes.
Additionally, blockchain tech can create secure and transparent medical supply chains, allowing for the tracking and traceability of medical products and devices from manufacturer to patient. While all supply chains are essential, ensuring that patients receive safe and effective treatments that have been shipped adhering to required standards and reducing the risk of counterfeit drugs and medical devices will save lives.
Combining AI, IoT, and blockchain technologies can significantly impact the manufacturing industry. By leveraging these technologies, manufacturers can create more efficient and cost-effective operations and improve the overall quality of their products. In addition, these technologies can provide significant benefits by improving the manufacturing process’s efficiency, transparency, and security.
One potential use case for combining these technologies in manufacturing is in the field of predictive maintenance. By using IoT sensors to collect data on the performance of manufacturing equipment, AI algorithms can then analyse massive amounts of data and predict when equipment is likely to fail.
This system can help manufacturers schedule maintenance timely and cost-effectively, reducing downtime and increasing overall efficiency. Such information is already being applied to advanced systems such as aeroplanes, blurring the lines between manufacturing and services.
Additionally, blockchain tech can create secure and transparent traceability systems for products, from raw materials sourcing, production, and logistics to product traceability and warranty management. This can help to ensure that products are safe and of high quality and can help to protect a company’s reputation and brand.
With the increasing significance of environmental, social, and governance (ESG) issues, manufacturers and the consumers of their goods care more about the sustainable practices of companies. A clear and transparent trail that can be followed on an immutable blockchain will give confidence to those who value ESG issues.
As organisations look to implement AI, IoT, and blockchain technologies, it is crucial that they also consider the potential risks and challenges associated with these technologies. One of the essential considerations is data privacy and security.
Collecting and storing large amounts of data through IoT sensors and blockchain technology can present significant privacy and security risks. Personal information, including health and financial data and other compassionate information, can be vulnerable to breaches, hacking, and cyber-attacks. Organisations must take the necessary steps to protect this data, such as implementing robust security protocols, encrypting data, and regularly monitoring potential threats.
A study by PwC highlights that the growing use of IoT in healthcare has raised privacy concerns among patients and healthcare providers and regulatory challenges for organisations that handle patient data. Furthermore, another study by Deloitte states that blockchain technology can be used to implement robust security protocols and data encryption, as well as data sharing and access controls, which can help to mitigate these risks. The correct balance of these technologies will be needed.
Another vital consideration is regulatory compliance. The use of these technologies is subject to a range of laws and regulations, including data protection and privacy laws, financial regulations, and healthcare laws. Organisations must comply with all relevant regulations and have the processes and procedures to meet regulatory requirements.
A report by the World Economic Forum highlights that regulations and standards are needed to ensure the safe and responsible use of these technologies while also enabling innovation and growth.
To address these concerns, organisations should work with data privacy and security experts and legal and regulatory compliance experts to develop a comprehensive strategy for technology implementation. This strategy should include a thorough analysis of the potential risks and benefits of the technologies and a plan for mitigating those risks. Additionally, organisations should be prepared to invest in the necessary infrastructure and resources to ensure the security and privacy of their data.
Combining AI, IoT, and blockchain tech significantly benefits various industries. For example, in financial services, they can be used to improve fraud detection and prevention, risk management, and brilliant contract execution. In healthcare, they can be combined to manage electronic medical records, improve personalised medicine, and secure medical supply chains. Finally, in manufacturing, they can be used for predictive maintenance, supply chain management, and product traceability.
Each use case demonstrates how combining these technologies can improve transparency, security, and efficiency in different industries. By leveraging the power of AI, IoT, and blockchain, organisations can gain a more comprehensive view of their operations and make more informed decisions, leading to better outcomes for their customers and an improved bottom line.
These systems are now being considered even more significantly, with proposed smart cities taking advantage of them for optimised infrastructure. Furthermore, it is easy to imagine using the data created and analysed by these technologies to be further combined for other uses, some of which may still be unseen.
It is important to note that while these technologies have the potential to bring significant benefits, there are also challenges to be addressed. For example, ensuring data privacy and security and addressing regulatory concerns are significant challenges that need to be addressed. Nevertheless, with the right approach and partners, organisations can successfully implement these technologies and reap the benefits they can offer.
Combining these three new technologies represents a significant opportunity for organisations across various industries. As their use in transparency, security, and efficiency expands beyond business sectors, they will begin to help society and the earth.
Disclaimer: The information provided in this article is solely the author’s opinion and not investment advice – it is provided for educational purposes only. By using this, you agree that the information does not constitute any investment or financial instructions. Do conduct your own research and reach out to financial advisors before making any investment decisions.
The author of this text, Jean Chalopin, is a global business leader with a background encompassing banking, biotech, and entertainment. Mr. Chalopin is Chairman of Deltec International Group, www.deltec.io.
The co-author of this text, Robin Trehan, has a bachelor’s degree in economics, a master’s in international business and finance, and an MBA in electronic business. Mr. Trehan is a Senior VP at Deltec International Group, www.deltec.io.
The views, thoughts, and opinions expressed in this text are solely the views of the authors, and do not necessarily reflect those of Deltec International Group, its subsidiaries, and/or its employees.