Blockchain was initially produced as the process that drives the Bitcoin cryptocurrency. Bitcoin is intended to safeguard and anonymously transfer values between distant parties without a regularly trusted intermediary like a bank. Bitcoin was developed to avoid the conventional financial services industry such as government agencies, central banks, and commercial banks, to be able to safeguard consumer privacy and stop currency manipulation. You can also learn about Bitcoin and Financial Stability.
Meaning of Blockchain
Blockchain is a P2P, decentralized public ledger which keeps track of internet transactions and also functions with no third party. It guards and immutably logs all transactional activity, therefore safeguarding your privacy and security. The blockchain is now well known due to its capacity to give protection, dependability, and decentralization. Blockchain is additionally free from time-consuming verification, agreement and approval procedures.
Blockchain in Telecom
Blockchain started as a peer-to-peer form of electronic money and can change as well as reconstruct nearly every industry, such as supply chain, logistics, healthcare, finance, and telecom. The interest in technology, combined with its capability to offer complete transparency, immutability, security and privacy, has seized the popular imagination. There Are numerous challenges facing the telecommunication sector.
Even though the telecommunications industry has changed significantly during the last twenty years, providers and users continue to be confronted with excessive costs, roaming charges, risk of fraud, and security concerns. With regards to inter-carrier transactions, they depend upon a mixture of automatic and manual methods which make the process of conducting business collectively complex, delayed, and costly.
Use-cases of blockchain in telecommunication
Blockchain technology is beginning to emerge as a remarkable technology to resolve all of the present problems in the telecom sector, establishing a new era when it comes to protection, transparency and efficiency. This particular concept is changing telecom just for the better as it can allow complete automation in the financial settlement as well as fraud prevention to KYC methods for onboarding consumers. Let us check out a few of its use cases in the telecom industry.
Prevention from fraudulent activities and identity management
Identity Management, as well as fraud prevention, will be the major aspect of the telecom industry, in which several third-party representatives are accountable for the submission of identity documents. Therefore, you will see increased possibilities for misuse as well as leakages. Blockchain technology can present a means to fix these issues by offering decentralized storage, while still staying in the hands of the person who writes the documents. Its mutable characteristics can help thwart forgery as well as manage the submission of phoney documents.
Settlements and Roaming
Roaming is among the main concerns as intermediaries are interested in managing roaming partner settlements, which take more or less two weeks to get solved. This may result in fraud, manual mistakes, inadequate transparency and additional problems.
The application of smart contract capabilities enables this complicated process to be automated. The smart Contracts on the Blockchain system can guarantee settlement between the participating people by getting rid of third-party intermediaries.
Mobile Number Portability
It’s extremely time intensive to finish the MNP procedure in case you haven’t done it. The long processing time is mainly because of the information mismatch between users as well as the frequent updating of the main database.
The Blockchain is going to help to streamline and simplify this complex procedure by supplying one point of fact out of all service providers can examine as well as act on inquiries for Mobile Number Portability. As most service providers have shared information, the distributed ledger can help get rid of single-point failure.