Real-Life Web3 Use Cases in Plain English. So much of the tech content explains Web3 with buzz words and overlong articles that make no sense. This podcast will explain practical Web3 use cases that are easy to understand.
Web3 Use Case - Decentralized Blogging
The Problem
For the 99.99% of the blogs out there, hosting on web 2.0 works. There is no need to have your blogs on a decentralized hosting platform.
No one is going to take your blog down. But for the 0.01% of the blogs out there, a hosting provider or even the government will want to take your blog down for public consumption.
Why?
There are some legitimate reasons. You could be committing a crime with the content on your blog. And they should be taken down, especially if it involves violence.
But often, it could be because they don’t like your content and are in a position in power where they can take down your content.
It could be something uncontroversial like health and nutrition related. A person could blog about the benefits of supplementing with Vitamin D. Nutrition scientists have increased the recommended dosage of Vitamin D over the years. The dosage recommended now would have been considered dangerous years ago.
I doubt the authorities would take your blog down for advocating high Vitamin D usage, but you never know who will be in power today, tomorrow, or in the far future.
The Solution
Web 3.0 solves this. Instead of hosting your blog centrally on a server, the blog can use decentralized hosting. This is where the blog is hosted on many servers. If someone tries to shut down one of the servers hosting your blog, there are 99 other servers hosting your content.
So if they shut down 90 of the servers, ten servers are hosting your blog.
And some of those servers are being hosted in someone’s garage in various countries around the world where it’s not so easy to shut down.
As long as one server is out hosting your content, you will still be able to serve your blog to others.
When someone updates their decentralized blog, it uses peer-to-peer technology to update the content on all the servers hosting their blog. So the blog content is the same on all the servers.
This allows the blog to be served up from any server when a person tries to access the blog on a browser.
The Problem
The father and mother of a family die, leaving two kids, one home, and a mixture of stocks and cash in the bank.
The father and mother made a will, but there is a dispute about whether the executioner follows the will. What if the executioner is not following the will, withholding the money in the bank, and preventing the surviving family members from their share of the inheritance?
What if the executioner is one of the kids, and they feel that the will is invalid and they are not getting their fair share? That person may improperly change or falsify the will, so it goes in their favor.
So there can be a lot of issues that arise depending on the executioner.
Could Web3 and smart contracts solve or alleviate this issue?
The Solution
To simplify the problem, we will just deal with the will involving the stocks and cash in the bank.
And that is how smart contracts can be used to replace an executor of a family will.
The Problem
Your son or daughter wants a new e-bike or something rather expensive. As a parent, you don’t want to spoil your kids with costly gifts they may or may not use.
But kids persist and will keep begging, persuading you to buy them that gift.
So you make a deal with your kid that if they get straight A’s, you will buy them an e-bike.
From the kid’s perspective - you get straight A’s, and your parents still don’t buy you that e-bike. They say the e-bike is too dangerous, which they may have a point, but they did break their word.
And the parents will say that we didn’t have a formal contract and were just joking or saying it so you would concentrate on your grades.
The parents and kids could have made a contract, but who will enforce that? The parents can just disregard the agreement.
The Solution
That is where the smart contract could solve this problem.
A smart contract is code that runs on the blockchain - a decentralized, lightweight database where entries into that database can’t be edited or deleted.
A developer or a no-code program can be used to create a smart contract.
So how would this work?
Running the smart contract:
I see smart contracts having a lot of value for little things like motivating your kids to get good grades.
Web3 Use Cases - Vehicle History Reports
The Problem
When buying a used car, it’s essential to know its history.
Was it involved in a car accident?
Did the current and previous owners maintain the car?
The current owner that is selling the car wants the car sold. They may hide information about the vehicle if that hurts it getting sold.
The car could have been in an accident. The owner may have taken some shortcuts to repair the vehicle. Maybe they use aftermarket parts instead of parts for the car manufacturer to fix the car?
There could be deferred maintenance on the car.
The prospective buyer thinks they may be getting a nice car at a reasonable price, but if you add in the deferred maintenance, shortcut repairs, and possibly not knowing the vehicle was in an accident. This can add up to more money later on. The buyer may be forced to get another car because the used car they just bought became a money pit.
Many buyers of used cars use CarFax to get their vehicle history. The history that CarFax provides would be previous accidents and car title history. But that history could be wrong.
There could be data errors. Not all accidents get reported, or not all accidents get recorded by CarFax.
So how can we solve this problem?
The Solution
Issues
Now the issues can be similar to CarFax, where not all the data is getting to the blockchain. The blockchain itself cannot solve that problem. It requires the insurance and repair shop’s software to update the blockchain.
But the developers and maintainers of this CarFax blockchain can work with the Insurers and auto repair shops to integrate their software into the blockchain.
Not a perfect solution, but this is a step to prevent data errors and have more accurate data on the car’s repair and accident history.
Also, this solution can be an easy way for car owner’s to track the repairs and maintenance they have done on their car. And auto mechanics look to see what recent repairs have been done on the vehicle they are servicing.
Web3 Use Cases - Farm to Table
The Problem
How do you know the food you eat is from a local organic farm? Sure, the label on the bag of organic spinach says it is organic and came from a farm in the same state you live in. But is that label correct? Could the company that put that spinach in that bag be lying? The spinach could have come from an out-of-state farm, and the spinach is not organic. It was grown conventionally like most spinach, but someone along the way decided to just slap an organic label on it and charge the customer twice as much.
Ouch! The same goes with maybe the Alaskan salmon that you bought. Did it come from Alaska? Is it wild? Or is it farmed off the coast of the Atlantic?
Can you trust the labels on the food packaging? If the label says, it must be true. Or is it? Could there be a way to verify that your food is organic? Or, at the very least, you could see where the spinach originated from and what stops it made along the way before it got to your table? Similar to how you can see where a UPS package originated from and the multiple stops it took before it got to your door.
That is where Web3 and the blockchain can come in.
The Solution
First, we need a farm-to-table blockchain that farmers, distribution companies, and grocery stores would use to record the time and place where the food was picked, processed, packaged, transported, stored, and bought.
Imagine the customer buying organic spinach at the grocery store could scan a QR code or barcode using their phone and see where the spinach originated from, how it was grown, when it was picked and bagged, and when it arrived at the grocery store.
Sure the input data on the blockchain could be incorrect, but at least you are getting a level of transparency that you didn’t get before.
So how would this work?
Now the customer knows that this spinach came from an organic farm in the same state they live in.
Having the blockchain can also help when food poisoning outbreaks occur from a specific batch of spinach. When an outbreak occurs to a particular bunch, that can be recorded on the blockchain. A customer can get notified on the phone that the bag of spinach they bought has been contaminated.
There are some potential issues with data input, the person logging the information into the blockchain could be incorrect, but at least it leaves a trail. And that trail is on the blockchain, where the data can’t be edited or deleted. If someone finds out later that there is misinformation, we can find the source of the error and prevent that from happening again.
Web 3 use cases - Healthcare Research
The problem
The problem with Healthcare Research is that most research involves white people. And more specifically, white males. And non-white races, mainly black and brown races, are nonexistent. Women are more “complicated.”
Now Web 3 and the blockchain won’t solve having other races be in RCT, random controlled trials - the gold standard in scientific research. Researchers need to recruit other non-white races for their studies to solve that. Also, RCTs are expensive, and many countries with money tend to be the US and Western Europe.
Not every recommendation or advice that comes out of the healthcare research would apply to women or non-white races. Most health recommendations don’t apply to women and non-whites.
But there could be a solution that uses the blockchain and AI to analyze health data, find correlations, and develop better recommendations for specific races, gender, or even patient.
The solution
If we can get a patient’s health data onto the blockchain that involves all genders and races, then we can have data scientists and AI analyze that data and find the correlation. The more patients and their data we can get on their blockchain, along with a greater diversity of genders, races, and ages - we can get recommendations on better health specific to gender and ethnicities.
The advantage of the blockchain is that it is public, and we can’t edit the data - once it’s on the blockchain.
Any researcher or AI can look at the data and analyze it. Researchers have biases that do affect their analysis. The researcher may not think they have any bias, but they are human, and humans have biases even if we don’t think we do. The data could be the same, but two researchers could come up with two different conclusions.
Having the data on a blockchain allows anybody, academic researchers or just someone interested in data science, to look and analyze the data.
We can see competing companies or individuals that would create their own AI to research the data. Some AIs could be better than others.
This could create a marketplace of AIs so patients can submit their data and get a health risk assessment along with any specific treatment recommendations or lifestyle changes.
Potential Problems
Since the blockchain is public, no one wants their health data for all to see - mainly if it is used to discriminate against you. It could be a job that may discriminate against you based on your health because they may not want to pay for your health insurance, or it may affect your career. Terrible, but that could happen.
One way would be to make the data anonymous, so there is no identifying information that can be tied to you - no name, driver’s license, or social security number.
The patient must also consent to submit their health data to the blockchain. And the patient could also choose which data they wish to withhold - like age, race, height, or weight - even though that data would help researchers and the AI find any specific health recommendation by race, gender, or age.
But the patient should have to consent and be able to decide which data gets onto the blockchain.
How will it work
Conclusion
Web 3 and blockchain allow the patient to own the medical records that they can access anytime. And it will enable them to select and submit which health data they would like researchers to use.
Web 3 allows health researchers to get more patient data and more variety of patients. The more data a data scientist can get their hands on, the better the recommendations will be.
People tend to lie or not tell the whole truth when being asked about their health. Web 3 makes it easier for patients to submit their health records to researchers. And Web 3 allows researchers to quickly get more patient data and accurate health data instead of relying on patient surveys that may not reflect reality.
Web 3 use cases in Plain English- Electronic Medical Records
The problem
When a patient visits the doctor, the doctor asks you questions about any health issues, then does an examination, and at the end gives you recommendations that could involve medications, treatments, and lifestyle changes.
At the same time, the doctor is making notes on a paper chart, which a nurse or the front desk will later enter into the computer. Sometimes the doctor will enter their notes and assessment directly into the computer.
Some doctors don’t even have electronic medical records. They have a paper chart. In those cases, Web3 and the blockchain won’t solve that issue. Yikes, but they would need to upgrade to go electronic. But that will improve in the future when dictation and AI get to the point where the doctor can speak into a microphone with their patient’s notes. The AI will record and correctly categorize those notes into an electronic medical record.
Okay, back to the problem. If the doctor’s office or hospital has a computer to store the patient’s health records, the patient will usually have access to those records online.
But what if the patient switches health providers because of a new job that uses different insurance. Or you may have moved out of state. Or you don’t like your doctor and wish to go somewhere else.
When that happens, the new doctor will ask for your health records from your previous doctors. And usually, the records are transferred by fax. Why? Because most doctor practices are old school. They may not have the same healthcare system as the other doctor. They may not even have email, strange but true. Doctor offices tend to be very low-tech outside of medical equipment.
Faxing has a lot of issues. Sometimes the fax fails to send, and the sender has to send it multiple times. Sometimes the receiver says they never received it, putting the burden on the patient to ensure the data gets over to the new doctor.
Sometimes the fax runs out of paper, so the new doctor only gets a partial set of the patient’s records.
Yikes, I won’t go through all the problems with faxing, but we can see the issues that arise with faxing medical records.
Not to mention the person receiving the fax could be the front desk. Should the folks at the front desk be able to view the patient’s medical records?
The other problem is that the patient doesn’t own their medical records. They can’t just switch doctors without telling their previous doctors that they must send their medical records to their new doctor.
Why can’t patients go to any doctor they choose and bring their medical records to the office?
The solution
This is where a Web3 and the blockchain could be a solution. The patient and the doctor can agree to enter the patient’s medical records.
How will it work
The Benefits
The benefit of having the patient’s data on the blockchain is that they can quickly bring their health records when they see a new doctor.
No more faxing. More privacy. The front desk and other personnel that work in the doctor’s office won’t be able to view your records even if it is not intentional.
The best benefit is that patient owns their medical records. Not the doctors. Not the insurance companies. And if the patient wishes to not share their medical records with the doctors or insurance companies, they can revoke access to the website.
I plan to do part 2 on this use case on how having the patient’s medical records stored on the blockchain and off-chain can be used for medical research.
Web3 Use case for Streaming Music:
Spotify could work with the Music Rights Holders and artists to create a smart contract, code on the blockchain, that would do the following:
Charlie Warzel’s excellent article - The Petty Pleasures of Watching Crypto Profiteers Flounder