Using Blockchain in Healthcare Industry (EHR): Here’s Why?

Apr 28, 2021

Angelina Eillott

By Angelina Eillott

Using Blockchain in Healthcare Industry (EHR): Here’s Why?

The modern healthcare industry has become very complicated and expensive. Improved patient information keeping, insurance providers, and blockchain technologies will also help mitigate this.

The original purpose of blockchain was to have digital archives of money-related transactions that were not reliant on centralized authority or financial institutions.

Breakthroughs in blockchain technologies have advanced patient history, insurance billing, and smart contract transfers, allowing permanent links to and protection of data as well as a distributed ledger of transactions.

One of the most important benefits of blockchain technologies in the healthcare sector is that they can facilitate healthcare app development. That, in turn, improves the interoperability of healthcare databases, allowing for greater access to patient medical information, device monitoring, drug databases, hospital assets, and the whole life cycle of a device inside the blockchain infrastructure.

EHR: The Innovation in Healthcare Industry

The replacement of old paper documents with electronic health records (EHRs) has become a massive game-changer for anyone in the healthcare system . This industry-wide adoption has affected various roles, from physician assistants to medical coding practitioners to registered nurses.

Nurses and technicians hire healthcare app developers who design a centralized computerized framework. They are then in charge of entering patient information Hospital billers. After that, coders update health records with diagnostic identifiers (such as examination results) and send prescription statements to insurance providers during their scheduled appointments.

Patients can not only view their documents at the touch of a screen, but it also ensures that errors are caught sooner (rather than having to pore over unreadable doctors handwriting).

Below given are only a few of the many advantages that electronic health records have introduced to the healthcare industry:

Improved Patient Care

Potential conditions in the EHR will be immediately alerted to the prescribing physician (such as allergies or intolerances to certain medicines). EHRs can be obtained from almost every hospital institution, making them especially helpful for physicians evaluating people who are not nearby (and crucial if the patient is unresponsive).

Public Health Improvements

Medical researchers depend on EHRs for proper evidence, which aids in advancing medical science and discovering therapies for common health conditions (like viral outbreaks).

A streamlined health IT framework will offer visibility into the scope of an epidemic, allowing for even faster implementation of preventative measures (such as improved flu vaccine production).

Workflow Simplicity

According to the Bureau of Labor Statistics, medical billers and coders are among the most affected allied health employees, with demand estimated to rise by 13% from 2016 to 2026. Medical billers and coders have found that the advent of EHRs has rendered their jobs even simpler.

It takes significantly less time to enter data into a computerized system than it does to enter data by hand. Also, it eliminates the likelihood of inconsistencies in medical data and financial information.

Medical coding specialists will now operate from home thanks to digital access to health information, resulting in increased reliability and competitiveness.

Lower Costs in Healthcare

According to a University of Michigan report, switching from paper to electronic health reports cut outpatient treatment costs by 3%. This equates to a monthly savings of $5.14 per patient, according to the researchers. The amount is valuable in a big city hospital system.

[Also Read: Issues In Healthcare Services And Its Solution With Blockchain]

Blockchain - What & Why?


Knowledge is spread throughout the network rather than being stored in a single location via blockchain. This also allows for knowledge access to be dispersed and handled through agreement achieved by mutual feedback from the network’s nodes.
Many reputable institutions today manage data that was formerly clustered in one central location.

Transparency of Data

To achieve data integrity in any technology, institutions must establish a trusting partnership. The data or document in question should be safe and reliable.

All data collected on the blockchain is spread throughout the network rather than clustered in one location and managed by a single node. Data ownership is also pooled, making it more transparent and safe against third-party interference.

Privacy and Security

Cryptographic functions are used by blockchain technologies to offer protection to the nodes connecting to its network. The hashes contained on the blocks are hashed using the SHA-256 cryptographic algorithm.

The Secure Hashing Algorithm (SHA) is a collection of hashes that offer protection to the blockchain by ensuring data integrity. Cryptographic hashes are vital one-way functions that create checksums for digital data that can’t be extracted.

As a result, blockchain is a decentralized database secured through cryptographic approaches, making it a viable choice to protect some apps’ privacy.

Using Blockchain in Healthcare System

Personifies Health Wallet

The data is stored in ledgers through blockchain technologies, where patients may trace at any time using their identification number. The patient’s documents are shared among all health departments and are supervised by IT administrators.

All of the data is saved in the patient’s health pocket, where it can be retrieved anytime and required for further evaluation and care. This wellness wallet can be combined with smart devices such as Fitbit watches and other health and fitness devices with a clever pass.

Contributes to Medical Research

Medical studies are focused on real-world evidence from patients. What easier way to do this than to keep hold of the manual records? Data may be exchanged and maintained more reliably and conveniently with the database. Experts in the healthcare industry may use blockchain data to help them find new ways to avoid, diagnose, and manage health problems.

Fills The Gap Left By Long-distance Medical Visits

New devices are filling the gap in telecommunication that people would physically see physicians. There are no geological boundaries or constraints for blockchain ledgers. Because of the gap, the staff will not have to leave a patient without adequate care.

The finest physicians and facilities will examine the patient in every part of the country. Based on the patient’s record held in libraries used by the IT healthcare ecosystem, a specialist sitting thousands of miles away will identify the condition and prescribe medication.

A Tool to Assist the Government in Monitoring Health Data

Examining the health information contained in the archive will assist the government in learning accurate statistics regarding the region’s population’s health. Based on the patients’ ill-health evidence, the government should take preventative action.

The government will educate the public regarding curable and non-curable illnesses by visualizing the data histories of various patients and sufferers. It also assists the government in achieving its medical targets in a shorter time frame while maintaining high quality.

Final Words

Access to a patient’s medical history is needed to administer drugs properly, and blockchain can significantly improve the services in the healthcare industry. The EHR powered by blockchain can show any database referred to in the ledger. The outcome will be a community-wide database with integrity, from the point of collection to usage.

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