With the global proliferation of sports and the globalization of healthcare, it's a daunting task to keep up with the various regulatory requirements in various jurisdictions. However, in choosing a trading website, traders may choose a trusted one in case they are planning to start trading as
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Tokenization can provide a secure way to manage these processes by tracking and managing tokens representing ownership and entitlements. It includes event tickets, athlete images, equipment purchases, charitable donations, or patient billing.
At its core, tokenization simplifies complex transactions by encoding them in smart contracts on distributed ledgers as self-executing code - rather than relying on centralized systems like banks. Tokenization is not new, but it has the potential to bring together many different industries that legacy systems would otherwise fragment. It could lead to blockchain interoperability and allow smaller companies to compete with larger incumbents.
Health care opportunities:
In healthcare, tokenization may make medical records more portable - removing some friction in patient care by removing the need to transcribe data from one system to another. In sports, officials could benefit from having a single source of truth to verify "game state" conditions like player eligibility or injury statuses.
Tokenization could also be used to manage sports merchandise and sports memorabilia. For example, the tokenization of tickets could allow ticket owners to re-sell their tickets in a more secure open market and ensure that tickets are only granted to redeemers attending the event.
In both cases, tokenization has the potential to bring together many different industries that legacy systems would otherwise fragment. In addition, it could lead to blockchain interoperability and allow smaller companies to compete with larger incumbents.
What Is Tokenization?
Tokenization translates rights into digital assets on blockchain systems like Ethereum, Hyper ledger, or Quorum. These tokens have no market value but demonstrate that certain rights related to an asset or event have been transferred. For example, suppose a fan purchases a ticket. In that case, it is tokenized as part of the sports ecosystem, and the ticket is essentially owned by the buyer, who can re-sell their tickets in the secondary-market marketplace. With smart contracts, it could be done entirely on-chain (without having to post them on a public ledger). This scenario fits blockchain's promise of ever-decreasing fees, faster settlement times, and increased transparency.
Existing Blockchain Solutions in Sports and Health Care
In sports and healthcare, several existing solutions have replaced old-school transactions. Transaction fees for paper contracts have remained relatively constant and, in some instances, have even increased over the last few years. Most of these payment processors only handle a handful of transactions per client, typically from large corporations like banks.
These systems require a lot of manual labor to get to business, including account setup, customer support, dispute resolution, reconciliation when payments go wrong, etc. However, these systems also require significant compliance and regulatory oversight. As a result, some blockchain companies have created a platform to handle these types of transactions natively on the blockchain.
However, once these transactions occur, there are no residual rights associated with them. Instead, rights are only attributed to tokens once the transaction has been processed, so buyers cannot re-sell their tickets outside the secondary market if they decide it is not a good value. As a result, ticket buyers worldwide have little assurance that ticket prices reflect fair market value at the time of sale, even in secondary markets.
How Can Tokenization Be Applied to Medical Records?
Many healthcare systems use paper-based certificates - like a magnetic strip on a credit card or a barcode on an EMR - to track records, document lookups, and old bill accounts. However, this isn't ideal for a variety of reasons:
Paper certificates do not offer the capability to transfer the proper rights to the new record owner (a patient). They are also not cryptographically secure; anyone can forge or alter any certificate by simply printing it out at home and completing it themselves. Finally, it is challenging during hospital stays when patients can be moved from room to room multiple times per day as they are treated.
The healthcare industry is moving from paper-based certificates to digital solutions like EMRs. However, most of these solutions still use a central database to record patient information and do not offer native support for a direct ownership transfer and re-sale of records.
The need for tokenization in healthcare is clear - but it comes with unique problems that differ from the sports industry. In healthcare, the complexity of data is extremely high. Unique rules apply to every single record - some fields may indicate if the patient gave full consent for their data to be shared with different third parties, and some fields may indicate whether or not this particular record must be shared with other organizations even if the patient gives full consent (e.g., CDC). This complexity is not present in the sports industry.
Instead, a change in ownership of assets such as tickets or medical records would need to be cryptographically verifiable. It could include rules and conditions set by the transferor on how they want their assets to be converted.
A Single Source of Truth for Sports and Health
Imagine knowing that all medical records and healthcare claims are correct, accurate, and in one database. It could be a boon for the insurance industry, relying less on medical professionals to review medical claims with each policy renewal cycle. Similarly, sports organizations could benefit from having a complete history of an individual's participation in sports across international borders.Their prospective employers could use an individual's sports history across borders to assess the risk of hiring that person. For example, potential employers may know if an applicant received a concussion during their time at university and whether or not they adequately followed protocol to return to play after the injury occurred.- advertisement spot 2022