Most people think of blockchain tech as “another currency”, yes it is but it is definitely more than a currency!
What is blockchain? If you ask most people that question, you get an answer that describes blockchain technology as some kind of online digital money (that is quite expensive). Well that is quite funny because blockchain is not “online money” rather it is the technology that the online money is built on, blockchain technology is actually beyond money, it has been adopted for different purposes like building a type of application called Dapps (decentralized applications) , it is also used to store send and receive data and recently different facets of the world has been adopting it. In this article, we are going to be looking at Blockchain, the legal sector as well as some of its amazing use cases that are mind-blowing.
Blockchain and its impact on the legal world
Normally, we think that it is only the financial system that is going to be affected by blockchain technology, but here is what a professional website on blockchain technology has to say about blockchain and the legal world “It’s time for the legal system to get on board or be left out”. And they are right, blockchain technology has had a major impact on the legal sector since 1994, when a computer scientist called Nick Szabo, created what is known as smart contract, which interestingly could be a perfect replacement for contract lawyers, Smart contracts are contracts (computer codes) that self-execute without the need of an intermediary, and in recent years it’s adoption rase has seen some increase. This has helped so many people escape the very expensive fees of hiring a lawyer. This is just one of the areas blockchain has impacted the legal sector. For more information, (click here)
*Some of the amazing uses of blockchain in the legal world
- Land registration: Most legal systems in the world still use analogue systems to process land registration, which involves a whole lot of paperwork, and unnecessary rules and process, that often delay the process of land registration. But this isn’t even the problem, the problem is that since these processes are cramped up with red-tapism, whenever there is a mistake or a flaw, it is not easily noticed, for example a piece of land is issued to Mr A then the next day that same piece of land is issued to Mrs B, such mistakes go unnoticed for months and even years and when both parties go to claim their property, there arises problems. Once an African Senator was interviewed and he said: “Over 60% of litigations today are land-related issues.” But if blockchain technology is used to handle this process, imagine the amount of stress would be avoided, how much money will be saved, and how many litigation cases will be avoided? Just imagine. Visit https://www.methodmakemoney.com/
- Counterfeiting: There are so many cases of counterfeiting in the world today, guess who fights counterfeits? The legal sector, yes it something they are struggling to curb, this is a real problem because there is no reliable way to track products from manufacturers to the consumers, if blockchain is implemented, it will enable the real-time tracking of products and also identify fake or real products.
- Smart contracts: One of the highest uses of blockchain technology is smart contracts; disruptdaily.com says that “40% of legal departments utilize automated contract management tools”. Apart from this, the activities of those using blockchain technology are creating more jobs and revenue for legal firms every day, because of the many cases that are related to blockchain that are now in motion, some suing the blockchain companies, some acting as legal consultants. These aren’t use cases per se but they still add to the legal sector.
There are so many instances where blockchain technology can be used to solve problems in the legal world if you are hoping to see more here they are.
Possible impediments to the adoption of blockchain
Regardless of the fact that this disruptive technology has brought opened up a whole new world of limitless possibilities, there are still some hindrances that experts would need to take into consideration in order to ensure that the benefits of these benefits are fully maximized in the legal sector;
- The lack of awareness of the blockchain technology amongst the legal practitioners could be seen as one of the biggest hindrances to the adoption of this technology into the legal system, as it is imperative for anyone who would be involved in the space to be acquainted with the blockchain ecosystem on a basic level as well as the legal sector.
- The lack of client demand is also another restricting factor to the adoption of blockchain in the legal world considering the fact that when this happens there would automatically be no need for any legal practitioners to find their way there, however, with the incoming wave t mass adoption of this technology, this would change over time.
- Blockchain is often related to digital currency and smart contracts forgetting the fact that smart contracts optimizes and automizes the elements of any agreement using the authority made available through blockchain, the earlier the world begins to see this tech as not just a digital currency-related subject alone the better because it possesses the capacity to across so many sectors
What is the future of blockchain tech, in the legal world?
The future of blockchain in the legal world is an achievement of cost efficiency amongst others. In developed countries like America, the cost of hiring lawyers is very high, this has caused people to begin to look elsewhere, for cost-efficient ways to handle their legal matters. The cost of legal services is not high because the legal sector made it that way, rather it is because legal firms incur high overhead costs and many other things which can be easily avoided once they leverage the technology, but will they?
Luckily one of them has hopped on this fast-moving wagon, the group of legal associates who have taken this bold stride is called the Legal Nodes team. The Legal Nodes team is one of the first Decentralized law firms, they help clients in need of lawyers to be able to get access to these services from any part of the globe, which gives freedom to both the client and the lawyer (at least someone is thinking). By the very existence of the Legal Nodes team, they have proven to the world that blockchain technology and legal are compatible and the legal sector could even become stronger, more efficient and more reliable as a result.
Blockchain will change the world and all our various systems; there is no doubt about that, but for legal sector blockchain will do more than change it, it will revolutionize it.