Blockchain in Education – Top Use Cases and Potential Pitfalls Companies Need to Know

Blockchain in Education – Top Use Cases and Potential Pitfalls Companies Need to Know

Just like the other rapidly emerging new technologies such as artificial intelligence and augmented reality, blockchain technology in the education sector has brought new waves of change and introduced solutions formulated from various industries that go beyond its original finance and cryptocurrency focus.

Access to credentials and academic records and validation of transcripts was done by following a vague process in the traditional education model that presented challenges in expansion and growth. These problems can be easily solved with blockchain-based software.

The main advantages of blockchain are decentralized storage, immutability of stored information, traceability and transparency. The improvements that blockchain technology is making in education can provide opportunities for people from all backgrounds and nations.

The features are undoubtedly innovative because they have so many potential uses in education. Many public educational institutions are now thinking about implementing blockchain-based tools. If you are dealing with schools, being aware of these developments will help you understand and suggest ideas to improve the system.

The use cases below will help you better understand the use of blockchain in education.

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Use cases of blockchain in education

Use cases of blockchain in education

Blockchains have the ability to create distinctive digital assets that validate the legitimacy of academic qualifications and certifications. There are other applications of blockchain in the education and employment sectors besides just credential verification. Let’s take a look at these practical use cases:

1. Record keeping

Record keeping

Blockchain technology holds the promise of long-lasting changes in record-keeping practices, which have traditionally been primarily unreliable.

A diverse set of educational documents, such as diplomas, certificates or credentials, which currently require validators, can be verified and stored automatically by the blockchain. Once the predefined parameters are met, smart contracts powered by blockchain can handle all work with immediate, self-triggered approval of documents.

It enables students and learners to quickly access their records and securely share them with potential employers. In addition, it reduces the burden on employers because they no longer need to do painstaking background checks to authenticate the applicant’s achievements. The good thing about it is that it remains intact regardless of external problems.

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The process of storing and sharing information is depicted in the infographic above.

2. E-transcripts

Along with the ease of verification comes the amazing potential of e-transcripts. Producing transcripts is the academic institution’s most time-consuming and labor-intensive task worldwide.

To ensure correctness, each entry in a transcript must be checked manually. It requires a case-by-case inspection and a mountain of paper documents from high school to university. Even in 2022, most schools are still sending and receiving transcripts using old techniques such as mail.

These processes can easily be made more efficient by distributed ledger technology and related solutions, which will also help reduce the number of fraudulent claims for unearned academic credits.

Blockchains can undoubtedly do wonders for schools by enabling tamper-proof storage of sensitive data, such as a student’s independent grades. Not only does it benefit educational institutions, but it also makes the assessment process easier for recruiters and staffing firms. It also results in significant time and financial savings.

3. Decentralization of the institution

Decentralization of the institution

Due to its enormous potential, blockchain can create a new business model and serve as an entire infrastructure for universities rather than just a tool.

Using smart contracts to support and automate agreements and payments between students and teachers, the platform introduces online courses. As a result, students enjoy affordable tuition and reliable service.

On the other hand, automation has enabled educators to free themselves from various administrative responsibilities, secure faculty and student data from hacks using blockchain cryptography, and cut administrative costs by eliminating middlemen.

4. Financing of education

In academic institutions, financial accounting plays a crucial role, and blockchain technology can be used in education in previously unheard of ways. Blockchain technology can be used to manage teacher salaries and student grants, creating a transparent and fair system for funding grants and projects.

5. Copyright Protection

Plagiarism in the academic environment is a serious problem. When a research article is copied or stolen, a lifetime of labor can be lost. Low grades may stem from an assignment that was stolen. Blockchain-based solutions can be used to regulate how copyrighted content is distributed online.

The technology’s main purpose will be to securely store the data registered in a chain. Once stored, this data cannot be changed manually because it is protected by cutting-edge encryption.

This enables students to safely access teaching materials. The owner can easily manage access because the use of the content is also tracked in the chain. Online usage tracking is possible and proving ownership is easy.

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Challenges in adopting blockchain technology in education

Despite the benefits, there are challenges in adopting blockchain. There is little hesitation among teachers and students to use a revolutionary technology that may be rooted in the challenges that arise in implementation, including those of security and cost. Let’s explore what these challenges are:

Security issues

Blockchain is known to be one of the most secure technologies. However, it is not impenetrable. Finance and education are two completely different sectors; the security parameters should also be as per the specific sectors. The flexibility and vulnerability of blockchain currency may not fit into the security parameters of blockchain for edtech.

Student educational credentials and reports are sensitive and should be stored in a manner that is synchronized with state and federal data protection laws. It is therefore important for institutions to be extra careful with the information and the way it is stored. Additional security measures such as granting permissions and more robust data encryption should be implemented for better security.

Scalability concerns

The scope of student data and certification is constantly growing. Educational institutions find it challenging to scale up the properties of blockchain with ever-increasing needs. The simple logic is that as the data increases, more blocks are added, which tends to slow down transactions on the blockchain platform. In addition, the peer-to-peer verification process makes the transaction process longer.

Low adoption rate

The benefit of blockchain is currently limited to a smaller group of students; mainly new graduates, who can store their achievements and awards in it. For organizations to use this feature of blockchain in education to facilitate the hiring process, they need to adopt blockchain technology. The companies have to make additional investments for the same which may not be feasible or even beneficial for some organizations. This fear of additional costs can lead to low adoption rates.


Blockchain adoption ultimately saves costs in administrative activities. However, the scale in which this technology needs to be adopted and implemented is gigantic. This will of course entail large costs. While it may be difficult for some institutions to spend large amounts of money, others may find it challenging as blockchain implementation will also require a huge change in existing infrastructure. Overall, the digital transformation of the education industry towards blockchain adoption will require huge initial investment, which may deter educational institutions from adopting blockchain technology.

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Appinventiv created a Blockchain education solution for Nova

How can Appinventiv help?

Revolutionize your institution by streamlining record keeping, improving transparency and security, supporting organizational hiring processes, and giving students ownership of their academic records. Partner with a reliable and expert blockchain development services supplier, Appinventiv, one of the fastest growing development companies.

Integrate blockchain technology into your institution with our consulting and blockchain development services to achieve fast and robust results.

Our expertise in blockchain technology has helped Asian Bank with the application which enables cryptocentric banking solutions. With our thorough research and agile methodology, we created a solution that expanded the horizons of cryptocurrencies by integrating it with banking solutions. The results were impressive with 250+ application downloads and 50,000+ crypto transactions.

Recognizing the fact that blockchain is currently in its infancy, Appinventiv’s innovative solutions can help you fill the gaps that exist in the edtech sector. Book a call with our blockchain specialists.

Common questions

Q. What are the benefits of blockchain technology in education?

A. Blockchain is proving to be extremely beneficial in the education sector. It allows educational institutions to secure the data of their students. They are able to take ownership of their credentials, awards, certificates and academic identity. It builds trust and openness between teachers, management and students.

Q. What is the future of blockchain in education?

A. The technological advancements in the education sector will completely change the way courses are taken up and consumed by learners. Blockchain disruption in edtech will automate the course progression and learning path of students using smart contracts developed on blockchains that give full control to students.

Q. What are the most important use cases of blockchain in education?

A. There are several use cases of blockchain in the education sector. Some of them include record keeping, e-transcripts, copyright protection and more.



Blockchain Evangelist

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