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How Cryptocurrency Favors Medical Billing Services

January 25, 2019

Cryptocurrency is an alternative to real cash, and it does not cause problems of security or data-stealing. It keeps sensitive information safe and is the future of medical billing services.

The next big step in technology for many medical billing service providers will be using cryptocurrency by accepting ‘crypto-tokens’ for transactions. Cryptocurrency directly facilitates transactions between providers and insurance companies on a massive scale.

Some billing companies also believe crypto-tokens will eventually speed up the transformation to the value-based reimbursement models.

What Are Value-Based Reimbursement Models?

Value-based reimbursement models define value in terms of quality instead of quantity.

The U.S. healthcare industry will shift from the volume-based (fee-for-service) model to the value-based system gradually. This means that healthcare professionals will receive payments based on the quality of care they deliver rather than the number of patients they examine.

CMS.gov

Some of the examples of these value-based reimbursement models include Value Modifier (VM), MACRA-MIPS (Merit-Based Incentive Payment System) and AAPMs (Advanced Alternative Payment Models).

Providers can pay with crypto-tokens for immediate subscriptions with value-based programs, medical billing outsourcing, credentialing, and monthly bills. Furthermore, clinicians will receive an abrupt boost in collections, which will reflect on the success of this dynamic setup.

Healthcare Blockchain Means Speedy and Reliable Medical Billing Services

Token-based payments are the future of cryptocurrency and financial transactions.

Ripple leads by example in blockchain technology success. It publicly appeared in 2012 and has since gained an unparalleled reputation because it works on an open-source and peer-to-peer independent platform.

It will be achieving a milestone if medical billing companies start offering this form of transaction to healthcare professionals. There are companies already experimenting with this technology, such as Patientory, an Atlanta-based healthcare IT firm, one of the first companies to go on blockchain and secure health records for patients, providers, and payers.

In addition, Gem is a California-based software vendor on blockchain technology that is on its way to discovering the role of blockchain in patient-centered health care and everyday medicine.

Medicalchain, from London, is another top-rated company that stores electronic health records (EHRs) and shares them across a network of medical specialists.

As soon as this technology comes out of the testing mode, healthcare blockchain will grow in popularity.

Healthcare IT consultants need to think in creative ways. As long as you support physicians and look after their claims, cryptocurrency seems like a step in the right direction.

It is a win-win situation for everyone involved. When a patient checks-in to receive care, the doctor may prescribe him or her a new medicine. When the EHRs are on a decentralized network, changes to medical records are available across the entire network – the doctors, patients, billers, and payers.

It streamlines the job of billers and coders to prepare the claims and charge entries without much hassle or system dependency.

The State of Crypto-Tokens

Patientory, a blockchain implementer, created and introduced the first healthcare crypto token in 2017. The development led to the involvement of decentralized mechanism in the healthcare industry.

The major cryptocurrencies are Bitcoin, Litecoin, and Ripple, among others.

Cryptocurrencies

Many people are still learning about cryptocurrency and are trying to understand its implications. Some groups favor of this form of transaction, while others are doubtful because of the risks involved.

According to data from the Government of Singapore, crypto-tokens represent the future of transactions, but there is currently a constant threat of misuse and malware attacks.

For instance, ransomware remains a common threat against crypto-tokens. Investors won’t invest unless they can confirm it's stable. Moreover, the fluctuation in virtual money is far greater than in traditional currency. Many are not ready to take such risks. 

The situation will improve as we overcome these risks and recognize the benefits of blockchain technology.

To disassociate cryptocurrency from illicit behavior and stabilize its value, we need to build a community around it and use it in legal transactions to re-brand it as an acceptable commodity. 

The Usefulness of Cryptocurrency

Despite its flaws, cryptocurrency is a highly secure network free from the bounds of state laws or tax systems.

The benefits of cryptocurrency for retailers and shopkeepers are tremendous in terms of immediate conversions and sales. Cryptocurrency, like any other form of payment, benefits the retailer.

Medical billing service can benefit from cryptocurrency because, as a patient, you can easily pay for those budget-straining treatments with tokens. On the other side, insurance companies can compensate for highly capable and compliant doctors with cryptocurrency.

Cryptocurrency is authentic and secure because of the basic decentralization in its programming architecture.

We will likely see more examples of healthcare departments becoming crypto-centric.

Cryptocurrency Leads to Secure Digital Transactions

Billing companies require maximum security for patient data under the law.

Healthcare blockchain meets statutory HIPAA compliance and leads the way to a securer network.

Protection of Patient Health Records (PHI)

Using blockchain in the U.S. healthcare industry can help us analyze the changes and alterations to the patient data via distributed databases.

For instance, if there is an update in the EHR system, we can trace it back to the source. In other words, there is a very slight chance of losing track of information in a blockchain healthcare system.

What Is an EHR?

Electronic Health Record (EHR) is the digital copy of a patient’s paper-based record. We use it to add, store, and share information of a patient with doctors, nurses, pharmacies, and laboratories.

Providers and insurance companies can use digital money for transactions, which may be the best way to pay for outsourced services.

Health Information Exchange (HIE) is one of the major goals of the healthcare industry. Through a secure blockchain network, we can keep the patient’s health information private and protected when sharing it across the health network.

If the U.S. healthcare industry adopts the trend of tokenization, those delivering better care may receive incentives in the form of crypto-tokens as soon as they report on measures. It is an ultra-fast way to pay them for rendering services. The measures correlate with reports that they need to present to the Centers for Medicare & Medicaid Services (CMS) under the value-based reimbursement programs. It also incentivizes them to do a good job.

Moreover, cryptocurrency will help the U.S. government cut down on healthcare costs. When the government pays only for the value-based services, i.e., the quality rather than the quantity of service, it will automatically reduce expenses. Doctors won’t cash in patients’ visits in value-based care. Only when the patients get better and report healthier outcomes will this convert into payments for the physicians.

These outcomes are actually patient-reported outcomes (PROs), which happen through questionnaires and feedback forms.

Blockchain Exhibits HIPAA Compliance

If we secure health data and accomplish EHR objectives via blockchain, it does not violate HIPAA provisions. We will not have to worry about losing information to hackers.

In addition, blockchain speeds up the delivery of care without affecting its quality. The decentralized database follows the essence of HIPAA in terms of securing sensitive information.

How Does Blockchain Speed Up The Delivery Of Care?

Blockchain speeds up the delivery of care because it is in the absence of intermediaries such as banks, brokers, traders, and other agents. It does not require a central agency to approve the transaction for its execution.

Blockchain has the potential to speed up research and development. For patients enrolling in clinical activities through self-identification, the system assesses and checks their eligibility. It gives the researchers chains of verified data via public and private keys left by the patients.

The Future of Medical Billing is Blockchain

It is time to put an end to medical errors and make medical treatment safer and more secure. According to a report on CNBC, medical mistakes are the third leading cause of death in the U.S.

Patients have the right to access the best care and doctors and other clinicians deserve rewards and appreciation for their services. Cryptocurrency benefits all parties involved and comes as a convenient and tactful way to earn incentivized collections. 

Using medical billing services by following the same principles can be a viable business solution. 


About the Author

Headshot of Farhad AhmadFarhad Ahmad works at P3 Healthcare Solutions, which is a tenable name in the medical billing services industry. If you want authentic and credible claim submissions, give us a call at 1-844-557-3227, and please follow us on our LinkedIn page.