The significance of using blockchain for data transparency lies in its inherent characteristics of immutability and decentralization. Once data is recorded on a blockchain, it cannot be altered without consensus from the network, ensuring a reliable and auditable record. This transparency is crucial for various applications, including supply chain management and financial transactions, where trust and accountability are vital. Blockchain's ability to provide a clear and permanent trail of data enhances stakeholder confidence while reducing the potential for fraud and discrepancies.