Blockchain technology is the cutting-edge technology that has the potential to disrupt several industry verticals at a time. Read the below article to know how Blockchain can impact your business.
We are all but an alchemist of change. Time and again, humans have come up with something new that would go on to change the course of the future. Remember how email disrupted the then prevalent postal system? Just the same way, blockchain is a phenomenon that bound to supersede centralized controlling. There are things that your business needs a solution. Be it simplifying internal processes, bringing in the transparency, improving traceability, or plummeting overheads.
What blockchain does is that it offers you with the collection of encrypted data which is shared securely while being geography-agnostic. No wonder why reportlinker forecast suggested the Blockchain growth rate of 80% in the next five years! It will experience a surge from being a $1.2 billion market to a $23.3 billion market by 2023.
You may ask what immediate issue does the blockchain technology addresses.
The answer lies in providing security from hackers. Google has made it easy for everyone with a passionate interest in hacking to learn things quickly. And oh! Did I mention Dark Web? Well then, hackers are getting smart, and with an ability to hack your system, your crucial data may go on a toss. It won’t be personal to your business’ IT environment anymore.
Here’s how:
You can only see the data with your naked eye when you store your data in a blockchain portal. Meaning, viewers can see the information in terms of numbers, images, or texts. It is the only way to access data over blockchain. Such a security layer controls data modification, duplication, and even deletion.
Moreover, Deloitte’s Global Blockchain survey suggests that it is already amongst the top five strategic priorities of businesses.
Now, if you are still wondering what blockchain development can do for your business, read this out.
There are more than 14 million companies in the U.S vulnerable to security attacks. Also, most of the early-stage startups suffering the cyber-attacks have to shut its operation for not being able to sustain the damage.
More than merely reducing the overhead costs as a significant takeaway for hosting services on blockchain, you will leverage the security and transparency it provides - mechanism involving a layer of cryptography protecting the system from the public and private key. The participants of blockchain services are verified that they are using pre-assign services and therefore, it won’t expose the crucial, sensitive information that gives away the identity.
There is no need for your business to run the risk of handling a large amount of personal data with blockchain implementation. For example, if your business requires verifying the customers’ credit card data to verify transactions without exposing that user’s identity, then blockchain is the solution. Winning customers’ trust by bringing in a system that put them in command of their personal information is a big win.
Manufacturing companies can make the most out of Blockchain technology for its ability to track goods and materials throughout the supply chain of the unit. Recording the arrival of goods at the warehouse and its subsequent shipment to retailers is possible just as the products dispatch from the factory.
Gain more visibility in the business process by implementing blockchain for the supply chain management. It does so by aligning the business interests with others in the ecosystem and adding transparency.
One of the most common uses of blockchain technology these days is in facilitating employee reimbursement and transactions. Perhaps the reason why Blockchain technology backs modern-day cryptocurrencies like Bitcoin ethereum. Many companies are already creating ICOs (initial coin offerings) to support their blockchain-based platform and currency.
In July 2019, bitcoin witnessed an upheaving value close to over $10,000. There are two schools of thought, with one arguing that the boom won’t last for a long while. The other thing that cryptocurrencies are providing a viable option to fiat currencies. Central banks like J-Coin in Japan are experimenting with their blockchain-backed currencies, which indicates the possible future trade alternatives.
4. Facilitate High Volume Transactions
Growth in recent times is all about speed. Conventional financial systems may fall flat if there is a need to manage high volume transactions and increased sales. The pace at which those systems work sounds almost redundant when compared to the blockchain. Since the blockchain is a decentralized system without any agent involved (relied on by banks and brokerages), they are made for uninterrupted processing.
When a business deals in something that involves undergoing an agreement with customers, then blockchain can come to good help. Enable creating enforceable contracts with your customers for digital businesses with blockchain. For example, if a crucial factor in providing goods or services is ‘predetermined time,’ then using blockchain to demand payments based on such condition is possible.
You can leverage its ability to allow a sliding payment scale requiring a customer to pay more (on an incremental basis) as the payment deadline passes. Such smart contracts are part and parcel of subscription-based business and other small-term credit apps. These businesses rely heavily on Artificial Intelligence and other such tools to enable large volumes of condition-based transactions at high speed.
Automating the contract activities is also a great advantage of implementing blockchain. This way, you may negate the use of in-house resources and cut down the cost drastically to see an improved bottom line. Apart from this, smart contracts will help cut down the costs in terms of fees paid to brokerage service agents and other such mediators.
Conclusion
Blockchain is still a raw, new technology and it will require you to build dedicated infrastructure to benefit from it. It is worth the wait to see the technology becoming more stable and businesses adapt to new ways of conducting their activities using blockchain. Incorporating blockchain to a business’ current value proposition is the first step to determine whether it will be a fruitful initiative. It is something that requires a business to experiment highly with the technology and even onboard blockchain experts to build the business in and around blockchain. And then companies can push these solutions towards their existing customer base.
