With the growing popularity of technology, many things that once seemed impossible is now possible. For instance, contact less payments, e-commerce, and crypto currencies. Online transactions can now be easily managed without additional transactional fees, and this is possible because of blockchain solutions.
Businesses are now taking advantage of blockchain technology to increase their accountability and transform traditional business models. However, businesses that are keen on adopting blockchain must first perform strategic evaluation and see if it is the right fit for their business model. There are chances companies may not see a return investment during their initial years. Thus, companies need to perform an assessment to determine the possibilities of inducing blockchain technology.
What are the top-most benefits blockchain offers the business industry today?
Decentralization, immutability, transparency, and security are notable benefits the technology offers. In addition to these, there are other benefits of blockchain.
- The data structure in the blockchain is append-only which means data that is stored cannot be deleted either altered.
- Cryptography is used to secure data ledgers. To complete the entire cryptography process both the current and the adjacent ledger is dependable on one another.
- Blockchain technology offers easy verification process without third-party involvement.
- Transactions that takeplace are arranged in a chronological manner, thus these blocks are stamped.
- The data, as well as the transaction, are attached to a block after every verification process. The consensus of other participants is required regarding the information to be recorded on the block.
- The ledger gets distributed across every node in the blockchain.
- These transactions that are stored in those blocks are contained in millions of computers. There is a possibility that the data lost can be easily retrieved.
- Because of multiple consensus that are needed to validate the entry, blockchain eliminates the risk of duplicity or fraud.
- With the help of smart-contracts, businesses will be able to pre-set conditions on blockchain. Automatic transactions can be triggered only when these conditions are met.
- These transactions are transparent and only individuals who are provided with the authority will be able to view the transaction.
There are tons of demand for a blockchain engineer. One of the biggest reason is that big tech giants like Amazon, IBM, Facebook, and Microsoft have already advertised the need for skilled professionals in blockchain.
Blockchain applications can be widely used by industries such as healthcare, e-commerce, mining, property, retail, agriculture, media and entertainment, banking, and logistics. A thorough understanding is needed in areas where blockchain technology can be applied.
Possibilities of blockchain taking over businesses
Court cases, frauds, police records, civil registry, and voting uses blockchain for identity management.
- Smart contracts
If a transaction requires validation a pre-set condition has to be defined, and only when these conditions are met the transaction can be validated.
- Static registry
The ledger contains records or information for reference purpose. Through blockchain technology, the records that were once stored cannot get altered.
- Dynamic registry
Once goods or services have been exchanged on the digital platform it gets updated on the ledger. For instance, a drug-supply chain is a perfect example. Supply of drugs starting from the manufacturer to the distributor to the drug store can now be easily mapped. Thus, information on the movement of the drugs in the market can be used to stop the supply of counterfeit drugs.
Blockchain has the potential to disrupt existing traditional business models. To be precise, there are several industries that have already achieved significant business benefits through this technology. Despite being at its initial stage, blockchain provides unique benefits, and this technology is here to stay. The upcoming years will experience new applications where blockchain will showcase its greatest value.