If you have been keeping up with the trends in the business world within the past few
years, then you are familiar with the term blockchain. Blockchain is a type of database that stores its information in the form of blocks that are chained together. Here’s how it works: when new information or data is entered into a database, it enters into a block. This block is designed to collect and store a specific amount of data and once the block is full, it is attached in a chain-like manner to a fresh block. While blockchain can be used to store various types of information, so far, it has commonly been used as a transaction ledger. In today’s financial market, blockchain technology is driving a transformation with the potential to completely change the way business is done.
Blockchain has particularly gained attention for certain reasons, some of which include:
✔ Immutability: there is a permanent record of every transaction made because blocks can only be added but not removed.
✔ Security: although not owned by a single entity, only trusted entities are authorized to create new blocks and access them.
✔ Replication: once a block is created and the transaction approved, the transaction information is automatically shared across the ledger of each partner in the network.
✔ Consensus: the ledgers across a certain channel can only be updated after a transaction is validated by all relevant parties involved.
✔ Transparency: as long as you are a partner or participant in the network/channel, you can track the data on the network if you want to.
As a business owner who is seeking out trends and new ways to provide the best products and services for your customers while improving your user’s experience and maintaining relevance in the business world, it is only right to adopt business solutions like blockchain that has proven to be reliable and efficient and can help you achieve these goals..
Application of blockchain
Beyond cryptocurrency and Bitcoin, there is a wide range of blockchain applications that can provide effective and efficient business solutions.
As the name suggests, smart contracts are digital contracts. They are almost like regular contracts but without the involvement of a third party. The contracts are embedded with an if-this-then-that (IFTTT) code and are enforced in real-time on a blockchain. This gives them self-execution and waives needed for third-party involvement. The details and terms of contracts for each participant in a network are implemented automatically once conditions are met. A smart contract gives you the option of backing out of a contract without issues if or when other parties fail to meet their end of the bargain. This is a fantastic business solution to help you eliminate the stress that comes with transacting business with untrustworthy people. In essence, there is an increased level of accountability among the parties involved. Also, you get to save business money and time. Smart contracts are quite popular in the following sectors; healthcare, government, insurance, music, real estate, financial, etc. It can also be used in crowdfunding, and property law.
Internet of tings (IoT)
With an increase in IoT products, as well as its applications, several safety concerns must be tackled as quickly as possible to protect your customer’s data from being accessed by a third party. Infusing blockchain in IoT increases data security level, improves compliance, IoT features, and also makes it cost-efficient. For instance, to make certain IoT devices invulnerable to hackers, various cybersecurity firms use decentralized credential solutions which involve removing passwords from centralized servers, while making the devices password and biometric-free.
Personal identity security
No customer will trust a business or company that cannot keep his/her identification details safe especially with the increased rate of identity theft and fraud rates out there. If your business involves collecting your customer’s ID, then using blockchain can help to keep their identity safe. Blockchain uses its decentralized ledger to store relevant identification of birth certificates, birth dates, social security numbers, driver’s license, etc.
Rather than using the popular traditional currency to pay employees, most organizations have opted for cryptocurrency as a payment option. Since blockchain is embedded in cryptocurrency, this form of payment has some major advantages which include the following:
● Enhanced security by keeping the transaction details only between the parties involved.
● Simplified money transfer for global companies that makes it easy to pay employees around the world with a single currency.
● Flexibility that gives employees the option of changing their money to any hard currency or saving it in crypto assets.
The complexity of the supply chain contributes to the lack of effective communication and transparency in the shipping industry today. Many companies in the shipping industry have taken steps to improve their supply chain and logistics management by using blockchain. You can do the same. Since blockchain technology allows data transparency, you can verify product authenticity at every stage, monitor the progress of shipped goods, track goods digitally and also, have permanent and auditable records that show stakeholders the state and progress of the product at each step.
Knowing these blockchain business solutions is not enough. As a business owner, it is your responsibility to take the necessary steps that will keep your brand and business relevant.
Wondering how blockchain can help to improve your business? Our team at HotRay Developers can help you design a blockchain database so your business can take advantage of the efficiency and reliability of blockchain.
At Hotray.dev, we take delight in helping businesses stay at the top of their game by making them digitally relevant, providing the best user experience, alongside excellent products and services to their customers. Whether you need a custom app, a user’s-friendly web design, an e-commerce website, or you just need someone to handle your business’s social accounts, we are here to provide you the needed support.
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