Would you like to transform your business process? Do you need your business to blast? If yes, you should focus on all the latest technology out there.
Blockchain comes to the list of those fast-growing and globally acceptable technologies in 2021. In this article, we will see what the favorable circumstances you’ll receive after implementing this incredible technology in your business are. We will also cover Blockchain technology’s core features and how it helps build a new era of digital transformation.
The blockchain business transformation involves lots of changes in the business process and the working environment. Bringing business changes depends on your strategy. When you consider including this modern technology in your working culture, you must want to know the challenges of businesses that Blockchain technology can address? And, how is blockchain enabling business transformation?
Well, your answer for blockchain and digital transformation is given below. Scroll down to grab your answers.
What are the Core Features of Blockchain?
Blockchain, a trendy word, and yet some people find it a boring topic. This is because they have less knowledge about this technology. If we see the popularity of this word and go on Google and search ‘Blockchain,’ you will get more than 14 million searches.
When we search the same word on Google Trends, the result shows the people are continuously searching for the blockchain.
And by summarizing those outcomes, it’s an exciting tech topic that is relatively important in 2021. Proceeding with more information, I would say, you don’t have to bother with any central authority. It’s just an online distribution system that can store information. Also, its core features are:
- Distributed system
- Enhanced Security
These core features of Blockchain have lifted the global market size. According to Statista, Blockchain technology will generate massive growth in global revenue. It is expected to reach more than 39 billion $ in the coming year (by 2025).
Image Source: Statista
This shows investing in such technology is always worth it. Plus, using such technology in business can solve lots of business problems.
Some Business’ Challenges that Blockchain Technology Can Address
In view of experts, the implementation of blockchain in these spaces will dramatically affect the working efficiency. People might not realize how efficient they can work with this technology.
- Resolves the problem of data loss occurring due to connectivity and hardware issues.
- Thanks to blockchain’s distributed and decentralized nature, this is a perfect solution for data storage issues.
- It will also generate massive advancements in data security.
- Blockchain offers a real-time audit of the transactions, thus ensuring there is no way to modify them.
- It helps individuals and businesses to eradicate corruption and secure the transaction process.
- It becomes easy to eliminate unethical and illegal practices happening in the supply chains.
Let’s dive into: What are the advantages of Blockchain in business?
Well, when I hear people saying blockchain is Bitcoin. And, the only application of blockchain is cryptocurrencies. Also, blockchain can only be used in the financial sector. I would like to say to them; these are only the myths and interpretations you guys are holding for this technology.
Blockchain is far away from all that stuff. There is an excellent role of blockchain in digital transformation for businesses. Now, it has various applications. It can solve a lot of problems we have in society. To keep it simple, this can change the world into a better place to live for everyone.
This technology was first described in 1991 by a group of researchers, but it was never so important until 2009. This year, a cryptocurrency called Bitcoin was used as the first blockchain-based cryptocurrency.
Today, we will figure out when and how we can apply Blockchain technology in small and medium businesses and what Blockchain business ideas you can use?
Advantages of Blockchain Technology
Improvements in technology always give a brave effort to imbibe some new advantages. Here are some striking points of interest you should know about the blockchain.
- It is determined as an incredible technique in giving a high-end of security. Cryptographic encryption and digital signature are consistently good for data recording.
- The risk of hacking is less. It becomes hard to forge and steal data because those are simultaneously put away in numerous places that can not be hacked or produced quickly. It’s hard to find the original as well as the neighboring source.
- Involves transparency in activities. No more requirements for paying third parties or mediators’. This is only possible because of a decentralized system.
- It provides various degrees of accessibility. That doesn’t mean anything. The door is only open for the restricted participation available in the blockchain network.
- Performs quicker transactions. As there is no third party involvement, that means the handling rate of operations is broadened, and the end client’s expense is diminished.
- Automatic settlement of records. As the genuineness of exchanges is checked by the members themselves, they also confirm their legitimacy and structure records in the form of blocks.
- One brilliant advantage of blockchain is smart contracts. It facilitates the computer programs that encourage and gives the power of valuable execution of any commitment.
- It is easy to recognize or identify users in a blockchain system. All the users in a network have to submit data about themselves into a blockchain. These stored data makes the transaction safer and secure.
- Eliminate agents as middle people and make stock trade decentralized.
These are the advantages that are influencing many companies to include blockchain in their working system.
As per a 2019 Deloitte report on big business blockchain acceptance, 53% of heads expressed that blockchain had become a basic need(in a group of 1386). Moreover, just 23 percent have really started a blockchain deployment.
Image Source: Deloittee.com
Now it’s time to dive into a clear understanding of technology like embracing blockchain and implementing blockchain in business? Let’s take a closer look at situations on which managers should rely on. As a manager, how would you embrace blockchain for business in 2021, and How does Blockchain technology improve the way companies do business?
How to Apply Blockchain Technology to Your Business?
In this blog section, we will collect information on how to implement Blockchain technology in business activities.
Blockchain Strengthen Digital Transformation: 7 ways
1. Ease of Payments
We have seen that blockchains started from digital currency, i.e., cryptocurrency, and clearly, it works great with payments and cash flows. Is this the reason why the utilization of blockchain is so valuable for small businesses?
Conventionally, companies are using banks to pay or transfer some amount of cash to someone. With blockchain, you don’t have to pay to the banks, which drastically cuts your costs. There are no more third-party in the supply chain, just you and an individual you send your cash to.
Suppose your business is situated in a few nations or has a small group of workers, Blockchain-based plan of action execution is a fundamental necessity in such cases.
2. Smart contracts
Smart contracts were known after the launch of Ethereum projects. It becomes easy to manage all the contract activities because Blockchain offers a distributed system. It provides a platform where you don’t need to worry about concealment, delays, or external impact.
The framework gives exhaustive monetary security, screens the provisions of the agreement, and is rugged. Also, it is really beneficial for the business that has to manage heaps of contracts. Smart contracts are the best answer for you.
3. Decentralized Cloud Storage
Blockchain permits data storage in the cloud. It is all about Decentralized Cloud Storage. If we want to know how it functions, look at Storj, the organization that offers the quickest and cheapest distributed storage.
Their framework is working around blockchains. They help in storing more information utilizing similar measures of tools and can recover data instantly. So, if you want to chop down your business expenses, try to use such technology, especially when dealing with big data.
4. Digital Identity
The fraud statistics are increasing day-by-day with the increase in the use of the Internet. However, the increasing stats are not dependent on the size of an organization. Whether you have a small setup or big companies, the risk of getting hacked is the same.
With the implementation of blockchain, it is a lot simpler to track and screen digital identities. Also, the identity authentication features of blockchains allow you a more secure working environment. While the typical confirmation strategy is dependent on passwords, the blockchain framework just checks whether there was a right private key or not.
Some people won’t accept this reality; however, blockchain can perform as a modest Notary system. Using blockchains at your working culture, you can acquire proof of presence, ownership, and approval to access a particular set of information. Likewise, it permits easy clarification of ownership or ensures responsibility for any changes in the data.
Trust me; it is an exceptionally cheapest strategy, dissimilar to the typical one, which will hack up the money for you. Also, if you manage such certificates, blockchain would help you remain above others in the business.
6. Supply Chain Management
Blockchain is genuinely required for your business if you deal with any sort of delivery activity. Regular programming software for the supply chains is weak in accounting. Also, it fails when there is an accident.
The system of blockchains is intended to eliminate human faults and setbacks of such software. Blockchains record all that happens within the system that means if there is an accident or break, you can quickly discover what occurred. Hence, it becomes easy to resolve such faults in the system.
All these blockchain features show how helpful it could be for your business regardless of organization size. We encourage you to apply blockchain not just because it is a trendsetting technology yet additionally because it has a bright future.
7. Effective Marketing Campaigns
Suppose you are dealing with an eCommerce business or web-based services. In that case, you can find Blockchain technology as a blessing because blockchains can help escape various kinds of scams and make interesting certificates that would be easy to check.
While looking around the blockchain impact on the business economy, it is beneficial to have a strong marketing campaign. It strengthens marketers with useful records or insight of each customer visiting their online shop.
Thus, your shop’s insight into customer behavior opens the door for creating an effective marketing strategy. This digital transformation will help you in generating maximum leads and also boost the ROI.
Now Let’s see Who Is Using Blockchain Today?
The technology has become so popular and useful that it influences some of the big companies to invest in such the latest technology. The list of those companies are as follow:
- MYTHICAL GAMES
- AIA Group
There is no denying that blockchain is arising as a new technology in the space of business. We have a great deal of conversation about this technology in the above paragraphs. We have seen how important it is for big companies or startups in 2021.
Its features and open-source platform makes it stand out from other technologies that we have today. However, there are barely any other open-source platforms that can compete or have the capability like blockchain.
Further, bringing blockchain activities means considering how your business and the business will look like in the years to come. This technology can help you change to offer improved types of assistance to the clients.
Frequently Asked Questions
Q1: What are the industries that will benefit from blockchain solutions?
A1: Some of the existing industries that can make use of blockchain technology are as follows:
- Real estate: Smart contracts will help in dealing with different rent contracts. This will also improve the audit process carried out in rental agreements.
- Automobile industry: The use of blockchain technology will help in buying or dealing with the rental process. You can use a digital key to secure your vehicle.
- Education: The procedure of verifying the documents for students and staff can become easy.
- Healthcare: Using digital signature technology, it becomes easy to secure medical documents.
Q2: Which of the companies are offering Blockchain as a Service (BaaS)?
A2: Some of the companies that are offering Blockchain as a Service (BaaS) are:
- Azure Blockchain Workbench
- Amazon Managed Blockchain
- HPE Mission Critical Distributed Ledger Technology
- IBM Blockchain
- HPE Pointnext
- Oracle Blockchain Applications Cloud
- SAP Cloud Platform Blockchain
- Samsung Nexledger
Q3: What are the advantages of applying Blockchain technology in business?
A3: Some of the advantages that any industry can grab from implementing Blockchain technology are:
- Better Security
- Improved speed and highly efficient
- Reduced costs
- True Traceability