Bitcoin has been the stuff of headlines for months now. Never before has a cryptocurrency have too much in value. It’s even regarded as the modern-day tulip mania. But the term bitcoin usually goes in tandem with blockchains.
Yes, they’re related to each other. But they’re two different things. Bitcoin is one of the many cryptocurrencies out there that use blockchain, which is a transaction tracking method.
Though it’s still in its infancy, a variety of business users already adopted to blockchain. The future looks bright for it, but why? That’s what we’re going to find out as we’ve compiled the best ways businesses can use blockchain.
But what exactly is a blockchain?
A blockchain is a considerable ledger where virtual transactions are placed. The deals come from different decentralized sources. This makes it independent of any central system that can control it. In short, it belongs to everyone, and that’s what makes this an innovative technology. Blockchain transactions are also secured and irreversible, making them a better choice.
1. Trading Commodities and Securities
Blockchain technology makes stock exchange trading faster, whether it be commodities or securities. It shortens the process. What was once undertaken over several days is now finished in a few minutes. This happens because there’s no need for the exchange to be run down by validators. Everything is automated with blockchain.
Auditing is made more comfortable and more secure thanks to the blockchain. It has a permanent record of all transactions. The records are also irrevocable which makes them safe from hacking and tampering.
Aside from that, auditors have access to a detailed paper trail. It lets them quickly find lapses in different business processes. Another cool thing about blockchain is that it has unlimited storage. This means that you can store as much data on it. And not only is it a safe place to store data. But it also gives you full access to it anytime, anywhere.
3. Quality Assurance
A business using blockchain can easily identify any problem in the company. This is because every part of the supply chain is linked to a central command system. Once the problem is detected, the management can find a solution to fix it ASAP.
An excellent example of this is a salmonella scare. In using blockchain, the QA department can trace back the cause of the issue. It might either be in the factory’s packing process, or in the delivery vans. You don’t have to wait for days to find the cause.
4. Use of Smart Contracts
Blockchain can be used as a smart contract. It enables businesses to manage many transactions simultaneously. The contract shortens the time needed to process such transactions, while also maintaining confidentiality. Lastly, through smart contracts, you can integrate services between different companies without sharing sensitive information.
5. Gathering of Consensus
You can move any data accurately from one point to another by blockchain. And this includes votes. Using blockchain as a way to gather consensus strengthens the validity of results. This process makes the outcome more credible because the gathering process is made quickly. There’s also less human interference in the process. It also makes tampering less likely.
Transparency is essential in voting. And that’s what a blockchain does — make data transparent for everyone.
6. Supply chain management
Blockchain can improve the supply chain management of a business. It can track products throughout the company’s entire supply chain. An excellent example of this is when a product gets shipped from the factory to the warehouse. A centralized system records the details of its departure and arrival.
No longer do you have to make guesses on when or where the product is. Though most cargo services have this feature, the report still ends up inaccurate. But not when you’re using blockchain. ShipChain is one of the best supply chain management systems running on blockchain technology.
7. User-generated content
Sites like Youtube provide a platform for users to showcase their thoughts and ideas to the public. Videos have the best chance of going viral and providing more entertainment to visitors, which leads to greater profits for advertisers. Businesses are aware of this fact and are using blockchain to facilitate the exchange of content and goods between users and businesses.
Eristica provides risk-takers and daredevils a way to undertake different challenges and earn from a decentralized system. Blockchain helps reduce the risk of fraud and makes the voting system transparent and democratic so the best content wins.
Blockchain technology is shaping our modern world in more ways you can expect. From the way, money works, to business process, and even our lifestyle, are all affected by this disruptor,
though the idea might still be vague to most of us. There’s no doubt that the public will accept it soon. In fact, there are national central banks that are experimenting with blockchain currencies. We need to accept the fact that things are changing. And it’s in going with the trend where we can make our life easier.
The blockchain is proof of that.