Greatest Benefits of Blockchain Technology for Business

Blockchain came to the world of business through small doors. You could even claim that to crawl in through a tight window. Yet, today, after fifteen years on the market it owns the house. Blockchain has changed the way many businesses are run. Its unique traits really changed the financial landscape as we knew it. Blockchain tech gave birth to Bitcoin and we know how far that digital currency has gone, and how it helped establish the crypto market of finances.

We live in an era where the President of the USA , Donald Trump is announcing that the United States of America is creating a federal reserve of Bitcoin. What this means is that the people have started to believe in digital currencies and everything that blockchain technology brings to the table. If you’re a newbie to this subject, you will learn a  thing or two today. We’re going to talk about the biggest benefits businesses can attain by relying on blockchain technology even a little bit. Let’s proceed by explaining the benefits you or the company you own can have by adopting even the smallest piece of this tech.

Trust

Blockchain is able to create trust where none existed before. When there are two entities aiming to make a transaction online, but have no way of establishing trust, it’s where blockchain technology steps in. When you have a mediator that guarantees trust, two entities can get involved in a business cooperation that was not  a possibility before. The best part is that the blockchain by itself is not a mediator, but it eliminates a need for two entities who want to make monetary transactions, or data exchange, to hire an intermediary.

When it comes to blockchain one can’t stress enough the importance of trust it creates. This trait is not respected when it comes to businesses that engage in online gambling and sports betting. It is because blockchain keeps both sides safe despite the fact that neither have cooperated before and do not know each other but are in dire need to make monetary exchange or data transactions. It might be that the best example of how participants who are not familiar with each other can have common interests in business, can be seen through online casinos, Bitcoins, other digital currencies and blockchain technology.

A Unique Decentralized Structure

This is where things get interesting. There is no central entity enabling safe transactions through blockchain. It is that entity. It’s not run by anyone, nor is it controlled by a sovereign body. It provides trust by itself, and it’s not reliant on any outside factor. It is fun to know that no single entity is in charge, but the transactions run freely through an entire ecosystem powered by blockchain. The best way to explain how blockchain is a decentralized aggregator of data and transactional exchange is to be observed through a simple supply chain. In a supply chain everyone wants to send and receive data and transactions from other participants being it retailers, producers, distributors, or transportation companies. With blockchain, every one of these entities can have access to the same set of data without having either of them control over it.

High-end Security & Privacy

For many online business and financial entities, hacker attacks pose a major issue. Thanks to blockchain their attacks are few and far between. This tech makes it so hard that it’s almost impossible for any cyber criminal to penetrate its defences. The blockchain defence lies in the fact that it encrypts all of the data it touches and it spreads it across multiple computers. By doing this it creates pathways that are impossible to be tracked by hackers, thus changing the data or stealing it is almost impossible. As you know many businesses are in need to handle tons of data on a daily basis. For example, every reputable online crypto casino works with plenty of personal data of their clients, financial transactions, and other forms of data exchange, and it is their top interest to protect this data. Blockchain enables keeping all of this data safe. Traditional system keep all of this data in one place. Blockchain spreads it across the network reducing risk of leaks and frauds to a minimum.

Cutting Costs by Removing Unnecessary Fees

If you ever ran a business or were close to one you know that there’s plenty of transactions on a daily basis. Every transaction involving a business comes with a fee. Banking services and transactional fees are not cheap. For a company that is having hundreds of transactions daily this can prove to be quite a burden in the financial sector. Add in security measures and administrative costs and a company could find itself being less productive than it needs to be. Many of these costs are diminished or erased with the use of blockchain.

This is best seen through the point of having no middle man when you handle your transactions. No bank, or an intermediary. With businesses having not to pay any extra fees when using digital currencies and blockchain technology, many such as Stake.com were more than ready to fully adopt them in their daily operations.  Furthermore, blockchain tech comes with an option to automatically keep the records. Thus, the level of human mistakes is reduced while paperwork is almost made redundant.  Add to the mix that it increases security and lowers all risks of financial losses through mistakes, frauds, and cyber attack, and you get yourself a winning formula that lowers your overall expenses. A dream come true for all businesses.

Faster Transactions; No Delays

As you probably know, the traditional banking systems, despite all the work and money being invested in them, remain slow when it comes to standard payments. Banking systems are slow, and it appears they will never become faster. Sometimes, it takes days for transactions to be completed, especially if they’re between companies that are from different countries. Thanks to blockchain the process of payments can be made quicker.

Any transaction can be handled in matters of seconds or minutes at worst with blockchain. Businesses that operate in the fields that require non-stop connection with their suppliers and customers’ were the first to notice the wonders blockchain can make in an instant. There is no more wait for the banks to give their blessing for transactions. Transactions that are fast, and come with no to little delays are a sought after commodity in the world of business, and thus the blockchain was the solution that many businesses sought and finally received.

Better Tracking and Visibility

Many businesses are facing issues with verifying their records, records of their partners in business, and tracking the products on the market, on the production line, or at their warehouses. With blockchain the visibility of every product can be increased. How? Well, the blockchain technology can create a clear and unchangeable record of a transaction for every imaginable product. Let’s use a shipment company that needs to keep a record of every product they carry. In a case when one or more products are delayed or even lost, with blockchain the shipment company can quickly trace the origin of the issue and the exact location of any given product. By applying this digital technology every shipment company or any other business can respond to any given issue on a shorter notice and operate more smoothly.

Permanent Records with Immutability

From the moment a piece of data is added onto the blockchain it is where it stays. It can’t be moved, changed, messed with, or altered in any way. The most important part is that it cannot be deleted. This ability that blockchain possesses is what’s known as immutability. Thanks to it, blockchain can always guarantee that all of its records are reliable and above all else accurate. When any business has in possession immutable documents that have on record transactions, it can always prove that there was no fraud, prevent it, and eliminate the possibility of any piece of data being untrustworthy. Many industries such as finance, companies in legal service, and healthcare already heavily rely on blockchain to keep their records immutable.

Providing Businesses With more Control Over Their Data

Companies that are neglecting the rights and desires of their customers and partners often collect and even sell their data to third parties. Not only is this against the desires of all parties involved, it is heavily illegal in many parts of the world. Blockchain can serve as a provider of protection to all parties involved. It lets each individual control their data. Any entity can choose with whom to share their data, who can access it and to whom it is off limits. Businesses who are in the line of work where their customers and partners must leave their sensitive data to be handled are feeling much safer when the blockchain technology is part of the agreement. Thanks to it, both businesses and individuals can be assured that their privacy is protected, that laws and regulations are respected, and with these things on the table a bond of trust is created which is vital for every successful business.

Turning Real-World Assets into Digital Tokens

Blockchain is a rather interesting technology in its essence, but in this domain it becomes really fun to think about it. It allows businesses and individual entities to turn their physical assets into digital tokens. The process in which you can do that is dubbed as tokenization. From the moment this conversion is done it makes it easier for companies to buy other assets, sell them, or trade them. The best example of this so that even laics could understand tokenization is the real estate market. The companies that operate in this domain can turn any property into a set of tokens.

By doing this, individuals or other companies are able to buy tokens tied to a property. When this is done, they become owners of a token that represents only a piece of that property. So, one person or a company can buy only a piece of the property, a  room, or a hallway, and we’re speaking about the square meters worth of assets, without ever having to physically use the given space.  While this practice hasn’t yet been fully informed, we expect for it to become a widespread way of trading assets in the world of real estate, providing people with an easier way to buy property.

A New Era of Innovation

Blockchain is a revolution on its own. But it didn’t stop there. This technology is not only a pathway to a safer and faster way of doing business.  For many people it is only a financial tool. It is so much more. Blockchain has already found its way to the core of operations of businesses such as healthcare, supply chains, and also entertainment. With every new day, a different business finds a new way of using blockchain technology. In healthcare it is already heavily used to store patient data. Supply chains and transportation companies are using it to track their products and to ensure they’re authentic. If you’re a fan of video games, you probably know that this industry is using blockchain for creation of new digital assets, in-game currencies. At the same time it has already taken over the world of online gambling which is seen through the number of crypto casinos arising.

While amazing, the blockchain technology is still looking for its ground, and it is evolving as we speak. As more time passes, more companies are going to find new ways to implement it, recognize its use, and increase its potential, by adding new ideas and applications. We’re looking for them to come our way, and are eager to see more and more businesses relying on this unique technology that blockchain is. So far, it has fully earned and deserved our trust.