Blockchain For Businesses: It Is Not Only About Cryptocurrency

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Image by Pete Linforth from Pixabay 

Try to ask someone around you what blockchain is. The most frequent answer is that it has something to do with bitcoin and earning cryptocurrency. It’s not incorrect, however, cryptocurrency is only one of many applications, and the range of opportunities related to the use of blockchain is much wider.

The blockchain is a kind of distributed ledger that stores digital data and consists of blocks chained chronologically. Digital records in every block cannot be changed, the system is decentralized and works with the use of cryptographic hashing.

Many blockchains are used to reserve only transaction details, however, it is also possible to store other types of data: from secure messages and medical records to smart contracts and electronic warranty. The question is how can blockchain be useful for businesses?

Why blockchain?

There are five key characteristics of blockchain technology: transparency, immutability, decentralization, increased security, and near real-time updates. Every industry encounters specific challenges, often related to data loss and changes, security and transparency issues, procedural delays, and costly fees. Such a decentralized ledger can help businesses work faster, be more cost-effective, know the customers better, and gain trust.

Blockchain-based solutions are implementable in the following areas: supply chain management, healthcare, real estate, sharing economy, FinTech, retail, and e-commerce, e-governance, gaming, social media, and more. Let’s have a look at how blockchain technology is able to help your business specifically.

Blockchain in supply chain management

The key points of the supply chain management are delivering on time and the quality of the delivered goods. With the integration of blockchain technology, those tasks can be performed in a simpler way. Blockchain solutions provide digital goods authentication, automated cargo tracking and documentation flows, ensures certification, and logistics transparency.

Blockchain in healthcare

Electronic health records can be kept on a blockchain with the use of smart contracts. When it comes to patients, they have a chance to set up access rules for their medical records and collect their own data from other hospitals. Thus, their information is open and transparent in case they want to check it or use it for something specific.

Blockchain in real estate

With blockchain, buyers and sellers have got new ways to do their business. For example, working with blockchain-based platforms, it is possible to make transactions without intermediaries and save money. Blockchain has a transparent nature, so documents, purchasing events, and contacts become visible to the public, and added blocks of digital data cannot be altered. This way blockchain technology helps to fight and prevent tax evasion and money laundering in the following area.

Blockchain in retail and e-commerce

And, again, customers are asking for transparency. They want to know the origin of the product and how fresh it is. Meanwhile, many retailers often don’t have such accurate information. Decentralized and secure blockchain platforms help both sides to better track locations, dates, the product’s origin, view the supply chain. Thus, shoppers get access to genuine data, and retailers gain trust and attract customers.

How to start?

Before you decide to integrate a blockchain-based platform with your business workflows, there are several things you need to think about. First, consider your challenges, then define business goals, and, finally, turn to a blockchain consulting firm. The firm will start its work with detailed analysis, evaluate the rationale for applying blockchain, and provide tech roadmaps. They also must do research regarding the future solution in terms of business, technical, and financial viability to be sure about the chosen DLT feasibility.

As it was mentioned before, blockchain is closely related to cryptocurrency. Some businesses may be interested in crypto earnings, and this is what arbitrage is for as well. Many blockchain platforms provide cryptocurrency arbitrage opportunities with a built-in arbitrage bot. With their help, the user always grabs the most beneficial deal.

On the whole, there is a suitable blockchain solution for every business. It is essential to clearly understand the problems, goals, and look for ways to solve them. Blockchain will help you cut costs, increase the efficiency of your business processes, and bring you new customers and profits.