It's time to embrace blockchain.
Since gaining notoriety as the power behind Bitcoin, blockchain has forever changed the way the business world works. Today, the technology is becoming increasingly ubiquitous, with countless applications far beyond cryptocurrency.
Because blockchain has become such a popular solution across many different industries, some companies are turning to development companies to help them implement the technology within their organizations. Doing so has many benefits and ultimately allows your business to improve and grow.
How does Blockchain work?
Blockchain is a distributed public ledger. The sequence of connected “blocks,” each of which stores information such as the time of purchase and the parties between which the transaction occurred, is unalterable, as changing one block will affect the entire sequence. Anyone can view information on the blockchain.
The ledger is decentralized, meaning it is not governed by a central authority like a bank. Instead, anyone can make a transaction on the blockchain, so information is across multiple devices rather than concentrated on a single server supported by a single entity.
A blockchain consulting firm works with blockchain technologies, developing stronger solutions for clients and helping them achieve their business goals.
Can be applied to many different industries and sectors
Gone are the days when blockchain was seen simply as the fuel for Bitcoin. While it has put cryptocurrency on the map, the technology can be used in many industries and sectors. For example, in the renewable energy sector blockchain can mitigate security concerns by ensuring that information collected by researchers will not be modified or stolen and by ensuring that multiple parties have access to the same information simultaneously.
And that's not the only industry that will benefit from blockchain. Finance and banking, of course, have already adopted the technology, and healthcare, retail, manufacturing, advertising and many others are also quickly joining in.
It addresses security concerns
Blockchain provides such a sophisticated level of security that it is one of the most important reasons why many companies implement the technology. It allows you to ensure that ledger data cannot be altered or stolen and gives your customers the peace of mind that their information is safe, regardless of what they have shared with you.
Improves tracking
If you need to track products, blockchain can make it easier. For example, from a production perspective, you can track where your products came from, where they traveled, and where they are now. Essentially, you can see everything that has happened to the goods since they left the original facility. This way, you will be able to detect any problems and resolve them quickly. This will help you ensure on-time deliveries, which translates into business success.
Makes information readily available
You need data to inform your business decisions. Information is critical to improving your operations and, ultimately, growing as an organization. Blockchain makes access to essential information more possible.
Getting medical assistance , for example. If a patient changed medical providers, the new doctor could immediately access the previous doctor's patient information – as well as any additional specialists they needed to see. Providers can simply view information digitally, without the need to email or print confidential records. Since only authorized people can relate the data stored on the blockchain to a specific individual, the patient can also know that their information is safe.
Can help authenticate information
Likewise, while blockchain won't completely eradicate misinformation, it can go a long way toward authenticating data. As the records are immutable, no one can change the information within each block — without, of course, affecting the entire blockchain — preventing manipulation or alteration of the data.
Facilitates more efficient transactions
You no longer have to wait days and days for a bank to process your transactions. With blockchain, they will be processed faster and easier, satisfying both companies and their customers. This is because they do not require an intermediary – like a bank – and instead allow peer-to-peer transactions. This translates into greater efficiency, which will attract more customers to your business.
For example, in the case of a smart contract, it will not be necessary to hire a witness to verify the transaction being carried out – only the parties exchanging goods or services need to be involved in the signing. Similarly, in the gaming industry customers could make in-app purchases immediately, without the need for the transaction to be validated by the player's financial institution.
Reduces costs
One of the main ways blockchain is impacting businesses is through its ability to keep costs low. It eliminates the need to hire an “intermediary” to help facilitate transactions, for example. You can also better ensure the security of your customers' information without having to devise more complex and expensive solutions to protect it.
You will save even more if you hire consulting services to implement blockchain solutions for you rather than doing it in-house. This is because:
- You will end up only paying for the services you actually use.
- The company will have its own infrastructure, which means that you will not have to buy expensive equipment and pay full-time salaries to specialists, while still benefiting from their work.
- You'll have access to extensive support as part of your package and won't need to hire additional consultants to troubleshoot issues.
Increases collaboration
Without the need for intermediaries, blockchain facilitates direct contact and collaboration between two parties. This allows for greater interaction between the two pairs involved in the transaction. And since anyone can view and participate in the blockchain, it facilitates large-scale collaboration since everyone will have access to the same sets of information.
We still have a long way to go before blockchain is adopted globally. Across industries, there are challenges in implementing and using technology, such as the efforts required to maintain blockchain. It can also be difficult to scale technology.
That said, it is clearly gaining traction in many sectors. Blockchain consultancy will benefit your organization, allowing it to grow and prosper. We will likely see the need for these services increase steadily in the future.
If you liked this article, be sure to check out our other articles on Blockchain technology:
- How to Create Cryptocurrency – 7 Easy Steps
- Web 4.0? It's time to talk about it
- What is Blockchain as a Service and how can we use it?
- What is Blockchain and why does your company need it?
- Why You Should Use Solidity for Blockchain Development
