How Blockchain can open the doors for small businesses?
Guess the name of the technology that has created ways for small businesses to expand themselves in a newer niche (quite away from the crowd!) and to have better, secure and quicker business operations in their system. Obviously, Its Blockchain technology!
Lets first look at the introduction of this amazingly popular technology.
What is Blockchain?
Blockchain is a new technology that has entered in the market. It has come up with powerful solutions to problems like poor speed, poor data security, and money fraud. It has unmatched solutions for almost every industry whether it is the healthcare industry, finance industry, banking industry, retail & e-commerce industry or IT industry.
Why Blockchain is so popular?
The main reason behind its popularity is the dramatic change that it incorporated in the transactional speed and security of encrypted currencies like Bitcoin, Zcash, etc. Bitcoin is too popular because of its features:
- Fastest transaction speed
- Complete data security
And the technology that adds these features to Bitcoin is Blockchain Technology. Bitcoin got popularity first and then its cause Blockchain became famous.
What stats say about Blockchain?
According to TechJury, blockchain has the capability of reducing 30% of costs that banks put in their infrastructure management. And by the end of around 55% of healthcare applications would have acquired blockchain for commercial deployment by the end of 2025.
Furthermore, the Financial sector has spent a total of $552M on blockchain in the year 2018. And with the help of blockchain technology, financial companies can save around $12 billion in a year. And it is really amazing! To save $12 billion is not less than a miracle for these companies.
In fact, there are companies that struggle to save their costs by optimizing their business operations. But blockchain has set examples for reducing costs.
How it can benefit a business?
In the various sectors such as finance, healthcare, government, and Banking sector, innovators have tried to use blockchain in order to modify existing business operations. However, there are certain industry leaders who have already attained considerable business benefits.
Some of these benefits are:
Reduced costs
Almost all businesses put cost reduction in the top of their bucket list. When you use blockchain technology in your business operations, you do not require third parties and middlemen in this case.
Moreover, you will not require reviewing documentation as everyone will have a permissioned access to a single, permanent version.
Increased Security
Blockchain-based systems are more secure than other record keeping systems. All the transactions are agreed upon before they are recorded. Once a transaction is approved, it is encoded and connected to the previous transaction.
Furthermore, the information is stored on multiple computers. Hence it is not possible for hackers to steal the transaction data. So, blockchain has a big opportunity for vanishing fraudulent and unauthorized activities.
More Transparency
Blockchain technology has made transaction histories more transparent. Since blockchain is a kind of ledger which is distributed among each participant, it is quite different from the case where people have individual ledgers.
And any new transaction in this shared ledger can only be added only if all the participants approve it. Hence, it is quite clear that data on a blockchain network is more secure, transparent and consistent.
Increased Efficiency and Speed
With the help of conventional methods using paper-heavy processes, it becomes quite difficult to do trading. Also, it is prone to human errors and a third party mediator is required in this case.
However, with the help of blockchain technology, transactions become faster and efficient. Moreover, a single digital ledger is shared between participants and you do not require reconciling more than one ledgers.
Enhanced Traceability
A company dealing with products that are traded through a typical supply chain better knows the pain of tracing a product back to its origin. But thanks to blockchain technology, where all the good exchanges are recorded on the blockchain and you have complete information about the origin of the product to the customer.
Due to this info, chances of fraud are minimized.
More on Blockchain
Here is an informative youtube video on the blockchain. You can go through it in order to get a quick introduction to blockchain.
Why should one look for developing blockchain based application?
Blockchain-based applications are amazing. They are the demands of almost all industries facing problems in data security and speed. Data Security is really a big concern in almost all industries like healthcare, IT, banking, E-commerce, and government entities.
And Blockchain is a strong solution to this problem. Hence, blockchain-based applications are the need for the upcoming and present time.
Moreover, the slow speed of the business operations results in wastage of a huge amount of time that could be used for making more strategies for the growth of the business.
So, in case someone wants to create blockchain-based applications, there are certain software outsourcing companies that can create blockchain applications.
Where one can get blockchain developers?
There are various companies that outsource dedicated blockchain developers. One needs to look at such companies and find out the best company.
The best company is the one that has:
- The highest number of years of experience in the blockchain software outsourcing domain
- Worked with Big and popular clients
- Best ratings on Clutch and Good firms
- Served multiple blockchain applications to big clients in the past
Final Words
Enhanced efficiency, transparency, security, and traceability are some of the features that blockchain technology brings with it. The small business struggle to reduce their total cost, enhance efficiency, transparency, data security and traceability in their business model.
And now, with the help of blockchain technology, these small businesses can easily achieve all these objectives. That is why blockchain has opened doors for, especially small businesses.
