We all have heard about cryptocurrency and blockchain technology. Cryptocurrency is a payment option while blockchain technology has broader applications than cryptocurrency. In this digital world, we can do almost everything online from shopping to banking. Blockchain technology can be a part of all these online transactions. Blockchain technology can be used for more secure, flexible, and streamlined business processes or can even enable new business models. Some applications of blockchain technology are
Enable autonomous marketplaces
Blockchain technology enables the business owners to track and trade things of values like outstanding invoices in a secure, private, and transparent chain of transactions. The whole process adds speed and flexibility to asset management. Blockchain technology eliminates the oversight of third party because the platform is transparent and visible to all transaction participants.
For most of the organizations managing spending is a challenge. Businesses can have a self-governed blockchain network of partners and suppliers. Blockchain technology will automate instant payment, smart contracts, and Internet of Things (IoT). It will help in reducing errors across all transaction without human interaction. Blockchain technology will not only reduce errors but also make the transaction faster because with blockchain technology buyers and sellers are directly connected.
Secure and manage decentralized records
In blockchain technology each and every data record is encrypted. Traditionally business depends on third parties to guard their database via firewalls and restricted access. Because of frequent high profile data breaches, this practice is not effective anymore. If the database is encrypted and secured with blockchain then the cybercriminals will need key of each member to access the data. Though the blockchain technology is not 100% secure but it can help to prevent a large number of threats.
Tracking quality of products and raw material
Blockchain technology can also monitor the product quality by tracking and locating the raw material. If there are some defects in the raw material, blockchain technology makes it easier to track the supplier and recall the defective raw material. The process of identifying defective raw materials with blockchain technology is much faster and efficient.
These are some of the applications of blockchain technology but the technology can be used in many ways. Blockchain is a flexible technology which can affect your business in a positive way. If you are a business owner, you can run pilot projects to check the effectiveness of the technology in your business.