Bitcoin, and the Blockchain technology behind it, did not confuse the society as was initially thought when Santoshi Nakamoto published his invention in 2009. Currently, however, the blockchain has become one of the most widely discussed buzzwords, not only in the payment sector but across multiple industries. In fact, people believe that the blockchain technology could eventually be more important than the internet.
The technology has been getting a lot of attention lately for its sector-disrupting capabilities. As a result, many enterprises are falling over themselves to try and incorporate the blockchain. It is now an exciting new choice to conventional currency, centralized banking, and transaction systems that are not only improving the way we handle financial transactions but also alternatives uses that will change the globe. In short, blockchain is a dispersed ledger that maintains a continuously-growing list of every transaction across every system distributed over tens of thousands of computers. This makes it almost impossible to hack, changing the way banking is done.
But what exactly is a Blockchain Technology?
A blockchain is an electronically distributed ledger or list of entries, much like a stock ledger, that different participants maintain via a network of computers. Blockchains use cryptography to process and validate activities on the ledger. Encryption and coding improve transparency, productivity, and trust in information-sharing.
Blockchain for Businesses
If you are a business owner, you have likely had a quarter or two where you did a ton of work, served a million clients, and ended up with nothing more than a few pennies in your bank account. Most companies today lose money due to procedural delays, human-error, and fees paid to middlemen. There are many reasons why the blockchain has gained so much admirations like,
- The data is cryptographically stored inside
- It is not owned by a single entity; hence it is decentralized
- The blockchain is immutable, so no one can tamper with the data that is inside the blockchain
- The blockchain is transparent so one can track the data if they want to
As you can see, it makes sense as to why companies are interested in incorporating the blockchain.
Business Opportunities for Blockchain
Let us take a look at a few blockchain applications that could help your businesses.
1.Payments and Money Transfer
One of the most well-known applications of blockchain is being able to receive and send payments. But, how exactly is this advantageous for small business owners? With the help of blockchain technology, you will be able to transport funds immediately and securely to anyone you want in the globe almost instantly and at ultra-low fees. This is due to the removal of intermediaries slowing down the transfer of funds between several banks and charging outrageous transaction fees
A smart contract is a computer code, pure and simple. It is the foundation of a transaction on the blockchain, like the exchange of currency or property. If designed and programmed properly, a user can rest assure the transaction will run smooth and much more efficient than status quo, human-performed alternatives. So, how does a smart contract help a business get more money? It ensures you get paid once you deliver on your end of the deal. Plus, if the other party backs out on short notice, your goods/services are returned to you. Which means you don’t have to use lawyers, government officials, or other fee-charging middlemen to settle disputes
It is one more application that businesses can take benefit of. It can open a revenue stream for average users, while significantly reducing the cost to store data for companies and personal users. Storj is one such company that is offering secure cloud storage while decreasing dependency. This blockchain technology is blooming and surely reach the heights it deserves
According to BitShares, a globally distributed database, states that Delegated Proof of Stake (DPOS) is the fastest, most-efficient, most flexible consensus model available. It leverages the power of the shareholder approval voting to resolve consensus issues in a fair and democratic way. All the network parameters, from fee schedules to block intervals and transaction sizes, can be turned via elected delegates.
Good marketing is important for a company. But with the number of companies competing for attention today, it can be difficult to get yours to stand out to potential consumers. Blockchain can be used by promoters to keep track of client information and consumer behaviors. With this data, experienced marketers can craft clever campaigns that bring a greater return on investment. Any modifications made to your campaigns or other media releases during the growth can be identified with ease.
It is clear that blockchain technology will soon take over many of the everyday processes that business undertake. Why not step ahead and try it out? Even if you are a budding entrepreneur, by harnessing the power of blockchain, you can get an immediate leg up on your competition. Every country, especially the UAE is making strides in the blockchain technology, so why not you?
We at Commitbiz are a platform who provide business setup services. Our advisors are professionals who have years of experience in this field, and if you want to start a business in Dubai, then they can make your process hassle-free. Contact us today- we’d be happy to help you.