Thanks to the arrival of blockchain technology, the internet is once again being transformed. And of course, business is taking note. There are many features the blockchain possesses that make it an ideal foundation for many aspects of a business.
It is secure, it is transparent and can help a lot of businesses manage their systems much more efficiently than the cloud or other computing methods. It is a unique technology that has solved a lot of problems that has now allowed businesses to streamline and scale in a way they previously couldn’t.
In this article, we will go over several ways that you can use the blockchain in your business to help it grow.
1 – International payments
Since there is no central bank or authority that creates or manages cryptocurrency, it is a truly international one. If you buy or sell Ethereum, for instance, it is going to be the same whether that happens in the United States or Zimbabwe. The value in local currency is the only difference.
For a company that does a lot of trade with other countries, this is a huge benefit. It can save loads of time as transactions are much faster. Think about how long a wire transfer can traditionally take. Usually, it’s a few days at a minimum. Then consider that within a few hours at the most a transfer of cryptocurrency can happen and you can see the benefit here.
It also saves the company a lot of money as there are very few fees associated with the transaction. And even conversion fees are non existent when trading for other cryptocurrencies. It’s only when you convert into fiat that you encounter another fee, but it is a transaction fee and not a conversion fee so it is minimal in comparison.
2 – Smart contracts
Smart contracts are a very secure way to store data and also share it with very little friction. If you are a company that deals with manufacturing then a smart contract can contain all of the information about a product from its production to the inventory to when it is shipped in one place. And it can’t be manipulated at all since the blocks are immutable in a chain. This allows for a seamless system that can save money and time.
Smart contracts are also the most effective way to protect intellectual property and is often used in court to defend any theft of it. Again, the fact that it cannot be changed is rock solid evidence of ownership of intellectual property.
3 – Compliance
Many industries are regulated and there are frequent audits to make sure that businesses are compliant. The most efficient way to make sure these audits happen accurately is to access the documents needed to check for compliance.
Human error is reduced and there is less need to go to many different sources to fulfill these audits. In fact, the system is so efficient and foolproof that auditors may no longer be needed when the blockchain is adopted on a grand scale.
*This article has been contributed on behalf of Paxful. However, the information provided herein is not and is not intended to be, investment, financial, or other advice.