7 Amazing Business Applications for Blockchain Technology
When Satoshi Nakamoto introduced the Blockchain in 2008, very few people thought it would amount to anything. At the time, it only existed to facilitate Bitcoin, a digital currency that many at the time considered to be worthless.
But with each Bitcoin now worth thousands of dollars, the world is paying attention—and not just to Bitcoin.
Blockchain, the open-source, anonymous ledger that made Bitcoin possible, has been revolutionizing a number of industries, from real estate to healthcare and much more.
In this article, we’ll walk you through seven exciting business applications Blockchain can bring.
Running a business requires a large amount of collaboration. You will find yourself working with a number of various entities, such as suppliers, delivery companies, freelancers, CPAs, and more.
This cooperation requires a great deal of trust, which is aided in the business world through the use of contracts.
Unfortunately, these contracts often find the parties negotiating on uneven ground. One party may be well resourced enough to disregard the consequences of a breach or operate with enough bureaucracy to obscure the terms of the contract if there’s an issue. Often, there’s no outside accountability to keep the companies in agreement with the contract.
However, bringing contracts to the blockchain can erase all these problems.
Because the blockchain is public, anyone can see the contract—and attempts to change it after the fact.
This can also allow for automations to ensure that everyone is paid automatically when the terms of the contract are met by each party.
Better Cloud Storage
Today’s businesses are less tied to physical locations than ever before. That means that anywhere-access to pertinent information is a must. Over 90% of companies are now using cloud storage in some capacity.
However, cloud computing still has its concerns, such as stability and security.
But by using the Blockchain for your cloud storage, you can make your cloud network stronger than ever. Because the Blockchain is based on a P2P network between multiple users rather than a single server, there’s less risk of crashing than traditional centralized databases.
And since changes to the Blockchain can be seen by all users, it makes it less susceptible to hackers.
A business is only as effective as its employees. And to keep those employees working well, it’s necessary to make sure that their needs are met—namely, through efficient payroll.
Since Blockchain was originally designed to facilitate quick, secure currency transfers, it’s an obvious next step to integrate Blockchain technology into your payroll system.
If you’re regularly working with employees and freelancers across international borders, this can help cut the costs of international money transfers.
Better Supply Chain Management
Before you pick any item off of the shelf at a store, it’s already gone through a gauntlet of different companies. The journey from raw material to finished product is long and arduous, sometimes including dozens of different companies. Some of those stops may be surprisingly tragic, such as sweatshop conditions or forced labour.
As a business, you need to have a constant eye on your supply chain. If you aren’t watching your supply chain closely, you might not just be a little ignorant—you may have a hand in unethical business practices. You might also find yourself being conned by a middleman that overcharges for little to no work.
The Blockchain can help you track your supply chain every step of the way, ensuring accountability, equity, and fair prices on its journey.
Customers are the lifeblood of every business. And with so many competitors vying for the same pool of customers, it’s important to keep the customers you already have.
Most retail businesses use CRM (Customer Relationship Management) software to help them take care of their customers. This software can be used to track purchases, analyze buying habits, keep track of communication preferences and birthdays, and award loyalty points.
Traditional loyalty points rely on outdated means of record-keeping, such as keychain tags, paper coupons, or punchcards. I think all of us have experienced the frustration of visiting our favourite restaurant only to realize that we’ve lost our loyalty card.
By moving CRM to the Blockchain, these things can be tracked digitally, ensuring that your customers never have to miss out on rewards.
Business Applications for the Energy Industry
As our global demand for energy increases, it’s more important than ever to accurately track energy trades, record energy usage, and ensure compliance with regulations.
With Blockchain’s quick transactions, these trades can be completed much more quickly. And by removing paper forms, it can ensure compliance with much more accuracy.
Faster International Transactions
Today’s marketplace is truly global. Even small businesses interact with overseas suppliers, contractors, and even employees.
Unfortunately, sending money across international borders can be pricy. Many banks charge $30 or more per transaction to send wire transfers to other countries. Often, the recipient will also need to pay a fee to claim that money. And if that’s not enough, it can take up to five days for them to receive the money at all.
And remember—you have to deal with that every time you send payment.
However, because money can be sent directly between parties without getting banks involved, fees are much cheaper. Additionally, even international transfers can take as little as ten minutes to complete.
How Can You Use Blockchain For Your Business?
Blockchain has already far outgrown the business applications initially imagined. And things are just getting started. The full impact of Blockchain on the business climate is yet to be seen. If you want to implement Blockchain technology in your own company but don’t know where to start, contact us. We’d love to help take you to the next level. We’re currently working with NGOs and manufacturing companies around the use Blockchain technology for the recording or activity and time-stamping transactons, if you have a similar problem do get in touch!