The blockchain has quickly evolved from something many of us knew little about to something that is now revolutionising everything from business to finance, healthcare, and video games.
In business, blockchain has been shown to not only greatly improve some processes but also wholly overhaul some that have remained relatively the same over the past few decades.
What is the Blockchain?
The blockchain is the framework on which cryptocurrency operates. If you are someone who has been mining cryptocurrency, or buying and selling, you have heard all about the blockchain already.
If not, the simple way to describe the blockchain is by using boxes and strings. Data is stored in a box and is attached to another box by the string. As more boxes are added, the boxes before them become more and more secure.
In other words, the blockchain is a way to store and share information in a highly efficient and incredibly safe manner.
Fast & Universal Transactions
The first way that the blockchain is changing business and money is by making transactions faster and easier. When using cryptocurrency for payments, the transaction is done in a matter of seconds, as there is no third-party involved.
This is a huge step forward for businesses that do a lot of deals with entities outside of their home country or with entities that use different currencies. Instead of waiting for money to be approved by the bank, simply send it as crypto with the blockchain.
Smart Contracts
A smart contract is a self-executing program based on an if-then system. Not only is it one of the most exciting additions thanks to the blockchain, but it is also one of the most useful tools a business can use.
A real-life example of a smart contract is something we have all seen and used; a vending machine. If you put money into the machine and select an item, the machine will give you the item; you can’t get the item without giving the machine money, and the machine can’t give you the item until it receives money.
Firstly, a smart contract cannot be altered by any party, and secondly, it ensures that all parties involved in the contract have to pull their weight to ensure the contract is valid and successful.
Supple Chain Management
Another area that is seeing a huge improvement is the supply chain. Companies are able to store and locate a vast array of information related to the products or items they create or sell.
For example, the blockchain enables a business to see where its raw materials are, how much they cost, where they are in the production line, where the finished product is stored, and finally, where it is sold.
Speed Up Hiring
Part of the blockchain allows identifying information to be easier to find and verify. This can range from identity to school history, work history, and qualifications. When all of this is combined, it means that companies are able to hire the right employees in a much shorter amount of time.
Companies would be able to quickly see which candidates are right for the job and hire them almost immediately, cutting down on hiring time, as well as cutting down on the amount of time the job is unfilled.
Voting
No matter which industry you work in, voting is a regular occurrence, whether it be board members voting on a new direction for the company or shareholders voting on who will be part of said board.
The main problem is how these votes can remain fair and completely democratic, especially if all the shareholders, for example, can’t make it to the meeting where a vote is taking place. The blockchain, using its identity verification tools and security, allows people to vote from their smartphone, tablet, or computer and know full well that their vote won’t be changed or tampered with in any way.
As you can tell, this can extend to voting for elected officials, too, such as prime ministers or presidents, allowing for more people to quickly and easily vote.
Improved Record-Keeping & Sharing
This aspect is fairly self-explanatory at this point, but the blockchain allows for vastly improved record-keeping and data sharing. Companies are able to access any record and any piece of data in an instant without the need to have hard drives and computers filled to the brim with files.
Security
Finally, the blockchain offers incredible data security. As mentioned already, the way the blockchain is designed means that as more and more data is added, the existing data gets an extra layer of protection.
The blockchain is also incredibly difficult, if not completely impossible, to hack. This means that companies can rest well knowing that their data, as well as their customers’ and clients’ data, is safe.
