Blockchain technology is the basis for the existence and development of cryptocurrencies, but it is also true that it can be used as a guide for business development and modern companies. It is true that if it were not for Bitcoin, this technology might not have seen the reality. But once it is here, it can be applied in many more aspects of the business. Even government institutions and the non-governmental sector can very easily implement these tools and technologies and make their work easier.
The advantage of a blockchain is that it can quickly and easily transfer large amounts of information, from one unit to another, without either party having to worry about the security protocol – because it is already implemented in the network itself.
Blockchain transactions remain sealed in the network, and the more blocks generated, the less likely it is to be hacked and reimbursed.
This technology is based on principles that are applicable in every aspect of both new and existing businesses. With it, it becomes easier to pay salaries and fees to associates who are not in the same country. By itself, the network is quite secure and can offer a whole new level in completing both international and local transactions.
Knowing all this data, we already need to get rid of the belief that blockchain is strictly tied to Bitcoin and other cryptocurrencies. In fact, the people who receive them as a reward are very rare, so you will come across crypto traders more often.
On the other hand, some companies are already managing to incorporate this technology into their way of working and assigning tasks. We highly recommend checking on oschain.io to see how they are doing that. With the help of this article, we will try to capture all the benefits that blockchain users can have when it comes to the professional development and prosperity of companies.
1. A network that builds trust
This technology manages to establish trust between units where previously this was impossible. This increases the chances of bolder business deals and collaborations, even if we previously thought the risk was too great. This is especially useful for transactions that take place between two parties, who have no direct contact with each other, nor a common financial account, so they must build cooperation on mutual trust. Because of this, blockchain is one of the most practical solutions that help to build trust in someone we do not know personally. The chances that someone will try to scam the others are lower by using this recognizable approach too.
2. Technology that is economically efficient
The whole network is based on algorithms and computer logic, which does not require additional documents and evidence to verify your identity. With that, you do not waste time unnecessarily scanning your ID card or attaching other documents, something that is inevitable in the traditional way the financial sector works. This reduces the waiting time for a transaction to be approved and completed, but also has no cost to build and maintain financial infrastructure – something of particular importance to newer companies.
3. Decentralized structure
This is closely related to the previous two advantages, ie decentralization is exactly what allows to build trust without the involvement of authorities and institutions, but also to protect the personal data of users. Laws can regulate many things, including technology, but not every technology lets governments in. Blockchain will remain decentralized until one of the network developers decides otherwise – which is difficult to do because it would be in stark contrast to the familiar narrative and approach.
4. Greater digital freedom
Freedom is one of the most basic rights that people have, and the traditional and centralized banking system often knows how to shorten and take it away from us in many ways. There are banks and financial institutions that literally keep their customers in a vicious circle of hostages, full of fees and commissions, documents, contracts, additional requirements … Thanks to digital freedom, everyone can dispose of their money as they wish, but also complete transactions only with own authorization, without revision of the amount and the remittance.
5. Higher level of security and privacy
Security and privacy are the foundations of blockchain, and they come from the very way the network works. In the network, links are created, which are actually proof that a transaction is completed, and they have end-to-end encryption, which protects them from unauthorized activities. The information contained in one block is almost sealed and it takes a lot of effort, time, and money to be hacked and misused. This is not the case with the usual servers we are used to. Even with the problem of privacy and data protection, this technology handles the challenges much better.
6. This is a modern innovation
Many of the newer companies, but also those that already have a reputation, gladly accept the use of new technologies. With them, problem-solving is easier, and fair work and principles are practiced. Blockchain could be used in many business sectors, from payroll, financing, donations, to applying for a job and finding innovative solutions to the problems they face during the workflow. Due to innovation, many financial institutions, healthcare, and non-profit organizations decide to apply this technology in their work.
Any implementation of new technology in the work is met with approval, but also opposition, depending on the demographics of the company. Of course, it brings many challenges, because employees need to establish a new culture and discipline, to work on mutual relations and trust, but also to improve the relationship between boss and employee and vice versa.
Keep in mind that blockchain solutions are long-lasting and if you need a short-term project then it is probably not the best solution at the moment.
Of course, there are weaknesses, especially in terms of confirmation and verification of certain activities, but still, the benefits that this network has been more numerous than the weaknesses.