Feb 18, 2022
Blockchain- The New way to Business
The entire world is witnessing a technological revolution, and businesses benefit enormously from disruptions. Trusted and hassle-free transactions among business partners, eliminating inefficiency, enterprise solutions, data security, risk mitigation, and minimising costs are the benefits businesses are deriving out of Blockchain-based applications.
In this new-age technology, transactions are compiled into "blocks" and then linked together using cryptographic hashes to form a "chain." The cryptographically connected blocks constitute an underlying data layer that gives parties access to the data a shared, unified view of the data. This provides businesses with a new approach to building reliable business networks.
A Unique Technology
It's a one-of-a-kind tech-enabled system that's based on a permissioned, shared, immutable ledger to boost efficiency among trusted partners. It's useful for companies doing Business with each other. Such a reliable technology allows partners and parties to access the same information simultaneously to improve efficiency, build trust and remove friction. It offers a rapidly sized and scale solution, and many answers can be adapted to perform multiple tasks across industries. Blockchain for Business delivers these benefits based on four attributes- Consensus (shared ledgers), Replication, Immutability, and security- unique to the technology.
Transforming Businesses for Startups
Blockchain-based applications are widely used by Startups across the world and sectors. Startups are discovering that Blockchain can help them establish more efficient operations and innovative financial models in a variety of industries, including supply chains, healthcare, and e-commerce. The supply chain, food distribution, financial services, government, retail, and other industries are all being transformed by Blockchain. Not only does it avoid duplication of work, but more trust brings in more efficiency. Given the capability of offering enterprise solutions and extensive usage of Blockchain by startups, venture capitalist firms and angel investors lately prefer to look forward to investing in businesses that are adopting blockchain technology to increase efficiency and productivity. Many agritech businesses, for example, are experimenting with blockchain-based applications to see how growers, processors, distributors, and retailers might make food safer, extend shelf lives, reduce waste, and get greater access to shared, secure information that affects all stakeholders. In supply chain management or shipping sectors, Blockchain tracks every step and movement.
Startups are a dynamic economic force. Now, with Blockchain-based application leading angel investors of Ontario (Canada) and other startup investors of the US and Europe have started reducing much of the cost and risk associated with startup funding requests. Besides big companies, startups and small businesses have been taking advantage of the technology by partnering with cloud providers capable of scaling up while delivering cybersecurity controls and standards to protect from external attacks.
Where trust is either non-existent or unproven, Blockchain builds trust between distinct entities. As a result, these companies are now willing to engage in transactions or data sharing that they otherwise would not have done. An intermediary can be ruled out completely. One of the most significant advantages of Blockchain is the ability to enable trust. Cryptocurrencies, in general, are classic examples of how Blockchain allows individuals who don't know each other to trust one another. Another advantage of Blockchain-based solutions is security. It prevents fraud and unauthorized behaviour by using end-to-end encryption to create an unalterable record of transactions. Furthermore, because blockchain data is kept across a network of computers, it is nearly impossible to hack. Moreover, it also cut costs of operations with its speed and accuracy. Blockchain also offers visibility and traceability.
Now, investors for startups are seeing faster and less costly agreements with potential investees. On their part, startups need to cautiously consider where they make their blockchain investments. They should realize that Blockchain's actual worth is realized when employed in situations where a traditional database would fail and when there is no central control or trust. Investors for startups and companies desire that blockchain-based applications be combined with artificial intelligence, machine learning, or another decision-making layer for a better outcome.
It is proven now that Blockchain would bring in disruptions and great transformation in the ways businesses are conducted. The business world is expected to undergo a revolutionary phase with Blockchain.