The onset of Blockchain technology has steered the world in a newer and more efficient direction with its decentralised service. The launch of Bitcoin in 2019, and the eventual rise of small and medium-scale enterprises adopting this technology have given a well-defined structure to the utilities of the digital distributed ledger technology.
A majority of the technology and corporate giants are exploring Blockchain technology to come up with novel business models incorporating its advantages. The essence of Blockchain is rooted in its capability to disseminate information in a fraction of a time, without the onus of protection of the information falling on one particular institution or person. In technical terms, the Blockchain is a ledger of transactions that is encrypted with distinctive codes.
The Blockchain is so much more than the technical jargon of crypto hashes, digital timestamps, and smart wallets. This is a platform for curating and customising financial services while integrating them with the virtual market system of the present. In comparison to the conventional method of tracking and catching up on records, the blockchain allows for the interconnection of data from multiple entities.
Since Blockchain is the new ‘It’ technology of the century, it is only fitting to enlist the top-most applications and discuss its future eventually. Some of the benefits include:-
- Enhanced Security and Privacy:- One of the most essential yet fundamental attributes of the Blockchain is the security it provides. This feature is embedded in the very system of the technology, wherein, it generates an unchangeable record of transactions with end-to-end encryption, which has the ability to keep away from any kind of malpractice or un-sanctioned activity. Moreover, the data is not centralised to one server and is delocalised over a network of computers, making it very difficult to cheat.
- Stealth and Speed:- without the presence of third parties and mediators, Blockchain technology can carry out transactions at a heightened pace than any traditional method. In most cases, Blockchain can allow a transaction to take place in less than a second!
- Invariability:- Once a transaction is logged into the blockchain, it is impossible to be deleted or erased. Not only are the transactions recorded, but they are also time-stamped and date-stamped, to facilitate an enduring record. This allows many institutions to track data and information from Blockchain while relying on a security audit of information. For example, real estate transactions in Sweden take place using the Blockchain to follow the information regarding property names even as they are modified frequently.
- Authority over one’s own data:- Blockchain allows for individual power over their information. In the present times, data is a very precious entity and privacy and control over one’s information are necessary. Blockchain entertains individual interests by organising and limiting the dissemination of the data according to the owner.
- Specific orientation towards the Health and Financial Institution sector:- Some businesses need Blockchain more than others, this is because of the imminent sharing of data among the various entities in the institution. It is important to make sure that the data has not been harmed in any way, and that it can be utilised for genuine work. While Healthcare needs Blockchain to maintain their patient’s right to privacy, Financial institutions have witnessed quick and inexpensive transactions due to the presence of Blockchain.
- A messiah for the small businesses:- Blockchain can empower small businesses. It allows for inexpensive and convenient media to make and receive payments while investing and saving items. Heightened access to this technology can cultivate a massive growth of the SME, which will subsequently create more jobs and bring upon economic development.
Having said that, Blockchain is still in its budding stage with many industries exploring the various possibilities of this technology. Not everything is bright and shiny with the technology too. There are some cons associated with the Blockchain, but we can only hope that in the upcoming years, the use of this technology brings about a difference in the way we access and utilise our data.
The above information does not constitute any form of advice or recommendation by London Loves Business and is not intended to be relied upon by users in making (or refraining from making) any investment decisions. Appropriate independent advice should be obtained before making any such decision. London Loves Business bears no responsibility for any gains or losses.