Blockchain technology has existed for a while, but it has only recently begun to be widely recognized by the general public owing to its association with cryptocurrencies. And while this use case is still one of the most important, the truth is that there are many others out there. One of the most touted uses for the blockchain is in the field of business. While the system is currently not full-upgraded to the level that would make its use feasible at an institutional level, this is likely going to change in the upcoming years.
There’s a wide range of applications for the decentralized ledger, and, according to researchers, companies worldwide are likely to incorporate it into their business plans over the next decade or so. The platform holds the potential to make processes more efficient and can also offer a heightened level of security for its users. On the blockchain, information cannot be altered after it has been entered and registered into the system, meaning that business tasks will be less susceptible to fraud or unauthorized modifications.
Let’s delve into some of the practical ways in which the blockchain can help your business thrive.
Quality control
In business, the quality of the products you deliver to your customers is paramount for your sales. To grow your business and ensure people buy from you, you must ensure the goods you manufacture are up to quality standards. Disappointing your customers can cause you to lose your loyal clientele and reduce the number of new, prospective clients that decide to give your company a chance.
Blockchain has potential applications in the field of quality assurance, especially in the event something doesn’t go according to procedures. If there’s a need for recalls or investigations, the problem can be quickly and reliably identified via the use of blockchain technology. A process that would otherwise take days, if not weeks, to complete can be easily-solved in a matter of hours.
Depending on the business you run, quality concerns can vary. In the case of food, the presence of bacteria such as salmonella or E Coli can cause whole batches to be withdrawn from the shelves, while in the case of clothing, the discovery that materials used to manufacture the garments are easily flammable and therefore pose a serious risk to the wearer, can seriously affect your business reputation. You also spend money and resources on the manufacturing process, and in the case of reclaimed products, all those funds have essentially been lost. The blockchain can get to the root of these problems rapidly, so you know how the error sneaks in and what to avoid in the future.
Attract new employees
Finding and retaining talent is a concern for most businesses. Employee turnover has been on the rise, and employers are in a constant rush to keep workers from leaving the company. Not only can the blockchain be used in the application process by helping guarantee there’s no risk of fraud in resumes, and that documentation can’t possibly be altered after submission, therefore providing some individuals with an unfair advantage, but the use of cryptocurrencies can also help attract employees.
If you’re a trader, you already have a reasonably good idea about how the process works. When you look for how to buy ETH, you also look at price alterations, as the changes clearly indicate whether you should buy or sell crypto at a given time to drive the most significant returns. You’re also aware that cryptocurrencies such as Ethereum are not susceptible to censorship and have even been used by investors as a hedge against local currency inflation rates. You can pay your employees’ salaries or bonuses in ETH as a means to avoid inflation rates.
However, you should also perform the necessary research before embarking on this venture. Make sure you understand your country’s legislation regarding cryptocurrencies and the tax implications. Monitoring the value of the currency is also vital since, given the fluctuations, you’ll need to adjust the sums accordingly.
Smart contracts
The smart contracts system enables organizations to handle large transactions automatically. This is excellent news for supply chain management, one of the most critical components of business that is also one of the most complex. The blockchain can track goods and materials through freight and manufacturing processes. As a product leaves the factory, it will be monitored as it enters your company’s warehouse and then all the way through its shipment to a retail store.
Using smart contracts, you can connect everybody involved in the process in real time without the risk of divulging sensitive information. This way, safety is guaranteed, and everybody is aware of any changes that can occur within the supply chain. If only one person isn’t aware of minute changes, the whole process can go amiss.
You increase visibility and transparency and ensure that all participants in the ecosystem are included, from suppliers and manufacturers to you and your customers.
Transactions
Apart from paying benefits in crypto, the blockchain can be used for a plethora of other business transactions. Some companies have taken the first steps in creating initial coin offerings for blockchain-backed coins and platforms. Some central banks have also begun experimenting with their own crypto, as is the case for the Japanese J-Coin. And while some are convinced that the trend for cryptocurrencies won’t last, others are becoming increasingly convinced that digital money and assets are the future. In this scenario, an increasing number of users will conduct daily transactions over the next few years.
More brands and companies have begun integrating cryptocurrency payments as a viable form of payment on their websites, with some taking additional steps and allowing for digital payments in brick-and-mortar locations. This way, many have improved their sales since traders can now use their currencies directly to purchase from their favorite stores.
While the blockchain still has some way to go before being incorporated into business, its use cases are too diverse for it never to be used in official systems.