Blockchain benefits | Surely you have already heard of ‘blockchain uses‘ as a technology related to financial topics like bitcoin and cryptocurrencies. Correct, though, there’s still so much more to know about the use of blockchain in companies. That is today why we’ll deepen in blockchain benefits for every kind of business.
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What is Blockchain technology?
Blockchain wants to break the centralized world in which we live. Everything that ‘happens’ in the digital environment we live in and which generates an endless amount of data gets controlled by the providers of the services we consume. And this is what we mean when we talk about the current centralized model.
Blockchain is a type of DLT technology that, by definition, allows to chain blocks one after another by adding new data in each block. As a matter of fact, one of the most common blockchain benefits is the possibility to record and store all transactions that have happened within the same network.
Blockchain models are decentralized since all members of the network have a copy of the blockchain. This copy is immutable and the information contained in it cannot be modified once chained.
This short introduction to blockchain technology will serve as a basis to better understand the top 5 blockchain benefits today we want to share with you.
Top 5 Blockchain benefits for companies
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Security
As we all know, in the current centralized model companies’ security breaches not only are possible but also very frequent. Since all the information gets stored at the same point of the system, that makes it much easier to find a SPOF (Single Point Of Failure). But, if your system uses blockchain technology, this kind of breach won’t be a risk considering that when someone tries to modify a sealed block of information, all the members of the same network will be able to reject any suspicious attempt. This is no doubt one of the main blockchain benefits that a decentralized model provides us.
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Transparency
All movements made within the same network are visible to all members. As a consequence, any user can observe the status of the information from its source. This is very beneficial when it comes to implementing business models based on trust for it gets ensured by technology and not by users.
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Decentralization
Nevertheless, just in case impenetrable security and total transparency were not sufficient blockchain benefits, this technology offers us another unique opportunity: to break with the current system and start adopting models that allow users to control their data. In fact, by implementing blockchain, it is possible to give data control to a single individual instead of service providers.
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Traceability
Another of the best-known blockchain benefits is that this technology could be seen as a ‘digital notary’ or ‘eNotary’ that records all the movements made without any chance of corrupting the information. A practical example in this regard could be the use of product traceability that many Spanish supermarkets have already implemented.
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Versatility
Since we all live in a constantly changing digital world, it is more and more necessary to implement technologies that offer us real versatility. Blockchain is one of them. It is extremely versatile and enables us to develop new systems that will adapt easily to current changing models. For example, in a digital society that is always vulnerable to new ‘digital risks,’ one of the biggest blockchain benefits is the possibility to create our own digital identity and identify ourselves in this environment with total security and transparency.
The issue of digital identity is today of fundamental importance not only for individuals but also for each type of business and company. Nevertheless, since sometimes it can be difficult to easily understand how blockchain works, we have prepared for you a practical example of blockchain applications in the industry.
Blockchain benefits | Blockchain & COVID-19
To sum up, the global situation in which we currently live and all the uncertainty generated by the COVID-19 pandemic has accelerated the process of digitalizing our lives and our businesses. In this regard, we’ll recommend you our post on Blockchain & COVID-19.
We will go from a centralized model to a decentralized one. But this paradigm shift must be reliable, transparent, and – last but not least – it has to respect always our human rights.
Blockchain experts
At Tribalyte Technologies we have a team of Blockchain experts and R&D engineers dedicated to the development of decentralized applications (DApps) on Blockchain. We implement all kinds of blockchain solutions and, in addition, we are proud partners of the Alastria association.
After everything we’ve seen so far, are you looking for Blockchain experts to develop your project? You just found them.
