Hey there everyone, today we're going to learn about how you can use blockchain in right way, like what are some of the major ways, tips to use it and what actions does it performs. So, let's get started with an introduction about it!
What is Blockchain?
Blockchain technology is a structure that stores transactional records, also known as the block, of the public in several databases, known as the “chain,” in a network connected through peer-to-peer nodes. Typically, this storage is referred to as a ‘digital ledger.’
Every transaction in this ledger is authorized by the digital signature of the owner, which authenticates the transaction and safeguards it from tampering. Hence, the information the digital ledger contains is highly secure.
In simpler words, the digital ledger is like a Google spreadsheet shared among numerous computers in a network, in which, the transactional records are stored based on actual purchases. The fascinating angle is that anybody can see the data, but they can’t corrupt it.
Why is Blockchain so popular?
Record keeping of data and transactions are a crucial part of the business. Often, this information is handled in house or passed through a third party like brokers, bankers, or lawyers increasing time, cost, or both on the business. Fortunately, Blockchain avoids this long process and facilitates the faster movement of the transaction, thereby saving both time and money.
Most people assume Blockchain and Bitcoin can be used interchangeably, but in reality, that’s not the case. Blockchain is the technology capable of supporting various applications related to multiple industries like finance, supply chain, manufacturing, etc., but Bitcoin is a currency that relies on Blockchain technology to be secure.
Advantages of using Blockchain?
1. Highly Secure - It uses a digital signature feature to conduct fraud-free transactions making it impossible to corrupt or change the data of an individual by the other users without a specific digital signature.
2. Decentralised System - Conventionally, you need the approval of regulatory authorities like a government or bank for transactions; however, with Blockchain, transactions are done with the mutual consensus of users resulting in smoother, safer, and faster transactions.
3. Automation Capability - It is programmable and can generate systematic actions, events, and payments automatically when the criteria of the trigger are met.
Some Right way to use Blockchain?
1) Sharing records securely - Blockchain could be a solution for sharing the records/transactions securely if not then that’s not the right way to use blockchain.
2) Level up your supply chain management - One of the greatest challenges facing manufacturers today is the increasingly complex and opaque global supply chain. “With blockchain, however, you can easily access supplier records, information from government agencies and insurers, and prior verifications completed by trusted parties, all in one place.”
3) Prevend Fraud and Streamline accounting - Blockchain — which initially helped prevent fraud in banking — can also be used for media buying. With blockchain’s open and distributed ledger, advertisers can track their investments throughout the process. But advertisers won’t realize this perk unless all parties in a transaction agree to use the technology.
Blockchain can also streamline accounting practices in more areas than advertising spend. The technology can lighten the load for financial auditors, meaning they have more time to focus on anomalies. “Blockchain’s transparency gives visibility to all transactions for approved users, and this may decrease auditors’ work with sampling and validating transactions.
Conclusion
This technology has the potential to disrupt nearly every industry and solve your business’s greatest challenges. By strategically implementing some new solutions, you can make your business more secure, more transparent, and more prepared for whatever’s next.
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