Blockchain has stayed in the limelight longer than most tech experts initially believed. Despite its incredible reception and infancy in the business realm, most individuals are still in the dark about its potential to enhance businesses. The Bitcoin explosion in 2017 brought the concept of cryptocurrencies and Blockchain to the forefront for many individuals looking to invest. With it came the new trend of adopting Blockchain in industries. It also piqued businesses’ interest with experiments on how companies can utilize this technology.
What is Blockchain?
A blockchain is a decentralized record-keeping technology. Blockchains are made up of several ledgers that are publicly distributed and serially connected, forming a chain. Blockchains possess nodes, individual entities that have a separate copy of the chain of records. The nodes verify every record of information added. Based on a consensus mechanism, they are added to the ledgers.
Blockchain application in Enterprises:
Although blockchain technology has been around for many years, businesses are still figuring out the best scenarios to adopt them into their operations. As use-cases develop and evolve with business needs, the potential uses for Blockchain also expand and grows. Smart contract automation, sharing sensitive patient healthcare information, ensuring transparent background checks, and course, financial services.
Smart Contracts:
Blockchains for enterprises ensure automation via smart contracts. Businesses can utilize physical agreements such as financial transactions, insurance claims, employment contracts, mortgage agreements, and even protected copyright materials in smart contracts.
The design and implementation of smart contracts within blockchains allow them to inherit blockchain merits as:
- Immutability of data ensures digital security and fraud prevention. This also leads to precision in processing.
- Shared ownership leads to a unanimous consensus to change the outcome. Thus every condition must be complied with to validate any new record.
- They remove the need for a third-party intermediary and allow for direct, transparent transactions to take place.
- All smart contract transactions are stored in chronological order in the Blockchain and provide a complete audit trail.
- Their efficiency and absence of intermediaries allows smart contracts to save organizations tons of money on infrastructure costs and could even reduce these expenses by over 30%.
Sharing Confidential Patient Information:
While eHealthcare Records (EHRs) help with accessing patient data, they also present the challenge of keeping data private and protected as they are both stored and shared. Healthcare institutions deal with patient medical records, complex billing cycles, medical research data, or pharmaceutical information.
Blockchain technology helps solve this issue as the decentralized ledger is secure with cryptographic encryption. Suppose all parties are involved in the payments and claims process, including patient, provider, and payer. In that case, they all see the same information simultaneously, providing a frictionless and more efficient method for all.
Simplified Background Checks:
Blockchain serves the Human Resources industry best with its superior traceability features. An HR’s primary responsibility is to validate the employee’s credentials match their resume or what they represent. The HR department would contact every reference and previous company to verify the candidate’s employment history. Blockchain proves essential as they simplify time-consuming processes verifying employment dates, designations, key responsibilities, and all other relevant credentials via automation.
Enterprises Finance Services:
Most banking & payment systems are following a centralized theme of management. Thus, financial services are expensive and often lack flexibility for the customers, such as small & medium-sized enterprises.
Blockchain allows for the global reach of any financial services offered/availed by small-scale enterprises. Blockchain enables all enterprises to tap into the market worldwide. The elimination of fees to transfer funds makes a big difference, especially with international transactions.
Conclusion:
Regardless of which one of the applications is used in an enterprise, businesses’ advantages are hard to deny. Companies are looking to deploy all the elements of the Blockchain to augment their processes. Despite differing opinions, we can be sure of one thing: Enterprise Blockchain Development is an effective solution. The N2 Group offers exceptional enterprise blockchain development services for your business blockchain needs.