The study states that the APAC region, especially India, is expected to be one of the fastest-growing markets in the future. In fact, the government of India has been actively promoting the use of blockchain technology. The major reason driving the growth of this solution is due to high transparency and increased efficiency.
Blockchain: The way forward for businesses to grow
The technology works in two models – centralized and decentralized. The former allows the control over data to be implemented by just one entity. It could be a person or an enterprise. Whereas, in the case of the latter; the control is shared among various independent entities. Primarily, the centralized model is implemented in businesses due to security and privacy issues.
Being one of the beneficial technologies, it has become imperative for businesses to adopt blockchain. Organizations would have to cash on this trend so as to cope with industry dynamics and enjoy a competitive edge in the market. The reasons for this are varied.
Security, encryption, and privacy
The primary factor for blockchain adoptions among businesses is that the technology comes with a promise of security and privacy. The value of blockchain arises from its ability to share data in a fast and secure manner. It creates a record of data with end-to-end encryption. It also secures the transactions committed to the blockchain network since they can’t be edited or changed. This way the data can’t be altered and hence the chances of fraud, cybercrime, or even malicious acts are reduced drastically.
Furthermore, the data on the blockchain is stored across a network of systems. This makes it nearly impossible for cybercriminals to hack the networks and access the data. Furthermore, with this technology, one has complete control over one’s digital data. This means that the data belonging to you can only be managed by you and no one else can access it. Hence, in this manner, blockchain allows the privacy of data.
Maximum outcome with minimum investment
It is a beneficial solution for businesses as it creates efficiencies and boosts productivity. The solution also reduces the efforts associated with manual routine tasks including data collection, reporting, and auditing processes. It even eliminates the cost associated with the middlemen or third-party solutions providers that used to take over the very same roles that blockchain caters to now. Hence, it is a cost-effective solution that delivers maximum ROI on nominal investment.
one does not need a high-end tech architecture or hard-core expertise to produce and implement this technology in the organizational operations. It can be produced with any tech stack, whether it is python, java, or dot net.
It is an advanced algorithm that can be used with any tech stack and hence is flexible as well as scalable. This makes it one of the preferred technologies by businesses as they do not have to bear high costs and they do not need a specific tech stack to produce and execute this solution.
The immutability characteristic
Blockchain’s inherent characteristic is immutability. This implies that transactions once recorded on the blockchain network cannot be changed, deleted, or modified. All the transactions are time-stamped and date-stamped, and hence there is a permanent record. This is the reason why it is used to track information over time, paving the way for a secure and reliable audit of information.
Application across industries
Blockchain can be implemented anywhere where there is a system. The database can be replaced seamlessly with a blockchain datastore. Due to its plethora of benefits, it has applications in businesses across domains ranging from financial, healthcare, real estate, travel, infrastructure, FMCG, IT, entertainment, education, Government, etc. For instance, in the financial domain, the editing of transactions was a common phenomenon. However, with blockchain, the transactions are secured and can’t be altered. Hence, money can’t be pulled out and digital fraud can be reduced significantly.
In the real estate market, the property is solely of the owner and no two people can share it. Similarly, blockchain holds a digital registry of any property and showcases clearly the owner along with the time frame. It creates a complete hierarchy and enables easy selling of the land to the buyers. Furthermore, the technology’s application in the healthcare sector is prominent and it is used to store and collect medical records. This way they can’t be forged or modified and patient details are maintained as is.
As per Market Watch’s research, 56% of Indian businesses are keen towards adopting blockchain technology and will make it a core part of their operations. This implies that organizations are all ready to join the blockchain bandwagon and this solution will not only enhance operations but also drive their growth in the times to come.
Blockchain increases trust, transparency as well as traceability of data shared across networks in the digital space. It enables businesses to turn paperless and also allows increased speed as well as automation of processes. With this technology, not only is the time and effort for development reduced, but also the efficiency of operations enhanced. Hence, with its myriads of benefits, it would be appropriate to say that businesses have a chance to grow rapidly with blockchain technology.
(The writer is founder & CEO, CodeStore Technologies)