Bitcoin is one of the popular cryptocurrencies, but most individuals can get surprised at how much electrical power is required to run a bitcoin network. According to ELEVO Norway, an electricity company in Norway, mining bitcoin needs high power and encompasses heavy computer calculations in order to verify transactions.
Bitcoin networks are completely built on a technology referred to as Blockchain. The inception of Blockchain technology has introduced many industries to new technological advancements, which may help to grow their businesses and companies.
In fact, Blockchain technology is the major reason behind the success of bitcoin. Many companies have also taken advantage to enjoy the benefits that come with this technology. Some of these benefits include:
- Minimize Fraudulent Activities
The inherent security existing in Blockchain technology means it’s difficult to make changes to the data. Changing data requires you to source the block where it originally appeared and then change all subsequent blocks afterward.
This process is extremely time-consuming and risky. It is also one less security issue, especially when you have to decide the antivirus software to pick in order to avoid malware attacks.
- High Efficiency
The decentralization nature of Blockchain eliminates middlemen or intermediaries in a lot of processes for fields like real estate.
Apart from that, it also facilitates a cross-border transaction and 24/7 trading facility with digital currency.
- Reduce Operating Costs
Blockchain enables companies to receive and send payments through a programmatic set of rules referred to as smart contracts. This takes escrow agents, financial intermediaries, and expensive brokers out of the equation.
The smart contract refers to a self-executing computer program, which carries out the conditions of contracts as laid by creators. It also enforces contracts with cryptographic code, making it hard to break as the contract conditions are actioned automatically.
As every action involved in a smart contract is recorded and transparent, this can minimize the reconciliation and tracking cost.
- Guide Human Resource Management
Human resource experts are responsible for hiring and interviewing new workers. They normally work with executives when it comes to strategic planning and may handle compensation duties and training. In this process, good technological development needs to come to play.
According to research, human resource management uses Blockchain to modernize hiring and quickly verify candidates’ credentials.
Plus, researchers predict that the technology may prevent third-party organizations from presenting incorrect information about candidates. Blockchain is also capable of affecting payroll, particularly in businesses and multinational corporations working across countries.
- Increased Speed
The traditional paper-heavy process is time-consuming, vulnerable to human mistakes, and normally needs a third-party mediation. By streamlining this process with Blockchain technology, businesses can complete transactions more efficiently and faster.
Businesses may also store documentation along with its transaction information, eliminating the importance of exchange paper. Plus, you don’t have to reconcile many ledgers, which also means faster:
- Capital Raising
Blockchain offers entrepreneurs and business owners an alternative method to raise capital through ITOs (Initial Token Offerings). As a capital alternative to lenders, traditional banks, and private equity companies, ITOs are available for exchange where you may freely trade.
An interested investor may buy into the offering and get a new Blockchain-based token from the firm. This token can have utility to use the service or product the company offers.
- True Traceability
With this technology, businesses may concentrate on creating supply chains, which work with suppliers and vendors. When it comes to traditional supply chains, it’s difficult to trace an item, resulting in many issues, including loss of goods, theft, and counterfeit.
In addition, the technology makes supply chains transparent. Blockchain enables all parties to trace goods. Organizations may also take advantage of Blockchain traceability by using it in-house.
- Greater Transparency
With Blockchain, every transaction history is becoming transparent. Since the technology is a distributed ledger, every network participant shares similar documentation instead of personal copies.
You can only update this shared version through consensus – meaning everyone needs to agree to it. To change a transaction record will need you to alter subsequent records.
Data on the Blockchain network is more transparent, accurate, and consistent than when you push it through paper-heavy processes. Data is also available to every participant who is allowed to access it.
- Upskilling Opportunity
If you’re a working accountant, you are familiar of the need to maintain continuous professional growth for various reasons.
With Blockchain, you will be relevant in a competitive market and acquire skills needed in a client-focused and fast-changing environment.
These days, Blockchain is among the vital technologies, helping businesses to facilitate their workflows and offer the best customer service.
This has become possible because of its outstanding features that make the technology more stable, transparent, secure and traceable.
For effective implementation of this technology, your company needs to have a clear vision for what purpose you intend to adopt it.