The Reliance on Blockchain Technology Will Increase as Businesses Become Knowledgeable on How to Leverage It
Not every company will accept Bitcoin as a potential investment. However, businesses cannot deny the potential of the technology behind the cryptocurrency. Blockchain’s tamperproof nature is not only beneficial for recording Bitcoin transactions, it can also be used to streamline business operations. Walmart and Amazon are among the globally-recognised companies that are now considering blockchain to improve their procedures.
Blockchain-related startups are receiving millions in funding from venture capitalists, which is leading companies to find new ways to use the technology. Blockchain can overhaul business operations for the better, and below are some of the industries that will benefit greatly from the technology’s ability to streamline the workflow.
One of the major sectors that could benefit from blockchain is the insurance industry. Through using blockchain, insurance companies will be able to restructure their procedure for claims, and ensure the accurate and quick return of payments. Blockchain can also be used to create smart contracts, which will result in quicker and more secure settlements.
Gold Supply Chain
The gold industry would also benefit greatly from blockchain. By digitally encoding each stage of the gold supply chain, sellers of the precious yellow metal will be able to guarantee the “good delivery” status of each piece of gold, as well as note where it was sourced. CNBC states that at least one tech company called Emergent Technology Holdings is developing blockchain for this purpose. Emergent asserts that once they’ve completed their project, gold miners and sellers will be able to use a mobile app that scans smart chips in tamperproof seals, record transfers of custody, and takes note of any other data related to the sale and moving of gold.
Gold is one of the most expensive commodities being traded on a daily basis. FXCM’s gold price chart shows that the precious metal is currently fluctuating at around $1,310 per ounce. Through blockchain, gold’s sales and shipping will be more secure. The data contained within the blockchain can never be altered, which means the gold being sold will always have the correct information, such as weight, size, and origin.
Companies in the logistics industry are among the early adopters of Blockchain. Apart from using smart contracts to seal deals, the industry is using blockchain to be more transparent with their customers. Logistics behemoth UPS claims that in the future, blockchain standards and intercompany collaboration will aid logistics services and enable customers to participate in trading and finance. Linda Weakland, UPS director of enterprise architecture and innovation said: “the technology has the potential to increase transparency and efficiency among shippers, carriers, brokers, consumers, vendors and other supply chain stakeholders.”
Fedex, on the other hand, plans on using blockchain to resolve customer complaints faster. The information that the company will embed on a blockchain ledger will be used to help remedy customer issues.
The above examples show what the technology could do to streamline operations. International companies are now using blockchain to make work processes much more efficient, and it will be only be a matter of time before it is used widely across all types of business.