Before going into the details of how Blockchain is taking over critical functions of society and normal life, a look at what Blockchain is all about will be in order.
In very basic terms, Blockchain can be defined to be an add-only transaction ledger where new information and data can be added without the possibility of adjusting, modifying, changing or deleting existing data. This system is made possible by linking every new block of information to the existing chain through cryptography. Any change, therefore, made in any block will invalidate all data in subsequent blocks after it. The strength of this structure is the transparency it offers. All transactions recorded in the chain can be viewed publicly, and anyone can verify all contents of the Blockchain.
Why Blockchain is often called a disruptive technology? It is because the technology has seeped into daily routines that not-so-long-ago seemed very natural. The Internet in its present form deals with intangibles. Some examples include receiving and sending emails, playing an active role in forums, listening to music or reading, distributing articles and so on.
But this modern Internet plays a key role in tangibles – assets and your valuables that you can see and touch and want to protect. These assets are stored on the Blockchain in an encoded form where every member of the chain can see whom you are doing business with. This aspect safeguards your business dealings from theft, reduces errors, quickens the transaction process and most critically, eliminates the need of a third-party to facilitate the transactions.
Here are some examples of Blockchain applications that are being incorporated into the fabric of modern society.
- Asset Management – Conventional trade processes in asset management are expensive and not without risks, especially in cross-border trade. Records maintained by brokers, third-party managers and custodians are error-prone and inefficient. The same documents when put in encrypted form simplifies the process, eliminates the intermediaries and are fully secured.
- International transactions–Cross-border transactions are costly, time-taking, fraught with risks and open to money-laundering. Blockchain applications provide optimised solutions with remittance companies such as Abra, Bitspark and Align Commerce offering end-to-end Blockchain driven services. In 2004, Santander became the first bank to link Blockchain and their payments app through which customers could make international payments round the clock.
- Claims processing in Insurance – Claims processing, in the present scenario is at best a cumbersome and thankless process. Insurers have to wade manually through fragmented data sources, fraudulent claims and abandoned policies with massive room for errors. On the Blockchain, the system is risk-free and transparent, and encryption enables insurers to capture the ownership of assets that are insured. There is, therefore, no ambiguity in claims processing.
- Smart Contracts – In conventional contracts, an intermediary such as a lawyer or an insurance agent or a property dealer ensures that concerned parties are aware of and follow set terms and conditions. On the Blockchain, not only is the need for an enforcer of the contract eliminated, all ledger participants are aware of the contract details, and terms and these are automatically implemented. This aspect is possible because of a digital IFTTT (if-this-then-that) code embedded in smart contracts. Financial derivatives, property law, crowdfunding agreements, and insurance premiums are areas that have gained maximum mileage from smart contracts.
With Blockchain slowly coming into its own in the modern business environment, specialised agencies are providing Blockchain development services to industries wanting to make the most out of this next-gen technology.
Some of the services offered are –
- Consultancy services – Blockchain being a comparatively new technology, it is preferable that you take the help of experts to streamline your business processes on this platform. Consultants help companies increase operational efficiencies in areas that are relevant. Entrepreneurs, designers and developers, consultants and educators will especially benefit from the consultancy services.
- Cryptocurrency wallet development – Cryptocurrency such as Bitcoins are widely used today. But being a virtual currency, you will need the help of professionals to make a Bitcoin wallet. This wallet is a device, a site or an application where you can store Bitcoins and check the Bitcoin account. You can buy and sell Bitcoins from your wallet whose primary function is to store the secret key that allows access to the Bitcoin address. Bitcoin wallets are available in a range of options such as Desktop wallets, Internet wallets, mobile wallets, Bitcoin hardware wallet, and paper Bitcoin wallet.
- Proof of concept development – Blockchain service providers ensure that an idea that you have visualised or want to implement is feasible without building a full prototype. They will help you know whether the completed system once incorporated will give the desired result. This is especially true in the area of software development and computer security where a POC can prove that systems are fully protected and cannot be compromised.
This is how Blockchain technology is transforming the face of society – for the better of course.
Blockchain Australia provides a wide range of Blockchain development services and applications that help our clients move on to this next-gen technology platform. With our expertise in this field, we make sure that slow, expensive and insecure data transfers give way to fully secured, fast and encrypted processes that increase operational efficiencies.