Blockchain technology has become a very popular technology in the recent few years. Few people think that the application of Blockchain technology lies only in Cryptocurrency. The blockchain is a chain of blocks where every block holds data of value without any central supervision. It is cryptographically safe and secure. The whole process is done by securely capturing the transactions in a specified format with the help of encrypted keys, which are authenticated using the network.
What are the key benefits of this technology for enterprises?
Utilizing this new trading platform can bring many business benefits, but most are focused on delivering one or more of below mentioned six competencies.
So here comes the important question that what it can do for your business? The answer can be quite unclear. For small enterprises, the vast array of opportunities covers a good bandwidth by using the blockchain in various day-to-day tasks and using the ICO as a method to increase the revenue. The power of this technology is that it can hold for a business is vast but knowing exactly what the benefits. They are will better help them implement the technology in the right order and most effectively. Blockchain generally makes the transactions more secured, reduces overall fee costs and even eliminate potential lag. With high-speed and more accurate business-related transactions that are low in prone to hacking, fraud or theft, enterprises can use this upgraded and enhanced technology to the fullest and thus improve business-to-direct client transactions.
Blockchain technology makes sure that there lies no third-party disturbance related to the transactions along with it delivers complete transparency. And we as a customer, we all know that the value of transparency matters the most while making any kind of transactions. This gives the enterprises best access to internal information and eventually which helps them to reduce administration time and money.
Why blockchain technology can transform Enterprise?
Most of the enterprise systems deal with work-related transactions at a speed of hundreds or thousands per second. Let’s understand with an example, a telecom company with interconnect mobile apps development company which tackles near around 100,000 transactions almost each second, and most of the credit card processors were experiencing transactions of 13,000 units per second several years ago. In an ideal scenario, companies focus on developing a huge blockchain network involving a large number of members who are going to manage the increasing transactions. Many blockchain technologies use may not need throughout the level, a majority of the blockchain doesn’t even touch 100 TPS – Bitcoin carries around 7 TPS, whereas Ethereum is almost of double of that, while the wait time of the transaction can go into minute per hours. Enterprise blockchain seeks larger throughout along with transaction latency in nanoseconds for various enterprise use cases. If you reach beyond these levels, it will require an architectural method which uses segregation of topics, harnesses asynchronous flows, uses faster consensus protocol and operates in an optimized execution format.
What are the main obstacles?
Even though this technology has many possible use cases, some of us still have trouble separating it from its digital currency roots. The main problem in implementing blockchain in enterprises is that those who have traditionally designed business models in large enterprise settings have systematically and habitually treated trust and transparency as the third level of characteristics of a business model.
Faster transactions, improve security and very effective supply chain are perfect reasons but when it comes to the enterprises who are not quite ready for this new style of transactions? Such types of doubts arise regarding the cryptocurrencies and blockchain as they are still very new for the enterprises. Proper rules and regulation are still not defined because without completely understanding its perfect elements, it is very hard for big enterprises to practically implement the cryptocurrencies and create rules and regulations and law for the effective use. However, these things are changing with time and more people are coming together to utilize this technology in a very positive way.
Last year, many industries implemented this technology in the form of PoCs and pilots in financial services, supply chain, and some government organizations. In the year 2019, the technology needs to mature enough in the key area as we have mentioned above. But open source like hyper ledger ad enterprise software vendors is stepping up to the challenge to deliver on these demands.
It appears most of the organizations from completely distinct horizons are seeking to adopt a working PoCs so that they can manage their spaces as well. As the blockchain technology is experiencing positive feedback from different parts of the world, and also some concerns are raising against its users, it is recommended that this system should go for one more round of rigorous testing.