How to Use Blockchain in Your Business

By StepUpwards Team, 17th May 2022

One of the latest developments in the way we transact is Blockchain technology. Would you like to know what Blockchain is and how you can use it to help your company grow?

Great! Then let’s begin.

What is Blockchain?

It is an information storage system that makes it impossible to alter or change the data. Blockchain is a database that shows evidence about transactions between the sender and the receiver in local banking systems. It shows the time, date, dollar, quality, and parties involved. The data is stored in batches, by the time one block is filled up, it links to another in an orderly manner to form a continuous chain.

Blockchain makes these transactions visible to everyone on this network. Hence, there is no way for a party to make a transaction without everyone else seeing it in the system.

Now, let's see how to use it in your business.

How to Use Blockchain in Your Business

1. Adopt Blockchain as a New Mode of Payment

Cryptocurrency as your new form of payment is the first step in adopting Blockchain. Authorizing buyers to pay with bitcoin or other crypto coins shows a commitment to the Blockchain.

Since only a few banks are set to accept bitcoin, the rollout will take a lot of planning. As a result, the firm must assess and invest in a digital wallet with a combination of services to accept cryptocurrency from buyers. Blockchain is best for foreign transactions as well.

For instance: Banco Santander founded "Santander One Pay FX," the world's first blockchain-based money transfer service, in April 2018. With Ripple's xCurrent service buyers can make same-day international funds transfers as well.

Do you know the benefit adopting Blockchain adds to your firm?

Clients would see the new form of payment as a desire to grow your services. Firms can also deal directly with clients using crypto. Hence, it lowers charges or fees. With Blockchain, clients can't reverse payment. It leaves buyers with no option but to reach the firm directly for a refund. It helps avoid chargebacks when buyers purchase a product and then cancel the payment with their credit card company, leaving the firm liable.

2. Adopt Blockchain as Cloud Storage

Every year, firms spend billions on cloud storage. There's good news! Companies can now store data securely and cost-effectively using Blockchain storage. It doesn't disrupt data security. It prevents overspending.

According to studies, Sia, MaidSafe, Storj, Filecoin, and Tardigrade appear to be the frontrunners in blockchain-based cloud storage. They all seem to offer fascinating benefits.

3. Use Blockchain for Alternative Fundraising

Blockchain offers an alternative way of raising funds via Initial Token Offerings (ITOs). ITOs are tokens that can be traded freely on sales as an option to banks and lenders. The token is equivalent to a revenue share.

Whoever partakes in the offering will get new blockchain-based tokens from the firm. The tokens would have some value in using the firm's product or service. It may simply represent a share in the company or project.

According to research, Blockchain startup companies, including Polymath, Securitize, and Harbor, have been developing infrastructure to support the granting, operation, and trading of crypto coins over the last few years. Companies can use the effort to raise tradable tokens.

4. Use Blockchain to Build Trust

Blockchain presents a new way of trust. Firms now see the value of Blockchain in ensuring privacy and security. Buyers who know the use of Blockchain are likely to buy from a firm that uses it. Small corporations can benefit from this in their marketing tactics.

5. Use Blockchain for Auditing

Blockchain's safe nature makes it quite helpful for accounting and auditing. It reduces the chance of human error. It allows easy identification of where the error lies. Besides, it guarantees the integrity of records.

Furthermore, no one can change the accounting records once they are locked in using blockchain. Yes! Not even the account owners.

Slowmist, for example, is a leading blockchain security firm in China. Smart contract audits, blockchain security audits, and wallet security testing are among the blockchain security services that they provide.

Now, let's take Walmart as a case study

Walmart, based in the United States, operates a chain of hypermarkets, discount stores, and grocery items.

Let’s understand how Walmart uses Blockchain to provide better service to its clients.

Walmart had a hardship providing quality products to its buyers. The poor quality of the product caused a high return rate and refunds. They couldn't deduce the failure point in the supply chain;

Farm - Storage - Transportation - Processing - Customer

Walmart decided to use Blockchain. With Blockchain, the goods' quality was recorded in a block at each step. When a buyer flags a product as damaged, it is at once identified where the product was damaged throughout the supply chain.

As a result, Walmart was able to identify and address problem areas. The story is a sample of how Blockchain was used in real-life situations.

Firms should merge blockchain features into their business today for an additional payment option. More so, for the fact that no one can modify their data without their consent. With this, firms can take their businesses to the next level.

Frequently Asked Questions on Blockchain

1. Why is Blockchain Good for Auditing Purposes?

Data stored on a blockchain is naturally hard to modify. A blockchain can act as an open log that can permanently record transactions between two parties in terms of functionality. Hence it is easier to fish out anything out of place.

2. How Does a Blockchain Account work?

A public key and a private key are used in blockchain wallets. A public key is similar to an email address in that it can be shared with anyone. When your wallet is created, a public key is created as well, which you can share with anyone to receive funds.

3. Are Big Companies Adopting Blockchain?

One of the largest companies in the world to embrace blockchain is International Business Machines Corporation. They have invested over $200 million in R&D.

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