Now, in the 21st century, the number of innovations and new technologies is growing exponentially, and they cannot avoid the influence on familiar deal processes. Blockchain is one of these technologies. We want to show where blockchain-applications help reduce costs in deals.
The most notable are 3:
- Absence of need for a third party
- Significant reduction in operating costs
- Data security.
Let’s look closer at each of the points:
- Absence of need for a third party.
One of the purposes of blockchain is to eliminate the need for a third party. Traditionally all sorts of transactions or negotiations are going with intermediaries, of course, because of that transactions take more time. Blockchain has enabled direct interaction between the two parties, it also enables data to be safe from attack, theft and spoofing, which has resulted in no need for a third party, and therefore extra cost absence.
2. Significant reduction in operating costs.
Blockchain allows you to minimize transaction costs. Cryptocurrency payments are made in a decentralized system controlled by peer-to-peer networks. This way, companies will receive payments by cryptocurrency and pay for fewer transaction costs.
This allows companies to transact seamlessly around the world, and smart contracts, in turn, reduce problems relating with contract breaches.
3. Data security.
Some companies require digital identity and KYC technology to create simple identity verification platforms for various companies. These all assist in achieving greater transparency, streamlining data access, and managing IT costs, while conforming to certification protocols. Blockchain provides the ability to use the encrypted data storage feature, which in turn provides data with high security and immutability. All of this helps protect the network quite well from attacks or deciphering the identity of the user. Protecting operational and customer data is very important to business because any breach critically affects the company’s image, which entails several other not insignificant problems.
Let’s make a conclusion.
It is not a secret that the creation of blockchain-applications requires a rather expensive development, but you shouldn’t ignore this opportunity, because, in the long run, this investment provides an opportunity to save a lot of money, as well as protect yourself from possible data leakage and spoofing. Thus, we think that the introduction of blockchain technology is the modern and most correct solution to the imperfection of familiar for us deals processes.