From the day bitcoins were invented, the way we see money and how we use it has drastically changed. It is almost time now that the technology that goes behind the working of bitcoins will change our businesses and economies. What we need to understand out of this is how this impact will really change everything and why?
So many businesses are coming up today, but only a few of them really thrive because of various reasons. Traditionally, when a company was established, the money needed for operating and capital costs was raised through equity shares etc. All these sources are not as approachable as they were because of the small size of businesses and the rising security charges today.
On the other hand, with bitcoins, there is no fees attached and blockchain being a transparent platform, cryptocurrency becomes an easy way to raise money. This way more businesses can raise funding and get on their feet even quicker than they did before.
The world of investors and the ones seeking funding will become much more transparent, and both parties will be able to get in touch with each other easily. Without all the restrictions that are usually there, raising funding would become easier because of blockchain technology.
Blockchain is basically like a database which keeps track of every transaction that has ever happened on the network it is affiliated to. Using the same technology in future will help cut down the time required for getting approvals that are generally a part of the investment making process anywhere. Only accurate data will be shown through the blockchain, maintaining authenticity for both clients and customers.
In simple terms, every participant in the network will be a part of all the transactions taking place through it, so nothing is really hidden, which creates a way for more transparent and accurate relationships business wise. Like in a bitcoin circuit, every user knows of the previous transaction that has happened so he/she can make informed decisions.
There are no limitations that this digital world of the money puts forward. Anyone from any part of the world can be a part of a network and choose to invest in it. A similar system, if followed, in our businesses, can help bring people together digitally. There doesn’t have to be a local database for every local participant, and rather a central database can work well for the entire system where information is available to all.
The functioning all over becomes much more efficient because every user of the network knows and is updated with all that is happening. This could really revolutionise how our databases have been maintained till now and create better working systems.
Also, because of the constant updating, trust is built in the collaborator that he/she knows everything that is happening so he/she would be more interested in collaborating. This also brings forward a lot of new opportunities.
In a traditional scenario, to trace the culprit when something goes wrong in the system is hard to do. Everything is blamed onto the other, and one can’t really find a quick fix for the problem. In a business which is much more complex than just people, tracing back an item somewhere would be the toughest task to accomplish. In a blockchain system, on the other hand, the cards are entirely reversed.
Blockchain record how, when and where every transaction has happened so you can actually go back to all of that when needed. Each and every connection in between can be traced back to its origin which gives way for a new method in which the regular company systems can be built in today’s world. Authenticity will be maintained in such a scenario, and there will be lesser chances of fraud happening.
More benefits, less disruption
In reality, the disruption will turn into benefits that will be reaped by various industries with the help of blockchain technology. How we traditionally do our business will surely change, but it will change for something better that is about to come in. The technology is no more limited to bitcoins, and its agenda is to bring the entire world on one platform.