How can blockchain development company help here? Little by little, the blockchain has evolved from a specialized technology for bitcoin. And other cryptocurrencies into a technological block, comparable in scale to the formation of the Internet. A myriad of companies in the wake of the popularity of blockchain rushed to conquer it. It will help them reach new sales markets or reduce costs. Despite the fact that blockchain seemingly promises obvious benefits, there are some biases. And there are misunderstandings about the technology at its expense.
Moreover, the blockchain boom has become increasingly reminiscent of the dot-com boom. The companies with nothing to do with the online world created websites. You need to understand that the introduction of the latest technology into existing processes presents considerable difficulties. And they are associated not only with the costs of experiments, some business owners are generally ready to put everything on the line. So as not to miss the outgoing blockchain train.
In order not to repeat other people’s mistakes, it is required to carefully filter emerging business ideas. It’s in terms of whether it is possible to implement blockchain in them.
Does your business idea need blockchain integration?
The most likely candidates for interweaving with technology are ideas that don’t work without it. The impact of blockchain can complicate business processes or derail an enterprise altogether. Such a story happened to the Long Island Iced Tea Corp company. It’s engaged in the production of soft drinks. Last year it decided to change its recognizable name to Long Blockchain. At the same time changing the direction of its activities. Cryptocurrency mining and the creation of blockchain-based solutions. New initiatives did not bring her success. She received a notice of exclusion from the Nasdaq stock quotes.
The experiments of the large retailer Walmart are more like a success story. The vendor has developed and implemented a blockchain solution for the meat supply chain. It helps Walmart reduce the time it takes to resolve emerging logistics problems from days to seconds.
Implementing blockchain involves having a basic knowledge of the technology and conducting detailed experiments to study its impact on the business. For some companies, blockchain can help create a more decentralized business model. Especially if they are bound by a network of intermediaries. For others it may not bring benefits.
What are the best blockchain tools for your company?
A little deeper into the study of the technology, you can learn about several of the most popular schemes for its use. But a deeper analysis of the market will reveal the existence of smart contracts based on Ethereum. They allow individuals or companies to automate their business processes. Given that they are transactional in nature, Ethereum can serve as a mirror image of the emission of user data on the network. Any transactions can be fixed on pre-prescribed conditions in an automatic mode. Such a scheme can ideally fit into the work of a bank that issues a loan to a borrower in cryptocurrency. Or when other types of payments are made
The Ethereum cryptocurrency, which has been experiencing technical problems lately. It has a rapidly growing competitor – Qtum. It is a Chinese hybrid platform that connects existing blockchains with a virtual machine similar to Ethereum. This platform is considered more reliable than Ethereum and allows developers to create applications and smart contracts. It’s on the current revision of the same blockchain that Bitcoin uses. The choice of Qtum is a rather risky undertaking. But in its favor is the fact that many ambitious enterprises and startups, such as Starbucks, use it for their projects.
Blockchain has many uses. And one of them is to attract users and stimulate demand. For example, the developer of the popular mobile chat application recently announced the release of KIN tokens. Which can be acquired by performing various actions in social networks, creating content, etc. Tokens can be exchanged for bonuses. Thus, the developer builds an ecosystem, motivating customers to complete various quests and rewarding them for completing them.
What are the disadvantages of blockchain?
There is no need to associate high expectations with the blockchain This is not a magic bullet. And even when everything is set up and running, the work is only half done. Blockchain is the nodes involved in data processing, it requires a large number of users.
The blockchain supply chain allows you to strictly define the conditions of the transaction and then ensure their automatic execution when the specified events occur. The terms of a transaction are stored in a smart contract.