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What is an advantage of using blockchain technology


Blockchain technology has been of interest to many across the globe. From government agencies to healthcare, and many more industries. This is due to the immense benefits associated with the use of blockchain technology. Today, innovators are exploring ways to integrate blockchain into their infrastructure.

An example is oschain.io, the world’s first IP marketplace powered by blockchain technology. Therefore, using blockchain technology can present new opportunities and numerous benefits to businesses across different industries, through its distributed and decentralized nature. Here are the advantages of using blockchain technology. Let's get started.

Reduced Costs

Blockchain technology has made different organizations realize a reduction in costs associated with third parties or middlemen. This is because with Blockchain you do not need third parties to guarantee or verify transactions. it doesn’t matter whether you trust your trading partner. Instead, you should trust the data on the blockchain.

The technology also reduces manual tasks such as reviewing documentation to complete a trade because each party has permissioned access to the same, immutable version of the document. In addition, the technology creates efficiency by processing transactions faster than usual.

Greater Transparency

Blockchain technology is a type of a distributed ledger. Meaning all network participants share the exact documentation which can only be updated if everyone agrees on it. In addition, all network contributors with permissioned access see similar information at the same time, providing full transparency. But some parties can attempt to change a transaction record which would require a change in all subsequent records and a collusion of the whole network.

Blockchain technology is attributed for being more transparent, accurate and consistent in sharing of data than traditional financial systems. Blockchain technology provides members of a network with full access to an entire transaction history meaning you can virtually eliminate any chances of fraud.

Security

Nothing is more sensitive and crucial than your data that is why Blockchain technology uses digital signatures and transaction encryption making it more secure than any other record-keeping system. Information such as transaction history can be targeted by hackers but that is rarely a success.

This is because blockchain technology stores data across a network of computers making it very hard for hackers to compromise the data. In addition, a transaction becomes impossible to change after approval because it becomes encrypted, linked to a previous transaction, and then converted to a complex string of numbers.

Automation

Transactions carried through ‘smart contracts ‘are efficiently and automatically executed by a network of computers once all predetermined terms and conditions are met. This means you do not need human intervention or third parties to verify terms of a contract have been met.

Conclusion

Blockchain technology continues to gain global influence. That being the case, you should consider using blockchain technology to disrupt and transform your traditional business model into a more digitized one.

 

Business Daily Media