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BLOCKCHAIN IN DIGITAL TRANSFORMATION

Why has Blockchain become so famous? This is the question that first arises in our minds. The answer is that Blockchain has the capability of providing all participants the complete information on all data related to said value chain’s entire history and current state. The importance of technology has massively hit every industry thus making it important for management teams to become quick in recognizing and evaluating the upcoming technologies that are in stock for an organization. Blockchain is one such technology that leads to advancement in Digital Transformation. Top 5 Digital Transformation Trends

Blockchain Evolution

Blockchain in simple terms is a digital distributed ledger of transactions. It has the facility of writing once and appending much technology. When combined with P2P storage architecture, it creates a network of geographically dispersed storage nodes. In 2021, 35% transaction costs has been reduced due to blockchain.

Blockchain and Digital Transformation going hand in hand

Let’s check out a few areas where blockchain is being used to develop Digital Transformation.

• Digital Transactions:-Blockchain is represented as a virtual database that is stored in a network that allows every user to store a local copy of the data. It allows only the user to get access to the data because of its decentralized architecture. In a blockchain, every transaction is generally sent as a cryptographically-protected block and it also gets verified via a special proof-of-work method that makes it trustworthy to use.
• Business process Optimization:-Blockchain offers fast speed performance which is very much needed in the business processes thus making the process more optimized and enhancing the performance of digital transformation.
• Smart Contracts:-Blockchain can be used to deploy smart contracts depending upon pre-defined agreements. They provide efficiency, security, and transparency which is very much needed thus making Blockchain highly beneficial.
• Fuel for Finance Function:-The way blockchain handles bitcoins shows it can bring about great change and revolution in money and finance. Blockchain along with digital transformation can solve a number of problems that are currently present in the digital and business world.
• Success factor in Competition:-Blockchain allows companies especially smaller companies to flourish and get included in the business market. Even large companies will require contractors and suppliers for introducing blockchain technology in business processes.

Why use Blockchain?

Companies using and knowing about digital transformation should also start using blockchain. Blockchain applications can help to transform industries. They can mostly help start-up companies and companies that currently lag behind the competition and struggle to gain the market share that is needed to reach a target in the market. All this makes Use of Blockchain not only a tech initiative but also a strategy for improving business.

Service Providers are Utilizing Blockchain

Microsoft began using Azure Cloud services for introducing blockchain last year. Even Amazon has started its managed blockchain service based on the opensource Hyperledger Fabric and Ethereum specifications. Last year even IBM started offering Cloud Pak which is considered to be the most mature and prominent service.

Advantages

• Increasing Transparency
• Increasing Transparency
• Extends Collaboration
• Increases efficiency

Conclusion

Blockchain and Digital Transformation go hand in hand. Blockchain enhances the efficiency and advantages that digital transformation offers that making it more beneficial, time effective, and trustworthy. More and more companies, both small and large businesses have started introducing blockchain in their organizations because that is what the future holds for us to make more advanced changes in the field of technology and business.