5 Ways Blockchain Can Benefit Industries Outside of Currency

by Andrew McGuinness     Jul 16, 2019

The hype around bitcoin and other cryptocurrencies has been intense since late 2017 given the massive growth of the platform, breaking records previously thought unbreakable when the technology first gained traction.

Everyone who understood the basics of Trading 101 knew that bitcoin could be a gamechanger, but now that blockchain has finally found its way into different industries outside of being used to back a currency, we’re seeing just how many applications this technology has. Here are 5 industries that can see a massive change for the better because of applying blockchain technology.

1) Accounting

Accounting has been around for decades and is traditionally one of the most important departments inside a company for legal and financial purposes. Innovation here has not necessarily been on the forefront of anyone’s mind as it’s a rather complex and necessary job. While the internet and the rise of computers has made accounting a lot easier than it was 20 years ago, there’s been little way of changing this industry. Anyone with Trading 101 knowledge knows that good accounting is crucial to success, both inside and outside of trading.

Blockchain could be the new most important ledger to a company. Recording transactions of all kinds through a blockchain would virtually eliminate the opportunity for a human to make a mistake in the first place, protecting a company’s most vital data from both external attacks or internal mistakes. Blockchain can ensure that all records are completely accurate and leaves a digital trail which is great for auditing purposes as no transaction can be hidden.

2) Supply chain management

Supply chain management is one the most important parts of businesses that trade physical goods. When a company’s supply chain is improperly managed, money is lost, and customers are left unhappy – nothing is as annoying as going to a store only to find your favorite product sold out. Blockchain technology would allow companies to track the movement of their supplies and product in great detail. It will allow for the handover of goods and raw materials to happen a lot quicker than before.

3) Voting

There are many types of voting that take place every day and the legitimacy thereof is the building block of a functioning democratic society. Large stock corporations often hold votes for their voting shareholders, and blockchain can make this process far easier and more secure. It would allow companies to vote from the comfort of their home with no concerns regarding security instead of having to physically attend shareholder meetings.

On a more political level, almost every type of election would benefit from blockchain as it would severely lower the risk of voting fraud. In combination with some sort of identification system, countries could shift to an entirely online voting process in the next decade which should allow for a significantly higher voter turnout.

4) Trading

Bitcoin is a great tool when it comes to commodities and assets trading. It’s been rumored that several stock exchanges are looking into using blockchain as method of trading. For instance, Australia’s stock exchange has already announced its intent to switch to a blockchain powered system internally – which would not have much of an effect on the way its users trade, but the way the trade would be recorded internally.

5) Contracts

Smart contracts are another great area that highlight the uses of blockchain technology. These should be especially useful for companies that have a large quantity of contracts that need to be processed on a frequent basis. Blockchain technology can be very useful for issuing, validating and enforcing contracts, allowing companies to not have to disclose too much sensitive information to external parties.

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