Many have asked the question of how they can join, link their businesses with the prevailing blockchain technology, and benefit from it. They want to know how their businesses can thrive with the DLT that’s so hyped locally and internationally. These questions are now even more relevant than ever with the current situations that affected the world globally. It raises exponentially the need to direct all businesses and corporate existence to online services.
There are a couple of misconceptions that need to be overruled when the adoption of the technology is considered. First, the idea that all blockchain platforms are great, you may want to look beyond the great marketing if you are ready to put your business on the platform. There are only a few that are worthy of consideration at the moment. Also, no such thing as a fully complete system, but there are few great plugs and play blockchain platforms. Also, no blockchain platform is a magical platform that will make you rich overnight. It all still boils down to solutions you deploy and if they are worth anyone’s attention and patronage.
It boils down to the edge, your business can have over others by;
- Making it easy for online customers to patronize in a secured environment.
- Easing the traceability of goods and origin, including the involved financial transactions for all.
- Ease of loyalty points issuance with unbeatable transparency.
- Cheap/free transaction fees with lesser middlemen in the transaction processes.
- Unmonopolized and undiscriminating platform that promotes your products the same as others.
Majority of the confusion comes in two forms for a public blockchain solution, first is developing the solution and the second has to do with the node networks for those fully enlightened about what they are doing. With the right solution or platform, these major concerns become a thing of the past. With a childchain solution adoption, these two are solved outrightly at least on Ardor platform-specific childchains. With this, your nodes are running even prior to the deployment of your solution based on the existing Ardor hundreds of blockchain nodes across the globe. Another interesting opportunity that comes with the solution is the customisable menu of interesting applications and usable solutions to aid your company’s online activities and customer satisfaction. We will consider a couple of industries starting with the Fintech and jointly see how they can benefit from the technology considering the prevailing crisis and dire need for supporting technology.
Fintech industry solution:
The Fintech space today arguably strives to replace the old banking systems but not the bank itself. One major flaw the banks possess today is heavily relying on paper transactions which often require physical contacts. What are the basic banking activities we have today and the parts most Fintech are competing to do better? The functions can be classified basically into two, Primary which include Accepting deposits, Granting advances and Secondary which include both Agency functions and Utility functions. But to every man or customer of a bank, they are an entity that keeps funds safe and provide option to withdraw the exact or advances in loans all with an attached varying fee.
It is a known attribute of all banks to utilize customer’s funds in business activities necessary to run and sustain the bank but most becomes faulted due to excessive bad loans both to normal customers and insiders, inappropriate risk management decisions, unsupportive regulatory issues among others. These demerits that applies to the rigid walls within which banks operates mostly do not apply in the tech space where companies offer similar financial services but only online. The advantage of taking the finance and banking space out of the confinement to strictly online business remains the major upgrade they offer ahead of the traditional banks. They provided an edge against all obstacles placed by both distance and time and provide ease of banking and accessibility to funds. Nevertheless, more can still be done.
With the blockchain technology as an extensive fintech enhancement, banks are not eliminated in the whole financial processes, but interactions with them can be reduced to almost nothing through the use of geographically unrestricted cryptocurrencies accepted everywhere to transact in seconds. This means, no POS transactions issues, no bank transfer issues, no ATM issues, No inter-bank transfer delay problems. Just a fast business transaction where every involved party smiles away. It provides the required transparency and trust, to truly put customer’s funds in his/her total control and only provide an avenue that allows ease of spending, saving and proper utilization of their financial power.
The blockchain technology isn’t plagued with the single point of attack and failure as exhibited among all other known platforms today. It utilizes a distributed immutable ledger that writing and recording is only done by consensus of all connected nodes which in this case can be all customers who witness the transactions from the genesis and can validate or testify to the authenticity of all subsequent transactions. This reduces the time to verify in a business environment, mitigates the lack of trust among partners and of course, provides several layers of security of platform, privacy of personal information and immutability of trusted recorded data against external attacks.
Today with an additional layer of blockchain technology, Fintech industries can utilize the lightweight smart contract, oracle contract among others to provide self-executable actions and automate some recurring and even basic decision makings adequately with no human biases. They can automate giving of loyalty points, approval of loans, automate withdrawals with in-built smart contracts programmable by the user to stop some certain transactions. Trace all transactions within the network to curb some heinous acts and finally provide an environment where customers can completely trust that nothing hidden is happening to their funds outside the agreed activities. Provide all these and many more without having to worry about coordinated broad attacks, failed transactions and platform breakdowns.
As a fintech startup or platform, have you considered the possibility of having a fully functional decentralized platform, marketplace, insurance, loan services among others? With several advantages attached to these not limited to reduced hands of deck, increased revenue and yet cheaper services and more satisfied customers. These decentralized platforms will soon replace what we have and win with the single preamble. “Decentralized” fintech. Becoming a childchain is the best option out there at the moment on the multichain platform capable of launching your company as easy as any unique turnkey solution. Consider checking the Ardor blockchain platform by Jelurida Swiss SA and endeavor to have your Developers and other members of the team compare to other platforms before making your final choice.