Protecting Business with Blockchain - Square 1 Products

Protecting Business with Blockchain

12/11/2019

Protecting Business with Blockchain

When it comes to valuable data, it is important that your business keeps it secure. Blockchain allows you to store data in a tamperproof way, allowing you to share data of value securely.

Blockchain store information in a particular way that means hackers cannot easily penetrate it and take sensitive data. How does blockchain secure the data of your business?

How Does It All Work?

A blockchain is a chain of blocks of data that cannot be tampered with, as they cannot be edited. In a blockchain, a block is a collection of data. This block is added to a chain of other blocks, creating a chain of blocks that are all connected. Once a block is added, it cannot be removed or edited as it is part of the chain; if it was removed or edited, the chain would be broken.

A blockchain is intentionally resistant to change. That’s because it is an open ledger that records transactions between two parties in an open but secure way.

There are some characteristics of blockchain that demonstrate why blockchain is a reliable and secure way to protect and save information. For example, blockchain is peer-to-peer, with no central authority controlling or manipulating it. Essentially, this means that two businesses can transfer data directly, without any outside involvement necessary. Additionally, cryptography is used to make the ledger tamper-proof, and while data can be added to a blockchain, it is effectively impossible to change or remove data from the chain.

Blockchain Is Useful to Your Business

Although blockchain might have become famous as it is the technology supporting bitcoin transactions, blockchain can be useful to all businesses.

Supply Chain Transparency

When your business is placing orders with your suppliers, it isn’t always clear who supplies the supplier. The majority of the time, this isn’t going to be a problem for your company. However, this kind of information could be important in numerous situations, such as when a piece of technology isn’t working as it should.

Blockchain enables a business to see every company involved in a transaction, from the creator of a product, to the supplier, to the end customer – in this case, your business. This transparency protects your corporation and may come in useful in the long run.

Easy Payments and Transactions

Receiving payment for a product or a service can sometimes take a while, particularly when you consider the sheer amount of paperwork often involved. Blockchain technology removes the need for a range of documentation, meaning that payments can be sent and received quicker than ever.

The speed with which transactions can be conducted is extremely helpful, helping with a business’s cash flow. This is because payments can be made and received rapidly, instead of a protracted transaction that might not be concluded for days.

Streamlining Certain Processes

Blockchain technology is in constant development, with its constant evolution ensuring that it becomes more useful on a daily basis. Many time-consuming tasks can be made easier with blockchain, which is important for all businesses of any size.

As blockchain technology improves, companies will be able to save a significant amount of time.