Financial markets and businesses are operating in an era of rapid digitalization, from decentralized finance, cryptocurrencies, and the digital ledger to the tokenization of traditional assets, which have ignited increased business efficiency, improved customer experience, and resilient day-to-day operations.
These innovations have led to the emergence of sustainable business models from the behemoths of Silicon Valley and Asia’s thriving Web3 ecosystem to the rise of crypto unicorns all across the globe.
What Is Blockchain Technology?
Blockchain technology is a database that supports the transparent sharing of information across a network of users by storing data in blocks that are decentralized, immutable, publicly accessible, and transparent. The technology is applicable across various industries due to its tamper-proof security and ability to automate processes.
RollerCoin, a next-generation game that allows gamers to play games and mine coins, is one of the revolutionary ways that blockchain technology can impact the gaming industry. It’s not just the gaming sector; this article will discuss more details about the impact of technology in driving business and financial growth.
Driving Global Business
Cryptocurrencies run on a decentralized ledger, the blockchain. This ledger facilitates peer-to-peer transactions without relying on intermediaries. The speed, security, and reliability of these transactions are vital for improving business operations across digital identity verification, supply chain management, logistics, cross-border remittance, and facilitating trustless interactions in global trade.
With this decentralization mechanism, made possible by the blockchain, a small business in a developing nation has the same leverage to achieve efficiency and sustainable growth, just like a blue chip based in San Francisco.
In his 2020 message to budding entrepreneurs, Meta CEO Mark Zuckerberg mentioned that it’s possible to launch a company anywhere in the world and scale it to global lengths. While Zuckerberg might have been speaking about social media’s ability to compress the globe into a village, his statement has held profound meaning for those in Web3 who have managed to raise incredible capital through ICOs, token sales, and blockchain offerings without necessarily having to be in the world’s business capitals.
“At that time, a lot of the tools for building a company weren’t as built as they are now.” Mark Zuckerberg.
The blockchain is one such tool that has decentralized power from central authorities and gives users more participation in making key decisions. Immutability and auditability are two of the blockchain features that have made this possible. In that way, one can vote for decisions on the ledger, and someone else from miles away can transparently see the vote without necessarily revealing the voter’s identity.
Increasing Efficiency in Business Operations
Today, more individuals and entities than ever are interested in partaking in international business. This need has created the demand for sophisticated technology that can enhance fast-paced day-to-day processes, provide reliable real-time insights about markets, maintain a real-time ledger record, and process payments at speed.
The reason behind these demands is to improve business operations, such as not waiting for an invoice to be processed within 7 business days as it was with traditional finance. Aside from that, such technology makes it easier to examine ledger transactions and records without involving third parties to moderate the data.
It is also possible to trade finance through blockchain and mitigate many of the risks that plague global trade, especially in the delivery of goods and services.
For decades, global supply chain records have fallen victim to corruption and tampering, which have often resulted in billions of dollars in losses. Data attests that global business has been improving since 2019, with a survey by Interos pointing out that supply chain inefficiencies led to $184 million in losses in 2020, $182 million in 2021, and $82 million in 2022. As per the survey, losses went down by 50% in 2022.
Tim White, an industry analyst at Interos, pointed out that while the operations are better than they were, there are no chances of going back to how they were in 2019.
Improving Financial Inclusion
Most people in the world, particularly in developing nations, remain unbanked. Without a bank account, it becomes difficult to gain financial inclusion. There are millions of people who have a bank account but lack the proper knowledge to explore the full potential of financial inclusion. At times, the problem may be structural, where corrupt institutions and government entities orchestrate malpractices that lead to financial exclusion.
These entities are so big and bureaucratic that it becomes impossible to call them out for their abuse of power, which, on many occasions, negatively impacts trade, finance, and business. The blockchain’s transparency, decentralized ledger, trust, and community governance eliminates malpractice in the financial ecosystem and has the potential to create more inclusion for the unbanked. A good number of people being able to take part in financial systems makes it easy for them to support businesses and trade.
Disrupting Traditional Business Models
Payment systems with blockchain technology and cryptocurrencies are also pioneering new business models across industries, such as gaming, advertising, publishing, content creation, and media. For example, traditional games allow us to own items temporarily without recording ownership on the blockchain.
Today’s Web3 games have revolutionized in-game ownership and made it possible to own a digital sword, wearable, or virtual house. These items are tradeable on an open marketplace where players can exchange them for cryptocurrencies or other in-game items.
One of the games taking center stage in the cryptocurrency economy is RollerCoin, a virtual mining simulator where players accumulate mining power by playing various games. This mining power enables the player to mine Bitcoin, Ethereum, Litecoin, Dogecoin, or any other cryptocurrency, which they withdraw in cash.
In advertising, publishers are rewarding customers for interacting with their ads through real-time cryptocurrency payments. Through the blockchain, users have more control over their data, and the transparency of the technology makes it easy to monitor ad fraud.
Conclusion
The crypto revolution is one of the best things happening to humanity in the present era. This technology has disrupted the traditional banking system, empowered investors with alternative assets across DEFI platforms, and given individuals access to financial services without relying on traditional finance with its constraints.
The blockchain has changed how people and businesses indulge in global trade, as well as introduced a component of trust and control for those averse to centralized authorities. Cryptocurrencies offer a solid path towards financial transformation, revolutionary business models, and improved global well-being.
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