By Anthem Blanchard
We are beyond the hype that surrounded blockchain and cryptocurrency in its early days. Blockchain has gone mainstream — particularly for business. According to Deloitte’s 2020 Global Blockchain Survey, a vast majority of executives believe there are compelling business cases for blockchain while over half the respondents said blockchain is critical to their strategic initiatives.
So, what areas of business will be most impacted by blockchain?
As we continue on the path to digital transformation through electronic recordkeeping for healthcare, to eCommerce, to the distributed nodes that facilitate the Internet-of-Things and Industry 4.0, we will continue to suffer the consequences of increasingly common and costly cyber attacks and data breaches. According to Cybersecurity Ventures, global cybercrime costs will increase from $3 trillion USD in 2015 to $10.5 trillion USD annually by 2025. Many businesses, even those exploring innovative digital solutions, continue to use legacy blockchain and cryptocurrency solutions ill-equipped to tackle the new digital landscape.
Blockchain offers a cybersecurity solution that matches the distributed nature of data in today’s digital businesses. Rather than single points of vulnerability, blockchain and cryptocurrency solutions store data and digital assets in a distributed and highly secure fashion, with encryption capabilities that better protect against disruption, ransomware, and phishing attacks. An incredible example of this is offered by NASA, which is testing a prototype for “an open source permissioned blockchain framework to enable aircraft privacy and anonymity while providing a secure and efficient method for communication with Air Traffic Services, Operations Support, or other authorized entities.”
Our global economy makes for incredibly complex and opaque supply chain tracking. Companies tracking goods shipped from across the world via ships, trains, and trucks must rely on faulty human record-keeping in the relatively antiquated world of shipping and logistics. Tesla sources rare earth minerals for its batteries from all over the world. Are they ethically sourced? The Apple iPhone contains minerals and components sourced from all mine and factories across the globe. How can consumers learn more?
Blockchain allows businesses to store and access supplier records, government documentation, proof of insurance, and other verification documentation in a distributed, secure system. The nature of blockchain also facilitates agreement sign off and payment within the same system, further streamlining supply chain tracking. Because blockchain illuminates supply chain records for the business, this same data can be easily passed on to customers and consumers if and when it’s demanded.
With the introduction of Bitcoin, subsequent cryptocurrencies, and now DeFi and NFTs, blockchain technology has disrupted the financial sector more obviously than any other. However, the technology itself has had a subtler impact on the world of finance. Specifically, given the value and vulnerability of data exchanged in digital financial transactions, blockchain is uniquely positioned to solve cybersecurity challenges in this sector.
Additionally, blockchain offers enhanced efficiency, improved security, advanced traceability, and increased transparency that will help financial institutions more easily meet regulatory requirements. As businesses adopt blockchain, we will see decreased costs of doing business as data breaches become less frequent and compliance becomes less of a hurdle.
Gamification is perhaps the most unique way blockchain will impact tomorrow’s businesses. At the moment, much of the activity in this space is happening in the world of blockchain and DeFi, however businesses across industries can benefit from the possibilities of developing collectable wallets, for example, or validating proof of human work. As businesses continue to adopt Bitcoin for corporate treasuries and enable transactions through cryptocurrencies, the opportunities afforded by securely distributing and tracking risk-reward systems will only multiply.
HeraSoft’s next generation software offers a variety of products and services for businesses building for the future.
- HeraVault™ offers distributed cloud storage with built-in replication, error correction and restoration capabilities.
- HeraFlow™, is an AI-Powered threat analysis system for fast and accurate threat data monitoring perfect for high-volume workloads and enterprise-level SOC’s.
- HeraPass™, with inherently fraud proof design, helps businesses innovate user management in IoT environments by achieving the anonymization and encryption of highly-sensitive data.
- HeraStamp™ proof-stamps mission critical data to permanent data stores and can help with data integrity in, for example, ecommerce settings.