Blockchain and cryptocurrencies are now becoming more essential to businesses but it is still a great unknown for most small business owners. Most of them are not aware of what benefits and great potentials await if they apply digital payment processes to their business.
Let’s look into the benefits of blockchain and how it can help create an entirely different environment for your business.
It’s a new form of payment
One of the first things to allow blockchain in a business is to use bitcoin or cryptocurrency as a method of payment. This might not be as easy but small businesses can also take advantage of it, once they have set up their digital wallets and merchant gateways, integrating blockchain in the process will not be as hard.
Benefits from this include allowing customers to expand their payment options and since cryptocurrencies also permit businesses to directly take care of their clients, it will help reduce transaction costs.
It provides safer cloud storage
Putting a company and its assets online will make it prone to hackers and online thefts. One key function the blockchain technology is protecting assets from getting broken into. Since applications and users operate across different computers, there is no single point of entry and in order to breach a decentralized platform, hackers would need to simultaneously attack all networks, which according to studies is nearly impossible.
Reduced costs
Traditional payment systems cost a lot of money, with digital currencies, businesses can eliminate or reduce most of the fees related to traditional card payments and save a lot from every transaction. It can also eliminate chargebacks, which will help improve overall cash flow.
No need for middlemen
Businesses use third parties or intermediaries to manage every payment transaction to feel secure but cost more. With digital currencies, even small businesses can avoid the costs related to intermediaries while still being sure that their transactions are safe and secured.
Trust and transparency
Blockchain will help businesses establish trust and loyalty to their customers. According to research, 75% of consumers’ top concern when paying digital is their privacy and with blockchain, businesses can make sure that every transaction and every information between merchants and customers is safe and secure. Decentralized technology allows users to store and manage prime identifiers — Social Security numbers, phone numbers, birthdates, addresses, mother’s maiden names, etc. — on private keys they alone control. This puts them in control over who accessed what information and when.
Whatever business you are in, it is very helpful to expand your business process and try on things that would allow you to grow your business and will give you the opportunity to take care of your business as well as your customers even better. A true entrepreneur is always up for new challenges. New technologies, such as blockchain and cryptocurrencies, are challenges waiting around the corner, so you better be well prepared to welcome them at the right moment.
