Blockchain development has been continuously growing and opportunities have been created for businesses. Mobile apps for e-commerce businesses appeared and eventually, mobile wallets and cryptocurrencies became the trend. As of today, blockchain technology is keeping track of lots of transactions.
Some latest statistics suggest that almost 350,000 Bitcoin transactions are performed every day. This development further secures the transactions to provide better experiences for consumers worldwide. It is going to revolutionize the financial landscape globally, and impact e-commerce businesses, in the form of great benefits from the rise of Blockchain.
Efficient Supply Chain Tracking and Monitoring
The supply chain is a crucial aspect when it comes to the e-commerce business. The owners of online businesses find it difficult to track products, manage supplies, or even create a centralized database. Blockchain makes it much easier to develop. It helps e-commerce businesses to manage their inventory effectively. The technology removes the necessity for businesses to spend on other resources to track and monitor stocks.
When you are discussing supply chain, one of the main concerns is security, nobody wants to get hacked or suffer from fraudulent practices. For security purposes, removing the middleman from the supply chain, Blockchain technology put and to these risks. Keeping track of a product from its starting point to where it is present can be traced with Blockchain technology. The removal of the middleman also leads to a decrease in overall costs.
Promoting Transparency in the Marketplace
Transparency creates a feeling of security in the marketplace. One of the major concerns of the e-commerce business was the lack of transparency in the past years. Blockchain development has addressed this problem. Even the slightest changes in transactions can be viewed, everyone feels secure. It creates a decentralized environment in the e-commerce market where any wrong act of the retailer can be monitored. Walmart and Unilever, being the retail giants have introduced Blockchain projects to improve transparency.
Using Cryptocurrencies for Payments
With the passage of time, people have increasingly started using cryptocurrency as an alternative to conventional currency. A major shift toward virtual currency is becoming apparent as the world is accepting this technology. The growth of Bitcoin and other Blockchain-based virtual currencies shows that the globe is moving towards it.
One of the major reasons why people tend to use cryptocurrency is because of the decentralized nature of Blockchain technology. There is no central authority controlling the transactions, which implies that only the people who are a part of any transaction can control the operations.
Furthermore, Blockchain-based currencies are much easier to use. There is no need to visit a regulatory authority for creating an account since everything can be done at home. In addition to that, there are no charges for opening an account as a digital currency wallet is absolutely free.
Security is the key to E-commerce Business
Security is the most important aspect of an e-commerce business. The blockchain-based e-commerce platform provides comprehensive security features like data and wallet protection for users.
Data security is especially important for almost every business since some businesses keep customer information such as their address, phone number, and other details. With Blockchain technology, the decentralized nature makes it very difficult for hackers to reach personal data. They would have to enter into all the nodes on a server, which is virtually not possible. In addition to it, Blockchain-based currencies do require users to reveal sensitive data.
Authentic Product Reviews
Fake product reviews are frequently used across online businesses. Many consumers make a purchase decision after checking these false reviews and feel disappointed with the product. However, this is not happening with Blockchain. This technology assists in the verification of reviews and prevents business owners from removing history without notifying customers.
Blockchain stores data in blocks that are added up in a chain of similar information blocks. Every block verifies data from a network of computers before it can be added to the chain, which makes it very difficult to change.
Fewer Costs for Retailers and Consumers
Merchants earn considerable profits by taking a cut of the total payment in e-commerce transactions. The cost to the consumer rises when more entities are involved in the payment network. With Blockchain, there is direct contact between buyers and sellers since there is no middleman. It also creates greater customer outreach and ultimately minimizes the cost for consumers. This technology is already considered one of the main causes of considerable cost savings.
What Can You Expect from Blockchain Development in 2020?
2019 was a great year for Blockchain technology and it is expected that it will get better in 2020. Forbes has predicted that the technology has a promising future. The blockchain projects include the launch of Facebook’s payment network and the ongoing progress of Ethereum 2.0.
Wrapping Up
Blockchain technology is definitely going to revolutionize the e-commerce business industry. It offers a splendid combination of security, transparency, and cost-efficiency. Business owners who are looking forward to expanding their businesses should accept blockchain development and redefine the way they work.
Apart from being faster and substantially cost-effective, some of the competitive advantages this technology offers include complete control of the supply chain for greater efficiency for generating maximum profit. Very soon, the progress and visible upsides of Blockchain should drive more companies to combine the technology with their businesses.