In our business world, we’re faced with issues like trust, corruption, and centralized control issues. This makes people hesitant to invest or start certain businesses because they’re scared of getting caught up in these issues. But what blockchain for enterprise is brought into the picture? How would that change things in our business world?

A practical example of a company that utilizes this technology is Walmart; this company uses blockchain for its supply chain optimization, food safety, and record-keeping. With this, Walmart has outgrown many other companies due to the huge improvement in their operations and profit gain.

Blockchain enterprise is all about trust; it is a record of business information and data, accessible to a few individuals or companies. Since inception, this technology has been of great benefit to the economy and there are more in stock, especially for businesses that use this technology to operate.

What are the benefits of using blockchain enterprise?

1. Promotes Trust

The level of fraud and distrust in our business sector today is alarming. Companies now have no choice but to partake in business that requires data sharing without trust and most times seek intermediaries. 

blockchain enterprise eliminates intermediaries and automates the process. Use cases that facilitated transactions among entities that didn’t have direct relationships yet still had to share data or payments – Bitcoin and cryptocurrencies, in general, are quintessential examples of how blockchain enables trust between participants who don’t know each other.

2. Speeds Transaction

This is one important benefit of blockchain in business. By eliminating intermediaries and replacing many of the manual processes of transactions, enterprise blockchain can handle more transactions faster than some conventional methods. 

However, times can vary, and how quickly a blockchain-based system can process transactions depends on multiple factors, such as network traffic, the size of each block of data, and the speed of the process used to establish consensus.

3. Accurate Record Keeping

In our environment these days, companies go to any extent to protect their data and private information to protect the company, and this is most times very expensive and not reliable.

But if these data are stored in the blockchain technology, it would ensure the provenance of data, cost-effectiveness, authenticity, and integrity.

4. Supply Chain Management

Supply chain management involves the movement of goods from the point of manufacture to its final destination. Due to improper security, goods get swapped or damaged before arrival, and this most times results in a huge loss.

But over the years, blockchain has proven to be the solution to this problem. With blockchain, goods can be traced from the point of manufacture to the point of delivery, and any scandal can immediately be spotted out. This would ensure transparency and accuracy. One of the ways Walmart companies improved their revenue was through the addition of blockchain to their supply chain management.

5. Smart Contracts

A smart contract is a self-executing code that a blockchain platform runs on. It is the basics of every transaction. 

Companies can use this to automate agreements because it not only reduces administrative costs but also optimizes the overall payment process, fostering efficiency and expediting transactions.

6. Improve Security and Privacy

The importance of security and privacy in a company can never be overemphasized. Data and information are recorded using end-to-end encryption to shut out fraud and unauthorized activity.

Additionally, data on the blockchain is stored across a network of computers, making it nearly impossible to hack, unlike conventional systems that store one copy of the data on servers.

7. Reduce Cost

Blockchain’s inherent design can also cut costs for organizations. It brings certain efficiencies to transaction processing, reduces manual tasks such as aggregating and amending data, and eases reporting and auditing processes.

Challenges

Blockchain enterprise has so many challenges which can be exerted here are few of them

Smart contracts may be a secured system, but they are not 100% protected as they may experience vulnerabilities like reentrance attack overflow/underflow, and these can expose the system to malicious hackers.

Also the blockchain system is known to be a jealous system in the business industry because for effective usage, a company has to incorporate the blockchain system into every sector, and experts noted that many companies don’t believe blockchain can deliver high enough returns to justify the cost of replacing existing systems.