Blockchain is not equal to Cryptocurrency

Nowadays the Bitcoin hype made terms of Blockchain and Cryptocurrency equal in people minds. Because of that Blockchain technology could lose decision makers’ potential interest although real businesses still can benefit from using it.

First of all we need to explicitly see the difference between these two notions. Blockchain is a technology. It is dedicated to storing, recording and transferring information, which key specificity is in that all data is being operated as a chain of data blocks in a strict order, it is also often has another specificity - decentralisation. This technology could be used in multiple business areas. One of these areas is Cryptocurrencies. Cryptocurrency is one kind of digital currency that uses encryption methods and based on blockchain technology. That is the only actual connection between Blockchain and Cryptocurrency.

So how and where else the blockchain technology can be useful?

Blockchain in Financial sector.

Privacy and security are the most important areas of any financial business. That is why blockchain with its high level of protection against unauthorised events becomes one of leading technologies which different financial institutions( including banks) are planning to implement in their technical solutions.

Blockchain in Insurance business.

Any insurance deal can be signed with a help of a smart contract( protocols that allow to publicly check if ‘specific’ terms are being followed), with blockchain it is possible to automate processing the insurance conditions, and thanks to saving all data in the common decentralized database it is possible to avoid frauds. So the whole process of initiating insurance contract and supporting insurance cases becomes faster and more reliable.

Blockchain in Real-estate.

This business requires special attention to authenticity of deal documents. Another important aspect is transparency of data related to the subject of a real-estate contract. Thanks to blockchain mechanism it is possible to automate and make transparent all records adding, documents attaching, providing financial transactions. The other plus is that all that can be digitalised so it optimises business’ flows without losing reliability and trust.

To sum up it is important to emphasise that in a digital era businesses will generate more and more data that requires certain level of security when operating with it.

Blockchain is the technology which potential is not totally explored so with a right attitude it is possible to apply its advantages to the area of securing data management in any business. That is the concept that we decided to verify by our personal experience during the work on our internal corporate product that ensures processes of logging and reporting work time by employees, preparing work reports, planning vacations of the whole team and all related bureaucracy flows.

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