Blockchain has been with us for well over a decade now, but its possibilities are just beginning to be realized. Aside from its many other uses, it is ideal for software development. Its trackable, immutable audit trails can help to make data more accurate and consistent. Developers can keep track of every part of the process with complete accountability all the way through the process. Here are just a few of the uses of blockchain technology for a software development company.
It was the launch of Bitcoin that first brought blockchain technology to the world’s attention. Blockchain is the underlying technology for all the cryptocurrencies that have arisen since then. In this case, blockchain acts as an unerasable transaction record. Each line records a movement of a certain amount of cryptocurrency from one person or company to another. Public keys (PK) and secret keys (SK) verify each transaction, acting as digital signatures, and ensuring that the payer and payee (or anyone else, for that matter) cannot copy each other’s signature, ensuring that each transaction is legitimate.
A smart contract is a contract written in code, which can be automatically executed as soon as all the required input demands are met. Since the contract is enacted automatically, there is no need for a third party, such as a lawyer, bank, or legal authority. The two parties agree to the contract directly, and the contract itself is then automatically executed and enforced. Once placed in the blockchain, a contract is immutable and cannot be tampered with. This would make contracts more secure, as well as easier and more efficient.
The second major entrant to the cryptocurrency market, Ethereum, was the first blockchain platform to use distributed apps (dapps). The P2P (Peer to Peer) distribution of dapps on a decentralized network allows developers to write and run apps that are immutable and autonomous.
Supply Chain Management & Logistics
Blockchain technology is ideal for managing supply chains and logistics. In this case, developers can make use of permissioned blockchains in which all participating nodes can be verified. Permissioned blockchains allow for greater control over which information is shared and which is kept private. Blockchains enable detailed and accurate inventory tracking, covering production dates, shipment dates, expiration dates, ownership, stock levels, location, and more.
Blockchain technology has the potential to be very effective in business transactions where secure and decentralized identification measures are required. Such blockchains can be kept separate from centralized networks such as government organizations and banks. It can create systems in which people own their data and benefit from it.
International Money Transfer
Apps such as Venmo have made peer-to-peer buying and selling easier than ever, but international money transfers are still fairly costly in terms of time and money. Blockchain technology can decentralize the process, distributing information rather than having it stored on individual databases. The process of transferring money from one entity to another via blockchain can also be much quicker than current methods and carry far lower fees. A financial institution could join a blockchain network and make transactions through its own consensus-building protocol.
At Giga IT, we employ the latest technology to create quality software solutions for all business requirements. Contact us to find out how we can prepare your business to make full use of blockchain, and other rising technologies.