How Blockchain Impacts The Ecommerce Trades
A blockchain is simply an encrypted link of blocks. These blocks connect to each other on all sides. Blockchains prevent any modification or alteration of any of the encrypted blocks. Blockchain technology has a built in tough shell, it is robust, strong and secure.
Using blockchain technology brings all users to the highest form of security there is.This blockchain technology is created where it is a self contained, highly capable of auditing itself every ten minutes. The security of this type of network is one that cannot be manipulated or altered once the information is entered. It is practically impossible to even imagine that a hacker or bootlegger could infiltrate any network that uses blockchain.
In recent years, the Ecommerce has grown exponentially. Blockchain technology is fast becoming the leader for all types of financial transactions. Ecommerce obviously deals in financial business continuously, using the blockchain solutions allows ecommerce to solve the issue of problems when they arise.
The blockchain development application is a shared ledger where digital assets are stored. When used in Ecommerce, the blockchain development gives the consumer a complete shopping experience. From searching for a particular product, making the choice of product and going through the payment process, along with post sale customer satisfaction.
There are four main types of blockchain platforms available for Ecommerce.
Bitcoin is the cryptocurrency that the blockchain development application was designed for. It was the first cryptocurrency to be accepted worldwide, and is accepted by many of the leading ecommerce retailers. By utilizing cryptocurrency, such as bitcoin; this opens up a whole level of payment options available to the consumer.
Ethereum is a framework for cryptocurrency that is not much different that bitcoin. The good and bad about the Ethereum network is that it is not as widely accepted. However, Ethereum network is able to accept other forms of cryptocurrency. Ethereum is also the main platform used for Smart contracts.
There are some ecommerce companies that have custom designed blockchain platforms. With the custom designed platform, many ecommerce retailers are finding that it is more cost effective for the bottom line. They are also able to do as much as they need, or as little as they need.
IBM does not have any currencies, however, they do have a very tight, strong platform that is highly suitable for the larger blockchains of Ecommerce.
There are many realities that must be faced daily for every retailer. From competition, security threats from hackers, and the demands from everyday consumers, the biggest and easiest method of dealing with these issues is with blockchain technology.
Cost reduction is a fact for vendors and ecommerce trades. They are intent on cutting costs and being financially successful. The security that is involved in the blockchain platforms cannot and will not be rivaled. There is no human way of manipulating or altering the data that is on blockchains. Becoming an integral part of the ecommerce trades is the ultimate goal for vendors. By using a shared ledger between the online business, the company and outside partners, only blockchain solutions are capable of accomplishing all that for an entity.
As all online sales increase and become part of the economic ecosystem of its own, blockchain technology solutions offer any number of ways that e commerce can serve their customers.
Blockchain makes easy work of the multitude of product descriptions, as it shares the information between the store, the product suppliers and the content creators. Smart contracts is an easy, popular add on program which can make certain tasks automatic, if set with certain rules.
One of the greatest benefits of smart contracts in blockchain technology solutions, is that inventory control is done for the vendor. As a product is purchased, there is a deduction made in inventory and suppliers will know when to send more product with predetermined scales. This process will also eliminate have too much of a non selling item in stock.
The ECommerce industry has become very competitive over the years, with each ecommerce business trying to remain one step ahead of the competition. In order to accomplish this, ecommerce has happily embraces a smarter technology. Blockchain technology enables Ecommerce to have cheaper overhead costs and to run smoother. Replacing the ancient methods that were easily compromised, the blockchain provides a greatly improved security systems to protect the vendor and the customer. Using cryptocurrencies has provided a fee free, secure way of payment.
The one big financial benefit that is seldom mentioned in Ecommerce and those using blockchain technology is the chargeback fraud scams. By utilizing cryptocurrencies as payment, ecommerce will not have to worry about payment reversal.
There is no central system, watching purchases, or collecting data. That data control has been put back into the consumers control. Automation has sped up the way business is done. Blockchain technology solutions are also working on a platform that would allow credit card processing to not have so many stops to make before a payment can be made.
In cross border financial transactions the average amount of time it takes to complete a payment is three to five days. With cryptocurrencies, that same payment would only take seconds. This is due to the fact that cryptocurrencies hold the uniform standard of value which is not subject to any exchange rates.
Ultimately, the blockchain technology, blockchain development app is not only aiding ecommerce retailers, it is also cost effective for the consumer. Blockchain development apps have put the ownership of a businesses data back into the hands of the business.
Melissa Crooks is Content Writer who writes for Hyperlink InfoSystem, one of the leading app development companies in New York, USA & India that holds the best team of skilled and expert app developers. She is a versatile tech writer and loves exploring latest technology trends, entrepreneur and startup column. She also writes for top app development companies.View Melissa Crooks`s profile for more