Blockchain Technology: Is it a Game-changer for Business Innovation?

With continued technological advancements, technology has become a massive asset to businesses worldwide. However, with it comes risks to security and data breaches. This is where blockchain technology comes into play. With the help of blockchain systems, businesses can rest assured that their customer data and transactions are secure. This is why companies are searching for professionals who are skilled in this area, having taken blockchain technology courses.

MANCOSA SkillME offers a Blockchain for Business short course that equips students with a conceptual understanding of blockchain systems and how they can be used across various industries. Discover how this type of technology benefits businesses and is proving to be a real competitive gamechanger.

Understanding blockchain technology

Blockchain technology is an advanced database mechanism that records data or transactions across many computers in a business network, allowing transparent information sharing. It was initially introduced as the underlying technology behind the popular cryptocurrency, Bitcoin. However, its capabilities and applications extend far beyond digital currencies.

At its core, a blockchain is a chain of blocks, with each block containing a list of data or transactions. Each block links to the one before it, creating a “chain” of blocks. Since these blocks are in a chain, it is challenging for any person to alter the data without impacting other blocks. This creates a high level of security.

How is blockchain changing business operations?

In a similar fashion to the way AI and machine learning have created a revolutionary transformation in businesses, so too has blockchain proven to be a gamechanger in many business verticals. Here are five ways in which blockchain is changing the business industry.

1. Enhanced security

Technology advancements are quite dynamic and fast-paced. As a result, many South African businesses incorporate technology to increase profits, operations, and customer satisfaction. However, with technology comes a lot of sensitive data that needs to be stored and used. This includes transaction details of employees and customer data. As a result, companies need to find ways to protect this data from online cybercriminals, hackers.

This is where blockchain technology comes into play. It can protect businesses from cyber threats and keep sensitive information under lock and key. Since blockchain is transparent, efficient, and highly secure, the chances of data leakages are extremely low.

2. Automated financial management

Blockchain systems make accounting practices more efficient since it allows accounts to be entirely transparent for specific users. This means company auditors no longer have to worry about manually checking all the accounts since the blockchain already handles it. Thus, they can mainly focus on other pressing issues and enhance business efficiency.

3. Improved traceability

In industries such as supply chain management, blockchain systems allow companies to keep track of their goods and products throughout the supply chain. This is because blockchains can provide a complete and unalterable record of the journey of goods and merchandise from start to finish. As a result, companies can trace the provenance of products, ensure compliance with policies, and identify any inefficiencies.

4. Global access and cross-border transactions

Blockchain operates globally, allowing companies to make and receive cross-border payments and transactions without complicated currency conversions or mediators.

Future anticipated innovations

As blockchain systems continue to evolve, there’ll be several future innovations. Here are some anticipated developments:

Supply chain and logistics optimisation. Blockchain technology can improve supply chain transparency, efficiency, and traceability. Future innovations could focus on integrating Internet of Things (IoT) devices, AI, and blockchain systems to create independent and intelligent supply chain systems.
Interoperability. There’s a growing need for different blockchains to communicate and share data easily. Future innovations aim to create bridges between blockchain networks that allow data to be transferred seamlessly across other chains.
Streamlined business processes. With the help of blockchain technology, transactions can be processed faster and more effectively. Furthermore, there’s no need to exchange paper since documentation and transaction details are stored directly on the blockchain. Thus, these systems aim to streamline several business processes and entirely automate operations.
Decentralised Identity (DID). Blockchain systems can be used to provide a more secure identity system. This will empower individuals to have more control over their personal information.

Blockchain technology case studies

Blockchain is being used in multiple industries across South Africa, including banking, healthcare, and real estate, to name a few. The banking industry, in particular, provides the utmost reliability and resilience against cyber attacks and equipment failure.

One case that stands out is Project Khokha, which aimed to implement blockchain in central banking in SA. The South African Reserve Bank (SARB) worked with seven commercial banks and used Quorum to create a blockchain-based interbank system. The goal of the project was to increase transaction volume and network resilience while at the same time maintaining confidentiality and security for real-time gross settlement on Enterprise Ethereum. Some of the most notable goals that were achieved with the system include the following:

It exceeded the transaction performance goal of 70,000 transactions in only two hours.
It also met privacy and security goals while meeting the required transaction volumes.
99% of the propagations took place in less than two seconds, indicating that the system achieved exceptional performance despite the geographical distribution of the bank’s hardware.

Register for Blockchain Technology courses with MANCOSA SkillME

If you’re a trailblazer who wants to be part of a highly dynamic and innovative tech speciality, you can consider enrolling in a blockchain course like the Blockchain for Business short course. Learn the necessary blockchain programming skills as well as best practices, and you can improve your marketability in this field.