Introduction
Smart contracts were invented as early as the 1990s. However, they only gained mainstream popularity after the emergence of blockchain. This article discusses in detail blockchain technology and its impact on the transformation of businesses in the 21st century.
Enterprise Adoption of Blockchain
Blockchain is considered a disruptive technology that is a driver of digital evolution in all aspects of human society. Much like the internet, many companies, startups, and developers are working on finding innovative ways to integrate, manage, and utilize blockchain technology on a commercial scale. Here are some major sectors where enterprise adoption of blockchain has become most prominent in recent years:
Artificial Intelligence
Artificial intelligence is making a big appearance in the current year. Just about every tech giant has introduced their legacy version of generative AI software such as Bard, ChatGPT, and DALL-E etc. AI tech is also seen working in tandem with blockchain infrastructure. Projects like fetch.ai, singularityNET, and ocean protocol are good examples.
Cloud Computing
Cloud computing is on the rise as everyday life is becoming more digitized. Consumers are looking for cheap, secure, and efficient storage that is accessible from anywhere. Blockchain companies like Infura, Coinbase Cloud, Blockstream, and Amazon-managed Blockchain are the pioneering blockchain-as-a-service (BaaS) entities.
Environment, Social and Governance (ESG)
ESG is the latest trend among businesses that want to attract consumers who prefer to interact with sustainable businesses. Blockchain as a technology has slashed a lot of paperwork, energy input, and operational costs. Therefore, blockchain is favored by both businesses and consumers on account of its inherent ESG properties.
Data Management and Analytics
Data management and analytics are likely to become the digital gold mine in the coming future. Digitization of everyday life and dependency is not only going to make data-related services crucial for businesses but also for the average consumer. To account for the rising demand, there are several data analytical and management-based blockchain projects such as Chainalysis, Quant, and Kaleido are currently active.
Tokenization
Tokenization is considered one of the most profitable utilities for blockchain. Traditional stock, forex, and commodity markets are likely to transform their offerings using tokenization. Another important feature of tokenization is fractional sales of property and stocks that can increase financial inclusion and maximize business reach.
E-commerce
E-commerce trade at present is limited to the domain of cashless payment service providers such as Mastercard, VISA, and Paypal, etc. However, cryptocurrencies are not subject to delays and other hassles like forex exchange problems and make for ideal remittance options. Therefore, there is a high probability that online merchants allow crypto payments using stablecoins or other tokens.
SAAS
Software-as-a-service is a lucrative industry. People want to access the latest software sourced from any part of the world and developers wish to reach a global targeted audience with the smallest possible hurdles. Cryptocurrencies and blockchain can play a pivotal role in popularizing SAAS sector development on a global scale by removing transaction pain points.
Gaming
The future of gaming is Web3 and blockchain. There is a new array of gaming genres under development that leverages blockchain-based products such as NFTs to create more interactive and commercialized gaming portals. Blockchain has also popularized the concept of Play-to-earn models that is not only lucrative for businesses but also for the end-users.
DAOs
Decentralized Autonomous Organizations or DAO are autonomous enterprises that are free from managerial biases and corporate bureaucracy. Commercial enterprises can adopt DAO models to streamline functionalities such as custodial services and other options to cut costs and ensure greater transparency for the users.
5G Internet
Digital applications are conditioned with increasing processing speed, faster connectivity, and data storage capacity for the average users. There are complex social media platforms such as Metaverse and interactive virtual workplaces like Mesh are some of the most popular emerging projects that are likely to push the need for earlier adoption of 5G internet.
Investment and Trading
Blockchain has already made a huge impact on the financial sector. Some of the biggest financial firms in the world such as BlackRock and Fidelity are taking an active interest in the adoption of blockchain-based trading products. Blockchain is going to shape the regulatory clarity for virtual assets and serve as a guide rail for the digital evolution of traditional trading instruments.
Enterprise Application Software (EAS)
Blockchain tech is heavily used to upgrade the scalability, functionality, and cost-efficiency of enterprise application software or EAS. Some of the most popular areas of blockchain adoption in this discipline are supply chain, healthcare, IoT, and journalism among others.
Conclusion Blockchain technology has found a way to perform verified transactions by addressing the main pain points in the existing infrastructure. Blockchain is a disruptive tech that is branching out in all directions on account of its universal transmogrify.
