How blockchain is enabling new ways of doing business

Blockchain works by establishing a peer-to-peer network where each participant maintains a database—a ledger—of all the network’s transactions.

By Madhusudan Shekar

As the world becomes more interconnected, opportunities for companies and individuals to interact and transact across borders, time zones and channels grow quickly. To make sure these run smoothly, proactive management—to ensure minimisation of cost, lowering of risk, and elimination of inefficiencies—is needed.

Distributed ledger technology (DLT) such as blockchain helps simplify transactions and conduct efficient, secure interactions with multiple independent parties around the globe, without the need for a third-party intermediary. These transactions can vary from sending anything from farm data to banking and contract transactions.

Blockchain works by establishing a peer-to-peer network where each participant maintains a database—a ledger—of all the network’s transactions. Compiled into “blocks”, transactions are then linked together using cryptographic hashes forming a “chain”. The cryptographically-connected blocks create an underlying data layer that provides a common, unified view of information for parties who can access the data. This gives organisations a new way of establishing trusted business networks. Today, building a scalable blockchain network with existing technologies is complex to set up and hard to manage. To create a blockchain network, each network member needs to manually provision hardware, install software, create and manage certificates for access control, and configure networking components. Once the blockchain network is running, you need to monitor the infrastructure and adapt to changes, such as an increase in transaction requests, or new members joining or leaving the network.

Blockchain is addressing customer pain-points and enabling new ways of doing business.

Use case 1: Farmers collect large volumes of data during planting and harvesting….

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