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What is Enterprise Blockchain and How It is Disrupting the Traditional-oriented Financial Institutions

Enterprise blockchain refers to the adoption of blockchain technology by businesses and enterprises to streamline their operations and increase efficiency. It involves the use of distributed ledgers to maintain and record transactions across multiple parties in a secure and transparent manner. By using a decentralized ledger, businesses can ensure that all parties involved in a transaction have access to the same information, reducing the risk of fraud and errors.

An enterprise blockchain platform enables the development of permissioned blockchain applications. The different enterprise blockchain platforms are

  • Ethereum,
  • Hyperledger Fabric,
  • Hyperledger Sawtooth,
  • Ripple,
  • Quorum,
  • XDC,
  • R3 Corda,
  • Tezos, etc.

Enterprise blockchain can increase efficiency and reduce costs. By automating many of the processes involved in transactions, businesses can eliminate the need for intermediaries and reduce the time and resources needed to complete transactions. Enterprise blockchain can help businesses comply with regulatory requirements and reduce the risk of non-compliance. By providing a secure and transparent record of transactions, businesses can demonstrate to regulators that they are operating in a compliant manner.

The adoption of enterprise blockchain is inevitable because it helps businesses streamline operations, increase efficiency, and improve security and transparency, so businesses can stay ahead of the competition and thrive in today’s rapidly changing business environment.

The Impact of Enterprise Blockchain technology in the financial industry:

Blockchain technology was developed to provide a decentralized and distributed digital ledger that records transactions across many computers, ensuring that the record cannot be altered retroactively without the alteration of all subsequent blocks and the collusion of the network.

Since the first Bitcoin was mined, the use of cryptocurrencies has continued to provide appealing solutions to problems across the financial industries, and it has the potential to shut down many traditional-oriented financial institutions by providing solutions such as:

  1. Enhanced Financial Services –

The development of cryptocurrencies on the blockchain requires only a few programmers. This saves time, money, and the stress of bank authority’s boss-talks. There is improved trust amongst users as all of the circle must approve a transaction before it can be made. This is achievable because the ledger of transactions is public, distributed, and verifiable.

  1. Feasibility in Foreign Currency Exchange Solutions

Blockchain technology provides a faster and more secure medium for financial transactions. The fluctuation in currency exchange rates does not deter transactions because this medium has its own standard. Initially, there is no need to pay anyone/third-party extra charges that can range from 5% to 10%, and most times, it goes above, especially when you are in a troublesome border area.

  1. Advanced Supply Chain, AI, and IoT Integration

Blockchain technology can help keep an extensive and secure record of serial numbers, transportation history, and ownership, with a high degree of transparency and efficiency in the process. It can also help enforce international customs regulations. The interconnectivity of the tech peripherals required in this process has to do with the IoT, and their high degree of automated intelligence is an attribute of AI in the blockchain.

  1. Retail and E-Commerce Approved Transactions

Retail and e-commerce industry leaders are increasingly approving the innovation of blockchain technology as it can help them with faster and more secure financial transactions. Tech giants such as Microsoft are also working to incorporate blockchain technology tendencies and hoping to make it more accessible to the public in a more advanced and easier-to-access medium.

  1. Security for User Identity

Blockchain allows users to closely and securely monitor how they use their personal data. This spans beyond international travel to financial loans, healthcare records, and private information concerns. This technology helps you to store verified identity information which allows for quicker, more efficient proof of identity without the need for third-party verification. It also supports effective online identity verification, which is believed to be a game-changer in the way businesses collect and use user data.

As the future goes on, we can expect more from the blockchain industry, and it is important to keep in mind that blockchain is a self-will thing. If you wish to engage in the opportunities of blockchain, at the same time, you should expect the negatives but the advantages are more.

Based on current trends, some of – The Most Successful Enterprise Blockchain Technology Companies to date are:

  1. IBM: IBM has been a leader in enterprise blockchain technology and is expected to continue to be a major player in the industry in the future. IBM’s blockchain platform offers enterprise-grade security and scalability, making it a popular choice among large corporations.
  2. Microsoft: Microsoft’s Azure Blockchain platform is another popular choice among enterprise customers. The platform offers a range of tools and services to build and deploy blockchain applications quickly and easily.
  3. Oracle: Oracle has been investing heavily in blockchain technology in recent years and has developed a number of blockchain-based solutions for supply chain management and other enterprise applications.
  4. Amazon Web Services (AWS): AWS has also been expanding its blockchain offerings, providing a range of tools and services for developing and deploying blockchain applications.
  5. ConsenSys: ConsenSys is a blockchain software development company that offers a range of solutions for enterprise customers. The company has developed a number of blockchain-based applications for supply chain management, finance, and other industries.
  6. R3: R3 is a blockchain technology company that offers a range of solutions for financial services, including a blockchain platform for financial institutions.
  7. Chain: Chain is another blockchain technology company that offers solutions for financial services, including a blockchain platform for managing assets and transactions.

As time passes, an increasing number of companies will join the ranks of those that continuously innovate and adapt to market changes. Rather than being intimidated by market challenges, they emerge even stronger. These companies thrive amidst intense market disruptions, becoming increasingly disruptive themselves.

  • By Chidiebere Moses Ogbodo
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