The Distributed Ledger Technology (DLT), popularly known as Blockchain, was first introduced in 2008 as the backbone of Bitcoin, the world’s first decentralized crypto-currency. Since then, there has been a steady rise in the popularity and debates around Bitcoin, and several other alternate currencies. However, what strikes us the most is the technology behind these currencies – Blockchain.
Blockchain enables faster, secure and more transparent peer-to-peer transactions, which can be verified without the need of a central authority. It holds the potential to be a major disruption across industries, by making the current business processes more efficient, transparent and less expensive. In fact, it could potentially replace the existing legacy systems, which haven’t kept pace with the technological advancements. Some of the striking benefits of Blockchain include:
- Increased speed of transactions, without verification by central authorities.
- Improved auditability and monitoring of transactions.
- Reduced settlement and fraud risk.
- Real-time reconciliation.
- Ability for small value transactions, with minimal fees.