Not that long ago “blockchain” was being touted as a magic word that could solve any business issue you could imagine. Whether you were aiming to attract investments, increase your client database, or just make more buzz about your project in mass media, blockchain was the one-and-only way to achieve your goal.
Now that the hype is over, however, it’s become increasingly obvious that the technology has its pros and cons just like any other.
So, is blockchain a suitable solution for your project? Let’s find out!
Do you strive to create a decentralized marketplace?
Building a peer-to-peer platform is among top reasons for choosing blockchain. Decentralization provides indisputable benefits for all stakeholders.
As there is no single data hub, accessing user accounts becomes almost impossible even for 80lvl hackers. And it becomes harder with each user who joins your network.
All transactions are recorded to a public ledger, which can be viewed by all parties. At the same time, the technology can ensure that all parties have agreed upon the terms of the transaction.
- No middlemen
Blockchain algorithms replace rent-seeking third parties, thus allowing fees to be reduced or eliminated.
There are dozens of other benefits that make P2P trading the №1 option for startups and users, but if your industry or business model requires centralization, blockchain is more likely to complicate your job than to facilitate profit.
Are you dealing with digitally delivered goods?
If you distribute physical assets that need transportation, then blockchain may not be that good for you. Still, if your product is digital, decentralization will significantly upgrade your logistics and include a few other added perks like copyright protection.
Is timing crucial for you?
At best, blockchain transactions may take a few milliseconds and, at worst, a few minutes to process. So, if your app requires an instant response, then blockchain will hog tie rather than boost your transactions.
Despite a few limitations, blockchain technology still possesses huge potential to become a foundation for groundbreaking solutions.
Still not sure if it suits your goals? Contact Intersog experts for a consultation. We’ll help you choose the best way to grow a successful business.