Like data is the new oil, the Blockchain industry is the new Gold, real Estate, or another king in the financial market that will always benefit you. Who would have thought that a virtual currency will be changing the shape and course of the world’s financial industry in such a tangible way? Well, it’s happening, and it’s happening fast and we need to be prepared for that change.
So, let’s first understand what exactly is this Blockchain technology and why the world is so fascinated with it at the moment?
Primarily, all this trade happens through Bitcoin online exchanges, and for any act of buying, selling, or spending Bitcoin, its public and private keys are encrypted and decoded.
So, why the world is so fascinated with this industry right now?
That’s because certain traits of the industry are what the other industries lack. For example, it’s decentralized, it’s unregulated, it’s volatile, there is no government intervention, it’s completely transparent, there is no middlemen or intermediary, there is no traceability, etc. All of these traits are not present in other industries and that’s what the most tempting. For more information visit https://insidebitcoins.com/bitcoin-robot/bitcoin-equaliser.
So, the whole world is witnessing this change closely and they see the potential in how can it change the entire shape of the financial industry:
Insurance industry
There is a lot of fraud that happens because of so much manual intervention in the industry. All the data is recorded manually which makes way for a lot of discrepancies, manual frauds, and miscreant policies. Many people would make fraud claims and that will lead to a lot of issues. This will eventually lead to a lot of delays and that will certainly add to the cost of processing.
But instead, if we create all those policies and all that data on blockchain technologies, it will so much simpler and easier to process. This would add so much convenience to the process on both the claimer and the agency’s part. The added transparency and fast-processing will automate the whole process and make the whole thing better. This will reduce the chances of frauds, losses, delays, and postponements.
Asset management
Asset management is a very hectic, long, and complicated process. It’s completely manual and all the work is taken care of by the agents who just dig deep and do all the processes manually. The process gets even more difficult when international trades are involved and cross border transactions are involved.
There are a lot of agents involved in the whole asset management process. It’s the brokers, dealers, the middlemen, the investing agencies, third parties, and the processing agencies. We can get away with all these people by just employing this simple Blockchain technology in the asset management process. The simple ledger in Blockchain technology will carry all the information about these transactions in the ledger which is shared over the network.
This will simplify and automate the whole process and all the work of these third parties will be done by the ledger. All this information will be shared with all the parties over this network which will be cost-effective, quick, efficient and transparent, etc.
Payment industry
Transferring money is a simple and easy process only if it’s within the geographical boundaries of your country. The moment it surpasses that boundary it gets so difficult to carry out. International transactions are so difficult to carry out and they take so long to process, then there is this issue of converting the currencies which adds to the cost and the stress. Blockchain will offer the most convenient solution to this problem.
With this technology in place, it will be so much easier to carry out international transactions. It will connect the whole world through one payment mode which has not been done before. The banks and major financial institutions are already on their way to adopt blockchain technology and it will soon become a trend. In fact, many big brands are starting to accept Bitcoin as a mode of payment and it will just add more credibility to this whole system.