E-commerce platforms like Amazon, JD, and eBay revolutionized the way we used to shop. With insanely low prices and huge variety of products, they are providing tremendous benefits to the consumers. According to recent research, the global e-commerce market is eyeing to reach $135 billion by 2023. While the industry is flourishing, issues related to payments, supply chain management, data securities, etc. are becoming to be the major setbacks. E-commerce giants are facing a hard time in trying to overcome these challenges.
The blockchain is a well-known technology that has the potential to disrupt numerous industries including the e-commerce. The decentralized technology can help the industry to overcome these hurdles through skillful implementations. This could be interesting to see how blockchain benefits e-commerce industry.
Why Blockchain Seems the Solution?
Blockchain is a innovative technology that combines decentralization with an immutable digital ledger to store data for lifetime preventing the risk of frauds. Blockchain technology with its attributes can smoothen the processes of the e-commerce industry and eliminate frauds to a great extent. Most importantly, blockchain can also make the payments faster and safer for sellers as well as retailers.
Blockchain benefits E-commerce: Here’s How
Blockchain can make a huge difference when it comes to e-commerce industry. Here are some of the benefits that blockchain technology can bring on the table.
- Efficient and Secure Payments
The current payment system is far from how it should be. Despite major platforms including PayPal and Stripe, payment services leave a lot to be desired. Blockchain can bring visible changes in the payments with P2P transactions through smart contracts.
- Smoothening the Supply Chain
The blockchain is a much need solution for the supply chain in the fast-moving world of e-commerce. As blockchain is decentralized and every user has an updated copy, it can make the supply chain more transparent, helping increase customer confidence.
- Eliminating the Risk of Frauds
The blockchain is an immutable digital ledger that stores transactions for a lifetime. This could facilitate the e-commerce industry by preventing the risk of frauds and providing a safer environment to the customers.
- Data Securities
E-commerce platforms store some vital information about the customers including the account credentials, bank card details, and personal contact information. Therefore, it becomes mandatory to keep the data safe and far from the reach of hackers.
Blockchain can keep the data decentralized, thus, making it virtually impossible for the hackers to steal the data.
Some Notable Applications
ECoinmerce is a social e-commerce platform backed up by blockchain which aims to provide a secured platform for buying and selling digital assets such as photos, videos, product pages, reviews and much more.
Storiqa is a platform that offers cutting-edge e-commerce technology and integrated smart contracts to make the transactions fast and secure.
Blockchain technology has the potential to become the backbone of the e-commerce industry. The e-commerce giants are constantly trying to implement the blockchain technology in their business processes.
If you too are interested in using blockchain, share your business idea and get expert insights on the blockchain technology.
Also published on Medium.