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Question: Explain in your own words, how the blockchain can be used in business and finance?

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Blockchain

Blockchain is a decentralized database that records data in blocks. The data is then distributed across a network of computers, making it difficult to tamper with. This makes blockchain technology ideal for business and financial transactions because the data cannot be easily altered by hackers.

Blockchain can be used in various ways in business and finance

- To create a digital identity for an individual and then allow them to use this identity to access different services without having to go through the identification process every time

• To create a smart contract between two parties where they agree on certain terms, such as payment or delivery, which are automatically executed when the contract is fulfilled
• To store information on supply chains and make them accessible to all involved parties
• To provide transparency of transactions by recording all transactions on an

Question: Explain in your own words the applications of blockchain in business and finance?

Real estate, as stated above. From the vanilla retail customer who wants to buy a house to the tokenization of large real estate investments.

Invoice finance, lots of intermediaries and clunky processes for the most part at the moment. In dire need of a shake up.

Export and import finance, one of the most obvious use cases since it involves numerous third parties and is incredibly costly for businesses.

Question: What is the goal of blockchain applications in finance and business and how does cryptocurrency affect business?

The goal of blockchain applications in finance and business

The goal of blockchain applications in finance and business is decentralized finance, to create an independent and transparent financial ecosystem that is not affected by regulators and the human factor.

Cryptocurrency affects in business

No financial institution in any jurisdiction of the world is responsible for the actions of participants within the system. Therefore, it will not be possible to ask for help or service. If the user loses the password or does something wrong, these are exclusively his problems.
High volatility, including interest rates.

The authorities clearly do not like the inability to control financial flows, therefore they can impose bans or otherwise interfere with the work of decentralized finance. Compared to loans in the traditional finance sector, the amounts that can be obtained under the appropriate security are relatively small.

Infrastructure failures and hacks of smart contracts. If a critical error occurs in any of the protocols, there is a risk of the vulnerability of the entire system, through which you can penetrate to any point in the chain.

In 2021, cybercriminals stole over $10 billion in investments using decentralized finance technology. Fraudsters issue dummy tokens and lure investors with promises of extremely high returns. Uniswap clone software The standard scheme is to wait until the trading in the pool “warms up” and the price of the token jumps up, and then withdraw all the liquidity and disappear with the money.

Example filtered from: https://www.veriff.com/blog/10-billion-usd-stolen-defi-scams-thefts-2021

Question: What is the future of cryptocurrency in business and finance sector. Also give some examples of blockchain applications that are being used in business and finance?

Img source: pexels

Today, people are spending a lot of time in front of their digital device and are doing all their important work. As digitalization is increasing, the way people work is also changing. This change is not only limited to the working sector but is also taking place in the banking and finance sectors.

Tokens are a strong contender as well for a high-ranking currency for the future. NFTs are already starting to be used as a store of value for goods. They even offer the artist commission on each subsequent transaction that happens with their work after it leaves their hands. Potentially a democratizing way to tackle the art of the future, it also harks back to art being considered a viable store of value, particularly amongst wealthy collectors.

Every day, the number of applications and devices that are being used is increasing. The world is moving toward the digital mode. So, there is no sign of slowing down.

In the future, we can expect so many more businesses to jump onto the bitcoin payment wagon, and it would be a win-win situation for both business owners and customers.

Businesses will get their payment fast and into their bank accounts the very next day (using a payment gateway like Coinbase, BitPay which offers instant bitcoins to fiat currency conversion), and customers will get to buy items in a very convenient manner.