Blockchain technology is a network run and administered by many computers but is not owned by any group; hence no one has authority over it. The information in it can be accessed by everyone, and every person accessing it is held accountable for their actions. Blockchain is one of the most natural methods of passing information from one person to another (Kianieff, 2019). Every piece of information in it is connected hence enhancing the safety of data. Blockchain technology was the foundation on which bitcoin operates, and once records have been entered, they cannot be easily erased. It provided a platform that enabled business people to carry out their transactions easily and more effectively.
1. It Helps Businesses To Create A Chain Of Network.
Blockchain technology has come up with several networks that help all types of businesses to expand, for example, a network of contact referrals where people can refer each other to do many businesses on behalf of the owner of the business, and they become the sales agents. They can teach others how to do business. This will benefit not only them but also the business owner.
2. It Helps In Accessing Bank Services.
This technology has helped a number of people without bank accounts and credit cards to be able to access bank services. Blockchain technology has come up with some online initiatives such as Bitcoin, which help these people to receive and send money using the online platform (Anshari, Almunawar, and Masri, 2019). Most of these people are found in developing countries and some parts of the U.S
3. There Is Less Time Wastage.
Blockchain technology has helped in reducing the amount of time spent in doing transactions, and they are carried out in the simplest way possible and are not expensive to be done. This technology has come up with a software application that enables those people doing business to run their businesses more effectively since it secures their information.
Is Blockchain Technology A Disruptive Platform?
Blockchain is considered the most disruptive technology in the world because of its potential to motivate people to do their transactions online. A number of organizations weigh out the effects that could arise to their businesses if they do away with blockchain technology. It has changed the methods used to associate with other people which are based on the concept of trust, in the sense that everyone can access information that is verified by a number of computers. This information is stored, changed, and tracked by a number of networks that maintain its safety. it has allowed people to carry out a number of transactions without necessarily having to rely on the authority of a lawyer. Things such as Bitcoin have made this technology disruptive because bitcoin is an idea that has not been adopted by many people. For it to be accepted, it has to be more flexible and increase its speed of doing transactions.
How did the Deutsche Bank managers lay the foundations for commercializing blockchain?
After analyzing the changes that blockchain technology had brought to the Deutsche bank, they decided to update their system and their services to become more digitalized and to enhance their operations to keep up with the new changes the blockchain technology brought about. They had a vision that comes 2020 they will have achieved the targeted measures to adopt the technology. So they came up with an initiative to invest more so as to update their technology and start offering online services that would draw more customers and meet their excepted growth. They, therefore, came with a strategy of creating awareness and educating their team, and training them to adapt to the new technology, which is blockchain technology (Enrich, 2020). They created an online platform that enabled them and everyone who was viewing to learn more about blockchain technology. This platform was essential in that it allowed people to interact and ask questions regarding the advantages and disadvantages of implementing this technology.
How Should Deutsche Bank Move Ahead To Start Creating Value From Blockchain? Which Critical Issues Should It Consider?
The Deutsche bank should come up with a strategy that will help them create awareness about blockchain technology. By doing so, they will be able to analyze the number of people who might be interested in this type of technology and come up with the decision of whether to adopt it or not. They can get feedback about this technology in their various branches because they are able to reach out to many people (Hofmann, Strewe, and Bosia, 2017). The bank has come up with a number of labs that focus on blockchain technology, and they are planning to open more because their main objective is for the banks to be more creative and adopt blockchain technology. However, there are a number of key issues they will have to consider which includes;
One of the key issues they should consider is that of the safety of information of its customers if they will have to adopt blockchain technology. Customers are going to build trust with them if only they know that they can do major transactions with them and still remain safe. If this technology proves to be safe, then the bank will implement it and recommend it to be used by other banks. The other issue that they will have to address is that of customers using a software application such as smart cards that reduce the need to have an intermediary. One of the functions of a bank is acting as a link between parties. If they have to use these cards, then their role will change. They are therefore required to find out a means of survival if they have to use blockchain technology.
In a nutshell, I will say blockchain technology has several challenges that need to be addressed to be adopted by all. However, it has its benefits which have enabled transactions to be carried out more effectively. By using this technology, banks can conduct their operations efficiently, which leads to creating trust among their customers. This technology has several advantages that it can be essential to all users. Creating awareness and educating people on the importance of this technology are all the efforts that need to be emphasized. If banks need to be more digitalized in all their operations, then they should consider using blockchain technology.