Cryptocurrencies, and blockchain technology in general, are believed to be the new future. These financial and technological advancements are expected to make big changes in the current system that will mainly benefit small businesses and ordinary folks. So if you’re a small business owner, who’s currently struggling due to the pandemic or looming financial crisis, you’re definitely not alone. Since businesses have become more and more prominent, here are some ways that adopting them can benefit from blockchain.

It can help reduce various costs

Owning a business means constantly paying different fees, and all of that together can pose a heavy financial strain on your business. All payment methods go through banks, and banks are notorious when it comes to charging fees and any extra costs. This is also true if you’re selling your products or services online: every time a customer makes a purchase using a credit card, you’re losing money, as it goes to the bank.

Digital currencies, on the other hand, rely on transparency, and they also reduce/eliminate all the additional costs and fees.                         

It promotes trust and transparency

Millennials are especially concerned with financial trust and transparency since they’ve witnessed their parents losing everything in the 2008 credit crunch. Now, millennials are adults in their late 20s and 30s, and they’re the main deciding factor in the consumer’s market. Since they’re focused on transparency, equality, fairness, and ecological sustainability, blockchain is greatly beneficial as it stores and provides all the relevant information.

Adopting blockchain can make it easier to go global

Putting your products and services on the international market is a lengthy and costly process with multiple barriers to entry. And since cryptocurrency (and with it, blockchain) are in high demand, it also has the potential to go global, which is great if you have similar ambitions with your business.  Plus, adopting blockchain will eliminate all those high costs associated with currency exchange rates and international transactions.

With blockchain and cryptocurrencies, you will only need the best online crypto wallet for business as that will be more than enough to lead your company into the new age of abundance and financial transparency.

Blockchain can keep all your data safe and secure

As much as we’d like to believe otherwise, banks are often vulnerable to malicious attacks from the outside. Plus, banks have been doing some questionable things with your money for years now, which can be dangerous if you’re a business owner.

And with the rise of technology (smartphones) and social media, many corporations have been starting to collect data about every individual or business. Although that might be justifiable at times, it’s also a severe violation of privacy. When you decide to incorporate blockchain, your data will be safely stored and secure, and you’ll be the only one with the power to share it.

This technology reduces the need for middlemen

Middlemen such as banks, who act as transaction intermediaries, manage all the transactions and earn profit from them. Small businesses simply have no choice but to use third parties, even though doing so has a negative impact on their finances. Such third parties act as a point and source of verification and make everyone feel secure about transactions.

But blockchain can do exactly the same without any third party or external verification. Therefore, opting for blockchain technology can significantly reduce or totally avoid the need for middlemen such as banks, lawyers or brokers, while still providing transparency and safety, because blockchain users will verify all the transactions anyway.

Promoting decentralized financial structure

Decentralized finances structures mean that there is no central figure (World Bank or IMF for example). Many crypto and blockchain experts agree that creating an ecosystem where sharing data with no single authority in charge is a refreshing concept. When everyone in the chain needs information from other participants in that chain, and there’s no one in charge, it creates trust and bond, which is greatly reflected in supply chains, for example.

Cryptocurrency and blockchain are still new concepts for many, but it’s safe to say that they are promising, especially to those who have been damaged by traditional financial power structures. Adopting blockchain and crypto can be great for any small business owner, as it eliminates costs, promotes transparency, and improves security on all levels.