For B2B companies, blockchain can represent virtual banks, giving them the ability to move money, complete transactions among others. The disadvantage is the lack of regulation. However, the advantages make blockchain the ideal choice for many—the lack of business hours, no monitoring and fewer restrictions.
As blockchain is open to everyone on the network, it creates shared versions of events, thus improving supply chain efficiencies, even improving collaboration and streamlining the resolution processes when it comes to disputes that occur at the time of payment. Blockchain will not replace legacy supply chain software but works with up, and coming technologies, like the Internet of Things and the expanding data, flows it offers that are ideal for blockchain to thrive.
With trust being an essential aspect of B2B success, blockchain presents the ideal opportunity for creating relationships in business at a much lower cost. Traditional B2B businesses check a buyer’s credit score, insist on secure payment forms and employ credit management policies that help them mitigate risks. As blockchain requires every element of the chain to be modified in order to be successfully hacked—which is impossible—it offers the ideal way to conduct business without dealing with intermediaries.
