Corporate

Investing in Blockchain Technology

Entrepreneurs and businesses of all levels can invest in blockchain technologies directly, from early investments of small amounts, to equity shares worth big numbers, investors can begin investing in the technology at all income slabs.

Cryptocurrency Investments
Cryptocurrencies can be viewed as a new kind of digital commodity and can act as a catalyst for distributed ledger networks, as well as mediums of exchange to buy goods and services. Investing in crypto currencies in the early stages may seem a little risky, however, consistency will bear results. You can take into account a range of variables while investing in crypto currencies such as entry price, exit strategy and secure storage.

Venture Investing
Venture capital funding, in Blockchain, has been of significant numbers  overall. This type of investment can also have different levels of entry, with initial investments being of relatively small figures and you can work your way up from there. If a business can seek growth with great outcomes, a venture capitalist may consider being a partner in the business.

Digital Asset Acquisitions
This is relatively safe method of directly investing into blockchain technology.  By way of this method, investors can maintain direct command over their investment, while enjoying the benefits of investment appreciation. This method of investing is believed to be the most risk-averse investment strategy.

Stocks
Acquiring blockchain stocks in companies with blockchain technology is no different than buying stock in any other company. Investing in publicly traded blockchain entities allows investors to gain a stake in the company working on blockchain technology. The Bitcoin Investment Trust gives investors, exposure to the price movement of bitcoin without them having to buy, store, and safe-keep bitcoins.

Smart contracts and the blockchain
Blockchain is basically one gigantic ledger which no one person owns.  If any one of the ledger receives an update of a new transaction, then everyone in the network will receive the same update but, everyone in the network must agree that the update is valid.  Each transaction is entered in a file which when gets full, creates a new file or block and each block is chained by the used of a hash key value.All banking transactions like deposits, withdrawals, new accounts, account inquiries are saved in a centralised database. Blockchain eliminates the middleman and it creates a system where everyone has the same data and any changes to a record must be consensus.

A smart contract is almost like a traditional contract but  it has rules and conditions that is written in software code.  This causes conditions to be  automatically enforced by some algorithm. Smart contract aims to optimise cost, time, and route.

Blockchain increased transparency, fraud and lowered intermediary costs
The possibilities of a smart contract on a blockchain technology provides so many opportunities. With smart contract, applications are able to track items in real time and know that the data is genuine.  Perfect for supply chain management systems.