8 Steps to Implementing Blockchain in Business

Blockchain has become really popular these days and businesses are more than ready it implement it.  Blockchains cut costs for businesses, create efficiencies in processing transactions, and also reduce manual tasks. Given the benefits, it is impossible or businesses such as cheap assignment writing service and many more to resist blockchain implementations.

If you too want to know how to implement blockchain in business then this post has got you covered!

Steps of Implementing Blockchain in Business

1. Identify a Use-case:

Identifying a use case is the first important step when it comes to implementing blockchain in a business.  Identifying a use case basically means that you have to study, clarify, and arrange your requirements for a blockchain.

In this stage, you need to ask yourself a few questions such as why you need blockchain?. It will help you to understand why you need a blockchain implementation for the business and also how you can carry on with your strategies, much better.

By answering these questions you will get rid of any grey areas that are existing in your choice to have a blockchain implementation. As you start taking steps closer to identifying a use case, keep in mind that it is safer for you to take small steps rather than the bigger ones.

You have to spick some relevant blockchain use cases and then have to evaluate, research, and thoroughly explore them. This needs to be done before you utilize them in the implementation of your blockchain as you start seeing the bigger picture.

2. Create A Proof of Concept (POC):

Your next step is to create a valid POC. It is a process that evaluates the practical potential and probability of the blockchain project for any business (Diego Geroni, 2020)

Before making your POC, you must understand the rigid planning phase that leads it. For this, you need to consider a few relevant questions that will help you in a step-by-step evaluation of your POC.

You need to base these questions on your business and its requirements. You would have to consider questions regarding the competition and the challenges of your business. For example, you are running a company of Assignment Help For Midwifery, you need to find out what POC to go for depending on the company’s requirements.

After you have answered the question the basic groundwork for your blockchain Proof of Concept is done. Now you will be clearer about the direction thus avoiding any unnecessary complexities during the development of the POC. Avoiding complexities will prevent you from spending too much time and money on POC development that lacks direction.

How To Create POC?

  • Theoretical Build-up – develop a set of guidelines that clarify the parameter of your project.
  • Prototype – create a prototype that contains code, sketches, architecture, design, etc then test it.
  • MVP – analyze with a minimum set of best features that you desire

3. Selecting the Blockchain:

Next up is selecting a blockchain for your business. This needs to be done deliberately and carefully. In this strategic step, you have to consider factors like your budget and thorough research making. Here is a list of popular blockchains to choose from for your business:

  • Ethereum
  • Quorum
  • Hyperledger Fabric
  • Stellar
  • Corda
  • Openchain
  • Multichain

4. Building & Testing Blockchain Solution:

If you are new to this, then first observe the current blockchain technologies. Choose and implement those that can be modified to cater to your needs. Here are some factors you should consider:

  • Technology depth – the security and consensus it provides and does it supports both public and private blockchains.
  • Technology breadth – if it works with multichain and multiple platforms

The main aspect of blockchain technology is smart contracts. It allows you to transfer important products without a central third party interference thus making the transfer process automatic. You can attach your rules to the contracts. It also provides transparency and ensures that all parties comply with the contract’s rules.

5. Operate and Manage the Network in Production:

Now you have to create the first block of your own. Remember that this block must contain all the characteristics of the chain. This step involves laying the basis for the receiving information.

In this stage, the encrypted token commonly known as the cryptocurrency comes to play. The cryptocurrency will be used to activate the power needed to ensure that the nodes’ communication persistence remains intact.

6. Activating the Blockchain:

After operating and managing the network, all you need to do is activate an application on the blockchain network. This will be a ready application server. Here, you will host each of your applications on the central blockchain.

If you are having hybrid solutions that are applications that are both on-chain and off-chain entities, then it is better that you start them on the cloud server.

7. Selecting an Appropriate Consensus Protocol:

Here is a list of a few Consensus protocols to choose from:

  • Proof of Work – This protocol rewards its miners for giving useful solutions to difficult equations.
  • Proof of Stake – This consensus protocol is where the developer of the following block is chosen through various combinations of random qualifications based on age, wealth, performance, etc.
  • Delegated Proof of Stake – This protocol allows stakeholders to simply elect or vote for representative miners that will build the blocks.

8. Building the Ecosystem:

When multiple stakeholders start getting involved in the blockchain it becomes necessary to have an ecosystem. The ecosystem becomes a community inside the larger blockchain community.

It functions to improve understanding of the blockchain industry and nurturing trust among businesses. To build an ecosystem, the stakeholders have to agree on the following factors:

  • The terms of engagement
  • Ways ensure that costs and rewards are shared without biasness.
  • The mechanisms of authority were created.

Moreover, the design of the blockchain must be purposely done to ensure it easily solves issues with the business. As you know AI has taken over multiple industries (Helpwithdissertation, 2021) It also happens to have a stronghold on blockchains, therefore you can also use it in making the ecosystem.

Endnote

Follow the steps religiously to have flawless blockchain implementation in any business.