Although blockchain technology was initially designed to facilitate transactions for Bitcoin, it has become clear over the past decade that there are numerous uses for this technology.
Its potential is both exciting and disruptive simultaneously. According to Deltec Bank, “There is a real possibility that blockchain could revolutionize the way that consumers interact with businesses.”
Blockchain is already being used by today’s largest companies to facilitate B2C payments. It’s a fast and easy way to enhance the client experience in multiple ways.
What Is the Primary B2C Benefit of Blockchain?
Consumers must go through a lengthy claims process whenever something unexpected happens to their health or an expensive asset.
Think back to the last time you had to file an auto insurance claim. How long did it take for you to get a check for the damage to your car after initiating the process?
You could also reflect on the last time you visited your doctor. How many forms did you need to fill out to describe your medical history?
Blockchain offers smart contracts that can be sent to every participant in the same simultaneously. It automatically and securely completes the steps needed to verify specific actions. That means there are fewer paperwork responsibilities to cover because the chain of events is transparently documented within this technology.
This Idea Can Apply to Loan Processing
When you apply for a loan or a mortgage, then the paperwork needs can become quite complicated. There are multiple stakeholders involved who all want specific processes followed. That means the entire process is inefficient.
It is a structure that encourages human errors instead of preventing them.
Delays in these methods can lead to a lot of frustration. Applying B2C payments to the blockchain makes it a more straightforward, cheaper process for everyone. Smart contracts could verify land ownership, communicate with stakeholders, and even fulfill taxation or legal requirements to create faster transactions.
Blockchain could eventually reduce or eliminate the need to have lawyers involved in these high-level transactions. That means consumers benefit from reduced costs and less time investment. Companies will keep their profits while providing a better, more supportive experience to each customer.
Automatic Payments Could Be Part of the Blockchain
Another concept to consider with B2C payments and blockchain involve its smart contracts with sensors or artificial intelligence.
Imagine a world where you enter a parking garage. A sensor reads your license plate number as you park in one of the stalls. Then it registers that information on the blockchain.
When you drive away from the parking spot, then the sensor records the time once again. A simple calculation gets made in the smart contract, making it possible to determine what fees you owe for this service as a consumer. Then blockchain could immediately deduct that figure from your account so that you don’t need to worry about lost tickets or tokens.
Blockchain allows B2C payments to send, receive, and track financial data without additional fees or charges. This benefit also applies to cross-border transactions. That means we can all do more with our wealth.
Disclaimer: The author of this text, Robin Trehan, has an Undergraduate degree in Economics, Masters in international business and finance and MBA in electronic business. Trehan is Senior VP at Deltec International www.deltecbank.com. The views, thoughts, and opinions expressed in this text are solely the views of the author, and not necessarily reflecting the views of Deltec International Group, its subsidiaries and/or employees.
About Deltec Bank
Headquartered in The Bahamas, Deltec is an independent financial services group that delivers bespoke solutions to meet clients’ unique needs. The Deltec group of companies includes Deltec Bank & Trust Limited, Deltec Fund Services Limited, and Deltec Investment Advisers Limited, Deltec Securities Ltd. and Long Cay Captive Management.