The Blockchain is, without doubt, one of the most popular words of recent times. The chain of blocks is a concept that raises a great revolution in the economy and in many other areas: a technology that can change everything.
How Blockchain in Digital Marketing Works and its Potentials Uses/Work
In this post, we talk about the uses of Blockchain in Digital Marketing.
The Blockchain in Digital Marketing and its Possible uses
The blockchain is the technology (the information coding system) that is behind Bitcoin. However, its function goes further. It also serves to create other cryptocurrencies that are based on the same principles but have other properties to have changed the monetary policy or algorithm.
What is the Blockchain?
The Blockchain is a technology that allows the transfer of digital data in a completely secure way thanks to a very sophisticated coding. It is usually compared to a book of accounts of a company where all the entries and exits of money are registered. Of course, in this case, we would talk about a book of digital events.
The Blockchain contributes to a great novelty. And it is that this transfer does not need an intermediary to verify and approve the information, but it is distributed in several independent nodes that register and validate it. Thus, once the information is entered it can not be deleted, only new records can be added. In addition, it will not be legitimized unless most of them agree to do so. The latter is considered the impossible mission.
In summary: it serves to streamline, reduce and secure processes. All transactions will be made with total transparency and intermediaries will be eliminated.
How does the Blockchain work? The 5 keys
1. Transaction
Two parties, Ellie and Sheero, decide to exchange a unit of value (a digital currency, such as bitcoin, or another digital representation of some other asset, such as an educational/professional title) and begin a transaction.
How to Buy a Bitcoin with Safe and Security – A Step by Step Guide
2. Blocks
The transaction is sent with other pending transactions creating a “block”. The block is sent to the network of computers participating in the system.
3. Verification
These computers (also called “miners” in the chain of Bitcoin blocks) value the transactions and, by means of mathematical calculations, they indicate if they are valid, based on agreed rules. When they reach a “consensus” the transactions will be considered verified.
4. Hash
Each verified block of transactions is temporarily sealed with a cryptographic hash. In addition, all blocks contain references to previous block hashes, thus creating a chain of records. This chain will never be classified, it is considered impossible.
5. Execution
The unit of value moves from Ellie’s account to Sheero’s account.
Uses of Blockchain in Digital Marketing
Now that we know what it is and how it works, it is time to discover what its uses are in Digital Marketing and take advantage of it in our strategy.
More security in online shopping
The Blockchain provides full confidence when making transactions. Goodbye to fake ones. With the products within the blockchain could be tracked from its manufacture to its recipient. In this way, we could verify that what we buy is not a copy. This makes the brand stronger and eliminates the possible fear of the consumer to buy something counterfeit.
This is already being done. As a sample, there is a company and its wine with Blockchain certification. Simply scan a QR code of the bottle you will have the exact information from the cultivation of the grapes, each transaction made by the suppliers and the final customer.
Brand responsibility
Until now, if a company intended to do something we could not help but trust its word or resort to a professional (be it a lawyer, a notary, etc.) to be sure that it was fulfilled. This changes with the Blockchain and its smart contracts, that is, they are automatically fulfilled once the parties have agreed to the terms. These cannot be destroyed. A paper can be stolen, disappear, burned, etc. With Blockchain the “promise of the company” is responsible and public.
Is this the end of the trolls?
Think for a moment that to use the Internet we had to use a unique universal card or password. A key that would replace all the previous ones that we used to navigate, for the bank, social networks and other personal data. If all this information were in a Blockchain network would end the anonymity in social networks (happy trolls) and all those who pose as others to attack their competition. This would increase the user’s security.
The user sends
The current debate regarding Blockchain and digital marketing focuses on what to do if the user wants to charge for offering their data or for receiving an advertisement. And, of course, in the universe of the blockchain, each user owns their data. So, for example, if a brand wants to send a message to a user, it would have to ask. The consumer will price the transaction. And it would have to pay the user, but not the medium in which the ad is displayed. Following this, you would have a more faithful user (especially if you have decided to offer your data).
This is all about the Blockchain and its uses in Digital Marketing. I hope this article helps you to learn about blockchain clearly. If you have any queries let me know in the below comment section and we will get back to you to solve all your queries as soon as possible.
Would you like to add any other important points to this article? Then write them to us through contact us page and we will include them in this article once the verification is done.
