Author: Isabelle Yeo
Only if a technology continuously innovates, can it empower the lives of others.
The virtual economy now dominates the market of the blockchain, and the real economy is unfounded. In the 1960s, the virtual economy entered the field of vision as marketable securities and corporate stocks.
From an economic perspective, the virtual economy and the real economy coexist. In the early stages, the virtual economy will promote the development of enterprises and lay a good foundation for the industry. As productivity reaches a certain level, the real economy can gradually develop.
For many physical stores, stock count means overtime for the employees. This is the pain faced by traditional shops. Hence, blockchain is proposed to change the status quo. While many flocks to the market to be part of the blockchain hype, only a small percentage of the blockchain project serves the interest of the public. Although the market is relatively chaotic, we ought to study the ways blockchain could empower the real economy.
Solve the dilemma of inventory
Even a large company will face problems such as huge workload of bookkeeping and inventory. This is a waste of material and financial resources. Other common problems such as business contracts, the tossing and returning, the loss of round-trip mailing, and the issues of trust about the signing parties impacts work efficiency. These problems seem small, but the details determine success or failure. Therefore, the management team is continuously looking for a solution to optimise the process.
The key to solving this problem is to use the time productively.
For instance, the distributed accounting of the blockchain can solve the inventory problem; the smart contract can use the advantages of traceability to help enterprises manage the accounts. Most importantly, smart contracts are measures to reduce costs, but also place the focus on the value.
Optimize industrial ecology
However, the primary issue stems from the construction of blockchain and industrial ecological application.
First of all, the direction of development cannot be changed. The development of a quality economy is precisely the relationship between the real economy, finance, real estate and the Internet.
As more funds flow with the trend of the blockchain, it creates asset bubbles and imbalance in the market.
The deep integration of the real economy and the blockchain is the first choice for optimising the industrial ecology.
Second, promoting trading on the chain is a crucial step because we all know the principle of blockchain technology; although the chain transaction is highly liquid, it can be traced according to the time node, and the entire transaction process can also be recorded.
There are still technical difficulties such as expansion. Currently, we are moving into the era of value on the Internet. Enterprises and Internet giants have been using blockchain technology to solve the pains face by all walks of life. This also demonstrates that the breakthrough of blockchain technology is just around the corner.
The third is to solve third-party’s problems. At present, many third-party service platforms earn profits by earning middlemen’s spreads, and some even have fourth parties, fifth parties, and so on. Such a long industrial chain, and any problem one part of the chain may affect the entire industrial chain. As a result, the third party will have the onus to solve the problem.
The application of blockchain allow peer-to-peer transactions, and the two parties can trust each other from the beginning. Naturally, it would solve the shortcomings of the industry chain.
The development and application of blockchain have always been a concern. However, empowering the real economy is the gateway to a wealth of value.