Blockchain is the technology behind cryptocurrencies – digital currencies that have emerged as the most innovative alternative to traditional, decentralized fiat-based payment systems. Cryptocurrencies utilise blockchain’s decentralized approach to enable digital payments that are truly trustless, fast and very secure. Beyond online payments, cryptocurrencies and blockchain technology have potential uses in a wide range of industries, including e-commerce.
Blockchain and E-commerce
The blockchain revolution started with digital payments, with bitcoin presented as a better, more secure and decentralized alternative to fiat payments. Though it is hard to say when exactly this will happen, crypto will eventually dominate the payments industry and people will start using it as a standard means for making payments.
There are multiple reasons why crypto-based payments are better. First, blockchain technology ensures all transactions, including payments on its network are transparent and decentralized. This ensures there is little or no role of middlemen and the transactions are secure and private. Moreover, it allows users to have complete control over their private data and funds. Though transactions on a blockchain are encrypted, they can be easily verified in case of a dispute and are nearly impossible to corrupt because everything is public and managed by thousands of nodes distributed worldwide. In addition, blockchain-based payments happen at the relatively lowest cost and at a much faster speed, which is particularly beneficial for cross-border payments.
The innovation of digital payments with blockchain can play a significant role in the e-commerce industry, as payments happen to be a big part of online shopping transactions. With blockchain, e-commerce payments are secure, faster and more convenient. Libra is a perfect example of this.
The Libra Ecosystem is a blockchain-based platform that offers a range of e-commerce solutions and products, including a cutting-edge digital payment system based on blockchain and backed by Libra Pay (feature-rich digital wallet to manage & pay with cryptocurrencies) and LC Store (a next-gen e-commerce store fueled by the Libra coin). The Libra coin was created with the aim to help solve the various e-commerce industry problems, including the need & cost of middlemen, huge transaction fees, limited payment options, lack of security, and inability to pay in crypto.
The best part is that even consumers are loving this latest development, as they find crypto payments both convenient and affordable. The growing use of bitcoin for payments at local and online stores is a good example of this. But, Libra will have a bigger and better presence through a multitude of options, products and services such as the Libra Pay mobile app, Libra card, Libra ATM, Libra PoS, and others. Merchants and customers will be able to use Libra’s digital payment system to conveniently and securely accept/make payments directly to each other anywhere in the world. By eradicating the concept of middlemen, Libra offers greater autonomy to customers along with more freedom and control over their data.
What Does the Future Hold?
Well, it’s not possible to predict exactly what will happen in the future, but given the rapid growth in digital payment systems and online platforms based on blockchain technology, it is safe to assume that blockchain is going to have an immense role in the future’s online markets. Basically, it’s only a matter of when. And with projects like Libra, the future seems only near.