BLOCKCHAIN is a new platform for better accounting and bookkeeping processing
The continuous growth of new businesses every day brings an increment to the financial market. Demand for a quick turnaround augments the digital processing of financial data. But as more and more demands are processed at the minute, the system fails to respond quickly and accurately, causing businesses to depreciate due to time and financial loss.
With this in mind, Forbes released an article last June 2017, declaring BLOCKCHAIN as the rising technology slowly transforming the financial world.
“Blockchain is the technology that underlies bitcoin—the cryptocurrency—but it is not synonymous with bitcoin. At its core, blockchain is a ledger of transactions similar to a database.” – Forbes
BLOCKCHAIN is a computer program currently changing the financial world by being a platform for fairer, accurate and secure business transactions. It does this by having a more open and accessible software, therefore eliminating sole ownership and other intermediaries that can control the movement and the price of the financial process.
Blockchain also serves as a distributed ledger that allows access to all necessary parties. This method allows transactions, statements and agreements to be viewable and available at all times, increasing the probability of better financial management. The future of accounting and bookkeeping rests on Blockchain for all software are bound to upgrade to this new and safer way of handling financial accounts.
Forbes lists the advantages of using Blockchain technology
Easier transactions due to faster movement of money
Since this method allows for no sole control over financial transactions, the movement of money is made faster for there are no more intermediaries that slow done the process of such engagements.
Blockchain uses cryptocurrencies that make transactions quicker since the system moves within the cloud. Cyrptocurrency is the digital equivalent of real money used in the digital world to facilitate large transactions in the cloud. This kind of system then offers less hassle than actually going to the bank to manually process the transaction. With the process happening digitally, everything is made more efficient and much more accurate.
Securing transfer of assets and verifying documents
As a ledger, Blockchain can keep all records of your agreements. With this, you can trace the development of your transfers and source the original record of your agreement. This will give both parties in the negotiation a copy of your agreements, therefore, preventing future disputes regarding your transaction.
Through this method, both bodies can verify a document anytime and anywhere. Blockchain includes a time stamp on documents uploaded in their program and is secured with a hash string. This makes sure that no tampering is done in the document and it cannot be changed once everything is put on file.
Transparency in financial audits and bookkeeping
The Blockchain method uses a more efficient way of recording your books and sending financial statements to all bodies. Rather than double-entry bookkeeping, Blockchain offers triple-entry bookkeeping to keep all parties up to date with their financial engagements. Records will be given to the debtor and the creditor, and then a copy shall also be saved to the software’s network for safety measures.