What is the blockchain?
‘Blockchain’ is the latest trending technology that is emerging today. It is a concept that guarantees data security through ‘cryptography’. It is an ever-growing list of records called blocks, which are internally linked together by typically containing a cryptographic hash code of the previous block.
“Blockchain is basically an open and distributed digital ledger that can record transactions between two parties efficiently and securely. It follows a peer-to-peer (decentralized and distributed) architecture.”
How block chain guarantees the highest level of security? Or how does it work?
Blockchain can provide the highest degree of security, which is why it has been used to store transactional data. It works in a way that shortly after the first block has been created, each adjacent block in the ledger uses the hash of the previous block to calculate its own hash. Before adding a new block to the chain, the authenticity and uniqueness must be verified through a computational process. And this process also includes permission and assurance from the other blocks that the newly added block has been verified. This validation process also ensures that all copies of the distributed ledger share the same state.
Due to this mechanism of adding hashes and checks, the newly added block can be referenced in subsequent blocks, but cannot be changed. If someone tries to swap or hamper a block, the hashes of the blocks before and after it will also change and break the shared state of the ledger. Whenever this situation occurs, other computers on the network know that a problem has occurred and no new blocks will be added to the chain until the problem is resolved. And then the block causing the error will be discarded and the whole validation process will be repeated.
How can Blockchain benefit CRM?
With CRM software, Blockchain can actually add interesting data security features (options). CRM integration with Blockchain allows the organization to have verified (or verifiable) records that are protected by Blockchain technology. especially if the CRM is cloud-based.
That means you can benefit the CRM application by restricting access to crawl data from unwanted sources. Today’s CRM users around the world are facing issues of duplicate or incorrect data. Since Blockchain technology stores data in the form of blocks, it could allow a customer to own a separate block that uniquely represents him and his personal information, related transaction details, and other relevant data.
Blockchain restricts duplicate or risky data from cluttering the database and thus speeds up CRM processes and ensures customer satisfaction.
