With blockchain finding uses in almost every sector and business space, how could e-commerce stay behind? There are a number of companies and projects already experimenting with the use of blockchain in the e-commerce space in order to make processes more efficient, cost-effective, transparent and secure. And if the results are any indication, blockchain is all set to disrupt the e-commerce industry for good.

While traditional e-commerce platforms and marketplaces continue to operate in a centralized manner where the complete control is in the hands of the platform owner and customers usually have little power over their data, transactions and payments, blockchain provides a way of shifting the power back to consumers by creating a transparent and fair online barter system, where cryptocurrencies are the primary means of payment.

Do we really need a blockchain-based e-commerce platform?

Yes, we do.

Traditional e-comemrce systems are not nearly perfect. Not only do they lack transparency but also management and security of data is complete chaos. Apart from a couple of large e-commmerce platforms, most of the small marketplaces do not have the resources or capability to manage the enormous amount of user data, transactions, inventory, payments, etc. and can certainly not guarantee the security of this data.

Hacking, online theft and other cyber security issues are very common in the online commerce space. This is expected from a centralized system, where everything is stored in one place with a single point of access.

Moreover, there is limited transparency when it comes to the supply chain. Users have no way to know how the product they are using was sourced, whether it’s sustainably produced and can never verify the product origin. Also, everything from manufacturing to product pricing and delivery is controlled by third parties (intermediaries) who not only have access to uses’ private information but can manipulate product prices and the delivery time as they find appropriate. All this affects the end-user who has little say in the matter.

Another thing where blockchain can help improve things in e-commerce is the number and type of payment options available to online users. As of now, most online marketplaces only provide traditional payment methods like credit/debit cards, internet banking, wallets, etc. This greatly limits their reach and prevent those with no access to basic banking facilities to shop online.

Blockchain can help change all that by making e-commerce processes more efficient and cost-effective. Here’s how.

Blockchain-based e-commerce benefits

The inclusion of blockchain technology in e-commerce can help benefit the industry in numerous ways, including increased security, more transparency, more secure & reliable transactions, reduced need & cost of intermediaries, improved accessibility, faster transaction speed, and the ability to accept payments in crypto.

There are many live examples of how blockchain technology is revolutionising the e-commerce industry. The Libra Ecosystem ( https://libraecosystem.com/ ), for instance, provides a range of blockchain-based e-commerce solutions including Libra Pay, Libra ATM, Libra PoS, and others to allow existing e-commerce dealers and platforms to easily integrate blockchain into their systems to increase efficiency and reduce cost. They have a dedicated native token called the Libra coin that can be seamlessly used to make/accept cross-border payments within the ecosystem.

Blockchain-based ecosystem platforms are by default global, thus increasing the accessibility and reach of basic financial services and global products to people in every corner of the world, along with the ability to make payments conveniently using crypto tokens.

Another major benefit of blockchain technology for e-commerce businesses is enhanced data security. Blockchain is by nature a highly secure network that employs cryptographic methods to automatically encrypt every single data and transaction that passes through the network, thus making it nearly impossible for anyone to hack or access this data. Yet, everything on the blockchain is public and globally accessible but impossible to manipulate.