The Rise of Blockchain Technology and Cryptocurrency

You may have noticed a slight shift in the terminology used in recent finance job postings. Included in many new requirements is now a need for an understanding of blockchain technology and cryptocurrency. This new jargon can sometimes put some people off simply because they have no idea what it is or why it’s so important. As positions start to require more understanding of this new technology, the more important it is for the finance industry to acquaint itself with it and prepare for this shift.

What is Blockchain Technology?

Blockchain is essentially a chain of data and information that increases as more information is added to it.

What is Cryptocurrency?

Cryptocurrency is a digital currency. You may have heard of Bitcoin, which is a type of cryptocurrency. The transactions of this type of currency are stored in a blockchain. Because cryptocurrency has gained more traction, more companies are classifying it as a form of payment.

How Can Companies Benefit from Adopting this Technology?

One of the more attractive benefits of adopting this technology early is that it offers more transparency and faster access. You can create smart contracts without the need for a third party because the blockchain can store the information. Ultimately, this could mean that business is conducted faster, but with the same level of protection.

What Can Employees Do?

Of course, employees will have to adjust in order to fully incorporate blockchain technology in the workplace. For starters, finance professionals should seek out certification opportunities in blockchain. Familiarizing yourself as early as possible will put you ahead of the curve. You may also gain some insight by taking additional college courses or volunteering your time with organizations that have already implemented blockchain technology.

What Can Employers Do?

Likewise, employers must also adjust if they want to include this technology in their company. For starters, facilitate collaboration with IT and other departments that focus on blockchain technology. Working together early can help remove some of the issues that arise. Additionally, when hiring new employees, focus on individuals who may have a basic understanding, but may require additional training. Remember, this is a new skill set that not many people have yet.

For more Blockchain information, check out Blockchain and Financial Reporting