Blockchain offers new ways of conducting business in the gig economy— you must understand its implications.
Blockchain is the one technology causing a palpable frenzy and making headlines for all the right reasons. The blockchain market is estimated to reach $39.7 billion by 2025, representing a 67.3 percent annual growth rate.
Almost every existing industry will be disrupted by blockchain. However, freelancers and other gig economy workers will be the most impacted, especially as we move to blockchain-based web 3.0.
A slew of blockchain-powered platforms is in the works, with some, like BitClout, already gaining traction. We are, without a doubt, entering a new era.
Where do you stand in the aftermath of all of these upheavals? Do you know what widespread blockchain adoption could mean for your freelance business?
In this article, we’ll look at what blockchain is and how it will change the way you work as a freelancer. Let’s get started.
What exactly is blockchain?
Blockchain is a distributed digital database of transactions that spans the whole network of computers that comprise the chain. It is a system for storing information so that it cannot be changed and that everyone in the system has access to it.
The main advantage of blockchain is decentralized, which means that no single authority claims control of the system. Peer-to-peer transactions and data sharing are possible.
In layman’s words, blockchain enables transactions to be completed without banks, online wallets, or third-party applications. As a result, a new manner of doing business without intermediaries has emerged.
If you want to secure the first-mover advantage, you and your freelance business must stay updated on blockchain advancements. Here are a few examples of how blockchain can help your business.
The influence of blockchain on your freelance business.
Several challenges plague the gig economy, including transactional bureaucracies, a lack of trust, copyright infringements, unwarranted control by mediators, and so on.
As the number of freelance workers grows, so does the need for a better, more effective method. At the moment, blockchain is one of our most excellent bets for tackling these underlying challenges.
Despite its incredible potential to alter the gig economy, most freelancers are still unaware of what blockchain can accomplish for them. Don’t let yourself become that person. Here are a few examples of how blockchain will affect your freelance business.
1. Getting rid of transactional bottlenecks
In decentralized financial systems, one individual transacts with another without the need for third-party authorization.
If you’ve ever utilized an online money transfer site to receive payments, you know how stressful it can be. Transactions take a long time to process, and certain transactions may be postponed or denied for questionable reasons.
Furthermore, specific platforms are not available in some parts of the world, leaving you at the whim of even more intermediaries. With the increasing rates of hacking, the security of your funds is also an issue.
Blockchain is here to help with these issues. By removing the middlemen, anyone from any area of the world can deal with you without any additional restrictions. Blockchain’s peer-to-peer architecture assures that you receive your payments on time and without any complications.
2. Smart contracts ensure trust
Smart contracts are programs that are stored on a blockchain and run when specific criteria are met.
Their goal is to automate the implementation of an agreement such that the outcome is automatic when the essential criteria are met. Because there are no intermediaries, the players can be sure of the result.
For example, our contract could state, “When article X is delivered, wire person Y amount Z.” Smart contracts handle the issue of trust, which is especially important when working with clients from all over the world.
They are helpful for two reasons. First, they simplify the process by eliminating human intervention. Second, the contracts are safe and cannot be hacked or changed without both parties’ permission.
3. Intellectual property rights protection
Blockchain will protect your IP rights using a universal system known as the Proof-of-work (PoW). The blockchain can preserve all of your portfolio data, and it prevents anyone from copying or stealing your work.
Your portfolio items will be automatically assigned to you as the creator and exclusive owner. Non-fungible tokens (NFTs) currently use blockchain technology to secure important work from producers worldwide.
If you use blockchain, you won’t have to worry about your new video game or your latest post being stolen or copied.
4. Lower transaction fees
Hefty transaction fees levied by middlemen masquerading as freelancing platforms rob freelancers of a significant amount of their hard-earned money. Furthermore, they raise the cost of services, making them expensive to potential customers.
You can engage directly with the client via blockchain, eliminating the need for dishonest mediators. This will save you from paying exorbitant transaction fees and will most likely lower the cost of your services, making them more affordable to more prospective clients.
Blockchain technology is a formidable force.
Because of their flexibility, freelance employment is becoming increasingly popular worldwide as the number of transactions, communication, and trust challenges with present systems grows tenfold.
Blockchain is a promising technology that will return power to you. Blockchain will improve your freelance business by eliminating go-betweens, enabling smart contracts, and preserving your intellectual property.
As a result, take the time to learn about the complexities of this innovative technology. Don’t get left in the dust when the blockchain train finally takes off.
Flexgigzz is the Asia leading marketplace for freelancers service and together with SOHO Learning Hub which is an online platform for short courses and both of them aims to be the number one provider in Asia. For growth industries such as E-Sport Authority which is dedicated to providing independent media coverage to all E-Sport News related from around the world and for the art world, there is Atelier Auction which is an investable art auctioneer and being in the art scene for decades