Crypto Currency News

Trending News

Ethereum Classic

NEM Applications – Which Blockchain

The NEM platform is designed to enable fast transactions with low fees, while resisting concentration of power and attempts by bad actors to undermine or exploit the network. The public NEM blockchain serves as an interface between private, permissioned blockchains using the same protocol, allowing enterprises and communities to create their own solutions quickly and easily. As the NEM team points out, the possibilities of the technology are numerous and varied, but some are especially promising.

Financial Services

Cryptocurrencies like Bitcoin were once envisioned by their founders as providing an alternative payment method to fiat currencies, but their use for this purpose has been hindered by growing transaction fees and long confirmation times (reflecting the high difficulty and cost of mining). Transactions on the NEM platform are designed to confirm in a minute or less, which along with low fees makes them practical for everyday use. The NEM mobile wallet supports barcode scanning, obviating the need to enter codes.

Enterprises can use XEM, the native cryptocurrency on the platform, or if they wish they can easily create their own cryptocurrency with custom parameters that will operate using the NEM protocol. This functionality extends to the creation of bespoke payment apps using the open-source NEMPay as a foundation.

The multisignature support built in to the NEM platform is ideal for escrow services, supporting complex arrangements including up to 32 cosignatories. The development team has even suggested that revamping current equities settlements by replacing legacy systems with tools running on the NEM platform could lead to huge increases in efficiency.

Tamper-Proof Records

The NEM blockchain supports encrypted, time-stamped communications, as well as tamper-proof documents, contracts and certificates of authenticity. These capabilities eliminate the need for notarization. The ability to include relevant changes as needed, such as repairs or upgrades, makes records documenting ownership of valuable property more comprehensive and useful.

NEM could be used to securely hold and transfer medical records, deeds, proof of insurance, and just about any other kind of document imaginable. Using multisignature confirmation, individuals, governments and service providers can be assured that those who need access to information, and only those people or entities, have the necessary documentation at their fingertips.

Logistics and Customer Service

NEM provides solutions that could increase the efficiency of supply chains. Companies could put smart assets in place that automatically replace inventory and authorize payments, documenting every step. These could streamline transnational shipping by keeping all of the relevant paperwork in one place and instantly available, helping companies to cut through red tape.

Enterprises using the NEM platform could also help track customer behavior, such as participation in rewards programs and other incentives. The same tools could be used to evaluate the effectiveness of marketing campaigns, as well the performance of different branches or divisions within a company, identifying areas where they could improve. Hitachi has already deployed a customized NEM application called Mijn to manage its rewards program.

Using the NEM platform for accounting boosts trust in organizations, by providing transparent and tamper-proof records. Setting up customized smart assets could also reduce costs and errors by automating a significant portion of accounting tasks.

Decentralized Organizations

The NEM platform is well-suited to empowering various forms of decentralized organization. Encrypted messages can be used to guarantee secret voting privileges while eliminating the possibility of fraud. The same set of tools that enables escrow services can also support crowdfunding via the platform, and the ability to easily create custom tokens means the platform can readily host initial coin offerings (ICOs) as well. Combining these various functions in different ways allows users to redefine stock ownership, creating different types with custom privileges and instantly tracking trades. The prospect of improving efficiency, boosting confidence and distributing power more equitably within different types of organizations points to what are perhaps the most exciting applications of the NEM platform.

Comments are closed.