The online shopping is in its heyday with global sales expected to reach $4.479 trillion by 2021. Still, there are inadequate. Can the Blockchain blow a new wind to the industry?
In terms of value, the leading countries in economic capacity, including China and the United States, are the largest contributors to the industry. However, in terms of speed, Thailand, Malaysia and Vietnam has the fastest growing e-commerce markets, with Thailand leading the way with 104%, Malaysia is 88% and Vietnam is 69%.
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Still, there are still inadequacies, especially the trust problem of consumers and the high cost of distribution. These problems are burdens that prevent further growth of E-commerce.
Blockchain is believed to be the one-time solution,significationly changing E-commerce, especially changing the way the giants of E-commerce, Alibaba, Amazon, and eBay, are operating.
E-commerce world before Blockchain
E-commerce world before Blockchain
1995 - Craigslist.org: The first online web platform, only connecting buyers and sellers without providing any means of payment. The site has become a paradise for fraudsters.
2018 - Amazon, Alibaba, eBay: Golden Age of online shopping, expected to reach $ 4.060 billion of online retail sales in 2020.
However, regardless of effort to protect buyers and sellers from fraud, the holes in the system are still remained in the centralized database and cannot be fixed. Once the hacker gets into the system, everything inside will be controlled by them.
E-commerce World after Blockchain
The major challenges of e-commerce will be solved completely and thoroughly by the Smart Contract – an application of Blockchain technology. With its superior and high-security features from its distributed ledge, Blockchain is the solution we a looking for.
- Optimal security
- No trust issue
- Low cost
- Faster speed
Blockchain-based platforms
Blockchain-based platforms
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Rakuten, Amazon's biggest rival in the Japanese market, recently surpassed Amazon, Alibaba, and eBay to become the first e-commerce company to integrate Blockchain technology. Its blockchain project came by the name “Rakuten Super Points”, which is a special program for loyal customers. Along with expanding the market to outside Japan’s border, the program has launched Rakuten Coin, a new payment tool.
Also, A Singapore – based project - VRC Market takes the idea of Blockchain 3.0 technology and combines it with smart contract. The result is quite extraordinary as it provides an easier and simpler method of payment.
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