Blockchain Will Be Used To “Democratize” Financial Data

In general, this concept defines the processes enabling almost everyone within the organization to access relevant data and make more accurate decisions or reach results by obtaining insights from this data. It is aimed that users, regardless of their role within the company, have the necessary competence to access and effectively interpret data according to their needs and to be able to use the relevant tools.

Why is Democratization of Data Important for Institutions?

As we all know, reading, analyzing, interpreting, and obtaining data is defined as data–driven decision–making, and business transformations are moving in this direction. This transformation process brings the need for data to be accessible and interpreted much faster. Moreover, institutions want to evaluate their data for different purposes as much as possible. The concept of data democratization began to emerge precisely in line with this need. With initiatives made for this purpose, in–house users can access and analyze the data they need, even if they do not have technical knowledge.

In previous processes, organizations entrusted their data to a few data analysts with the necessary skills to extract value from the data. The evaluation of the data owned by the institution by a few people and the demand of the reports by the departments from the analysts made the processes quite long. In addition, the fact that the decision–maker himself did not evaluate the data could be an obstacle to healthy decision–making processes.

Some argue that the data should remain in the hands of IT departments or specific individuals, and there is still some debate on this issue. The reason for this uneasiness is the concern that making the data available to everyone may pose a security threat. In addition, misreading and misinterpretation of data and thus causing wrong business decisions is another reason for this uneasiness. However, these problems can be solved mainly with a healthy system, data security, and practical training.

With an analysis system that provides real–time data flow support, any in–house user can access data instantly and make real–time decisions. The ability to make rea–time decisions for corporations is essential in converting a rapid customer movement into sales, preventing a crisis, or efficiently carrying out operations in the field.

The established system is designed to be entirely transparent and develops with a mass approach. DIA will enable users to contribute and validate data using the DIA Governance Token.

Thanks to this approach, it will be possible to verify data and vote on reliable and traceable decisions. As a result, Blockchain–based verification is expected to ensure that all financial data on the platform is reliable.

Unfortunately, accessing data on financial markets is very costly. It is estimated that over $32 billion was spent accessing this data in 2019 and remains largely inaccessible to small operators. On the other hand, accessing the information is not enough; They have to pass various checks to confirm reliability and accuracy.

As a result, the current system creates an indoor pool from which only large companies can benefit.

DIA aims to democratize access to this data from all industries by presenting financial market data on a Blockchain–based platform. It also provides a resource for regulatory and monetary authorities, financial institutions, information providers, and traders.

Time will tell how successful the system will be, but if the system is successful, blockchain technology takes to replace the fiat money system. Moreover, it will be possible to benefit the same purpose indirectly.

How Does Democratizing Data Democratize Countries?

Open data is the democratization of data. Data that only governments and large companies can access is not available data. Open data is essential for both democracy and innovation.

The most critical data is the budgets of the states. When a form is not transparent about how much revenue it collects and what it does with these revenues, bribery, corruption, and injustice are caused. Although states present the items in their budgets in a report, we cannot know whom. From these accounts, and for which applications these expenditures are spent since we do not know the sub–items and the expenses of some institutions are closed to audit.

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https://anumak.ai/post/Democratize/

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aNumak & Company

aNumak & Company

aNumak & Company is a Global Business and Management Consulting firm with expertise in building scalable business models for diverse industry verticals.