BlockChain

The future of blockchain

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Today, society and the global economy are largely dependent on the trust of powerful intermediaries such as banks, government, and large internet companies. Well, in the business world too, some of the largest companies and fortunes are made by businesses that insert themselves in the middle of transactions as trusted intermediaries and as a result extract value from the transactions. They cost a lot and they slow things down – they are too centralized.

Blockchain has a different kind of trust. It is decentralized and managed by the public so there is no one entity that can manipulate or control it. That’s what makes it more trustworthy. It is foreseen as the technology to look out for in the future.

Although until today it has been widely used in the field of finance, there are a number of industries that can make use of this technology.

Banks

As mentioned earlier, the blockchain technology in the future will be widely adopted by banks. Cryptographically secured currencies will be widely used. It could be used to bypass today’s centralized financial infrastructure entirely.

Industries

Industries are also realizing that one of the core innovations of blockchain is its ability to reduce or eliminate trusted counterparts in the transaction processes. Blockchain could have the potential to create new opportunities to disrupt existing technologies and create new opportunities and processes.

Government

Blockchain could also be used to distribute social welfare in developing nations. Well, elections are currently an expensive and arduous affair. This technology could transform the way this process works too.

The blockchain revolution completely resets the equation of power, technology, and businesses. It provides a lot more value and re-engineers the way of conducting business. Although it is not seen as a replacement for any particular technology, in the near future, it will definitely be seen as a promising value addition to the entire mix of things!

BlockChain

Blockchain: Safe, Secure and Speedy

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The beauty of blockchain technology lies in the fact that it allows you to see a verified, accurate and un-tampered with an account of transactions. These transactions could be payments, but not necessarily. They could be simpler exchanges of information too.

This technology has been around for a couple of years and basically shares a record of transactions that are maintained on a network of computers on the internet – rather than a centralized authority. When this technology is used on a large scale, however, especially in corporate, it raises question marks over whether it can cope with the increased volumes on a daily or even hourly basis with the same veracity. The blockchain technology is only as valuable as it is secure.

The two main concerns of this technology are scalability and security:

  • Security is a concern mainly because blockchain implementations such as the financial services require a digital wallet. This dependency is a potential risk.
  • The decentralization of control and relative freedom of access and has ultimately fueled black market trading.
  • The setting up of private blockchains places great responsibility for securing access to the nodes. It’s important to determine the trusted parties and the blockchain system administrator needs to make the security decision.
  • While the risks of building a financial market or other infrastructure on a public blockchain may give a new entrant pause, private blockchains offer a degree of control over both participant behavior and the transaction verification process.

Blockchain systems provide transparency and usability but at the same time required enough security considerations. Just as businesses decide which systems are better hosted over the internet or intranet, they will have to take a call regarding the use of blockchain technology as well. In general, systems that require fast transactions, the possibility of transaction reversal, and central control over transaction verification will be better suited for private blockchains, and others that benefit from widespread participation, transparency, and third-party verification will flourish on a public blockchain.

BlockChain

Bitcoin and the changing face of World Economy

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Digital money such as Bitcoin has the potential to expand the world of international commerce, support finances and completely transform how we shop, save and conduct business. From programmable money to many new forms of e-commerce, here are a few ways in which this new technology will change the economic landscape.

Bank transfers will be faster and cheaper

The way banks work and the way money is moved today will change dramatically with the introduction of bitcoin technology. Using digital currency, bank transfers could be made instantly and without too much cost. These kinds of transfers are a lot safer too. Protocols that support the transfer of funds from one currency to another using a secure digital ledger are also a new way of handling transfers in a more secure way.

Global remittances

Migrants that send home remittances, every year send more than $500 – which exceeds the foreign direct investment too. Technology has the potential to help these transfers become faster and cheaper. Users could send money directly via phones.

Safe money

Digital currencies could become another convenient and safe form of payment in countries where most citizens don’t have bank accounts. While using bitcoin as a second currency in a country would expose citizens there to a certain amount of currency risk, it might be better than the existing options, particularly in high-inflation countries. For example, it would be physically safer than storing cash at home or buying gold jewelry. In this way, it could expand access to international financial markets, allowing even the unbanked a way to save and protect against inflation. One implication may be that capital controls become harder to enforce.

The potential of e-commerce

Credit cards are prone to frauds and many online merchants turn away good business due to this. Fraud is more common in international transactions and hence many firms do not accept international payments. With digital currency catching on, these firms can eliminate the risk of fraud and sell their products worldwide. The transfers cannot be undone once they have been made. Digital currency allows small businesses to engage in global e-commerce.

The all-new programmable money and smart contracts

Bitcoin is a purely digital asset. It can be moved in automated ways. This introduces a whole new world of programmable money and smart contracts. This could reduce the digital thefts of funds and as in some cases, cryptocurrency has multiple individuals to authenticate. Firms can also ensure that the money is not lost or stolen when it moves across borders.

Programmable money has a lot of scope for implementation in complex contracts such as financial contracts involving multiple parties and complex derivatives.

Bitcoin is definitely poised to change the face of the world economy!

BlockChain

Explosive growth of Blockchain technology in Businesses

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Blockchains are no longer just a computer science term for how to structure and share data. Today, they are considered as a novel way to approach the distributed database. In short, a blockchain is a data structure that makes it possible to create a digital ledger of data and share it with a network of independent parties. Public blockchains such as Bitcoin are large distributed networks that are run by a native token. Permission blockchains such as ripple can control roles that individuals can play within the network. They also use a native token and the code may or may not be open source. Private blockchains are usually smaller and do not utilize a token. Their membership is closely controlled.

For all these types of blockchains, cryptography is used to allow each participant in the given network to manage the ledger – eliminating the need for a central authority to enforce the rules. These blockchains are capable of creating a permanent record and histories of transactions. When data is entered in a blockchain, it is extremely difficult to change or remove it.

Blockchain has disrupted the economic landscape and is not just a new way to do business, but it’s changing the business itself. It is built to solve the pressing problem and the need to verify transactions without the authority of a central server. It has a linked series of blocks or transaction records with accompanying time stamps and data. It effectively prevents the alteration or falsification of transactions. It also eliminates the need for a central banking authority. With blockchain, users could finally trade directly with each other through digital currency.

How are various businesses using this technology?

  • In logistics, blockchain saves carriers billions of dollars. Cargoes can now be shipped with a significant reduction in paperwork costs. All transactions are confirmed and captured on the distributed ledger system. This dramatic cost reduction measure will definitely impact trade on a global level.
  • Ethereum technology has been implemented to create a secure data-sharing infrastructure for the healthcare space. Hospitals can now share medical records securely and efficiently through blockchain.
  • In legal cases, blockchain based smart contracts allow individuals to conduct transactions securely without the need for a middleman such as a notary or a lawyer.
  • The blockchain technology prevents ticket scalpers from selling concert and sports tickets at inflated prices. The public ledger system is used to verify and guarantee ticket prices. The system keeps the bots from hoarding tickets and reselling them on secondary markets. This effectively reduces ticket fraud, counterfeiting, and other problems associated with online ticket buying.
  • Above all, blockchain has potential advantages for the environment. The companies in the energy sector to are using blockchain systems for efficient peer to peer distribution of electrical energy.

As a greater number of companies realize blockchain’s implications, there will be a paradigm shift in the way businesses work. The rules that have existed for decades – even centuries – will shift. Industries will move away from the traditional centralized models towards a system where individuals control transactions. This emerging technology has a number of interesting areas of untapped potential. While it’s impossible to predict what the future might hold, this technology will change the business world as we know it!