Blockchain is the next big thing. Similar to how the internet was in the 90s and how it impacted the world, in the same sense blockchain is the next internet. Such is the hype around the new technology and justifiably so. The potential this technology has could change the world. Making it secure, safe, hassle-free, and very fast!
Before we dive into how blockchain can make the world a better place, let’s understand what this technology essentially is.
Blockchain is a system of recording information in a way that makes it difficult or impossible to change, hack, or cheat the system. A blockchain is essentially a digital ledger of transactions that is duplicated and distributed across the entire network of computer systems on the blockchain.
So, in a gist, it is a system in which uniformity is maintained all around, with no scope for human error and cheating. Plus, once it’s on the system, it becomes undeniable proof that will never be lost.
Countries all around the world are using blockchains because their applications are limitless. Let’s take a look at 3 such applications, that blockchain offers. Apart from just cryptocurrencies!
1] Money is safe and secure:
Money can be kept safe and secure via blockchain. It is faster, and the record-keeping is perfect (100 percent). The beauty is, that transactions are transparent and require less human interaction. Those who live overseas can now send money back home instantaneously, rather than waiting days for it to be cleared and despatched by the bank.
The technology benefits banks too as they can save 30 percent on infrastructure costs and 10 percent on headcount. 90 percent of the banks in the world are implying this strategy.
2] Proving your Identity:
There are 1.1 billion people in the world who are not able to prove who they say they are. This may be due to the fact that there was no formal registration done at birth or lost documents. Nonetheless, for these people, it becomes impossible to get into school, find jobs or open a bank account.
The solution for this can be blockchain. Now 60 percent of people do use a smartphone. A blockchain-based mobile identity system can be the answer to this problem. Estonia has been using blockchain for its national identity scheme and it requires no paperwork and has been proven a success. Only digital signatures are required and you are good to go!
3] Smart Contract:
Now with any traditional style of contract, there is always a middle man. Which becomes an enemy of efficiency. Niko Szabo developed a concept called a smart contract. It essentially cuts down the middle man making the whole process a lot faster.
With a smart contract, any contract imaginable can be automated, checked, regulated, and self-executed on a computer program.
The end results? – A flawless contract done quickly, efficiently, and at a fraction of the cost of what legal service will charge you.
The applications and realm of possibilities blockchains bring are limitless. Blockchain is no longer a thing of the future. With sophisticated use all around the world, we are in that future already!
It’s 2022 and blockchain will be the protagonist.