We are all obsessed with everything to do with technology. Indeed, we are always on the look out for new technologies with big positive impact. Wonder
We are all obsessed with everything to do with technology. Indeed, we are always on the look out for new technologies with big positive impact. Wondering what technology promises to have a big impact both in the near and distant future? It is now becoming apparent that such a technology has nothing to do with robotics, data, artificial intelligence or social media. That technology turns out to be something that most people rarely pay attention to; it is the slow-developing blockchain technology – the technology behind digital currencies.
Details about Blockchain and Ethereum
Blockchain is framework that incorporates both a network and database. One perfect definition describes the technology as one that allows the creation of digital ledger that is shared among identified computers on a network. The technology relies on cryptography, which allows an identified individual on the network to access the ledger securely without the intervention of any authority. The fact that anyone can access the shared ledger to check on any transaction eliminates the need to have a centralized authority, which builds confidence on the authenticity and integrity of any individual transaction entry on the shared ledger. This simply means that individuals can securely exchange digital money without intervention of a central authority such as a bank.
A description of Ethereum in an article by a 2015 Fast Company describes it as a worldwide computer system that emulates a significant number of functions performed by such companies as Airbnb, Uber, Amazon, Dropbox and Kickstarter without the known bureaucratic procedures and processes and other players who also take a share of the cake. In this respect, Ethereum can be said to be a free and flawless platform that could turn out to be the main avenue through which we will perform all our transactions. It is simply a self-executable contract between two people. Just like Uber and Amazon, identity of individuals and their associated transaction reputation will be accommodated. Just take a moment to consider sellers on Amazon who have been around for years and have built positive reputation based on buyer reviews and ratings yet they cannot use their reputation on eBay. That would be a thing of the past.
Investors and VC firms are beginning to appreciate the promise that blockchain holds largely because of the technology’s great potential that is yet to be exploited. The shared ledger system promises to completely alter the way such complex bank transactions involving international contracts and identity management among other transactions are handled and processed. The whole transaction processes will certainly be very smooth across borders considering the fact that the need for logistics, banks and other players will have become irrelevant. Furthermore, the blockchain technology is also applicable in others areas including in addressing issues to do with food safety and in streamlining stock market operations. Indeed, NASDAQ has of late embraced blockchain technology to record trades involving private companies. Similarly, The BoE hat never embraces fancy technologies admits in one of its latest research findings that the blockchain technology is an innovation that is most likely to transform the financial industry in a major way.