6 Reasons Why Blockchain Will Change Our Future
Blockchain will have a tremendous impact on our future, from banking and secure communications to healthcare and ride-sharing. Of course, understanding how blockchain works are necessary before understanding how it will transform the world.
Understanding blockchain technology can be compared to a Google Doc. When we generate a document and share it with a group of individuals, it is disseminated rather than replicated or moved. This creates a decentralised distribution chain in which everyone has access to the document at the same time. No one is locked out while another party makes changes to the document, and all modifications are tracked in real-time, making them completely transparent.
Of course, blockchain is more involved than a Google Doc, but the comparison is useful because it highlights three key concepts: reduction of risk, eliminates fraud, and provides scalability for a wide range of applications.
1. Cybersecurity
Using modern cryptography, all data in the blockchain is authenticated and encrypted, making it resistant to unauthorised alterations and hacks. Data loss, corruption, human mistake, and hacking are all risks that centralised systems.
Consider the numerous hacks that have occurred in recent years at Target, Verizon, Deloitte, and Equifax. The use of a blockchain-based decentralised, distributed system would make cloud data storage more secure and resistant to such attacks.
2. Internet of Things (IoT)
Today's Internet of Things (IoT) contains software, network connectivity, and sensors integrated into cars, buildings, doorbells, and even refrigerators. Hackers can acquire access to the automobile you're driving or your home because these devices work from a central point that handles communications.
Because it decentralises all information and data, according to Kamil Przeorski, a Bitcoin and Ethereum expert, Blockchain has the potential to overcome these fundamental security concerns. As IoT capabilities improve, this becomes increasingly crucial.
3. Crowdfunding and Charitable Giving
Giving to a good cause is always a good idea. But what percentage of your money truly gets to the people who need it? Blockchains can assist in ensuring that your money reaches its intended destination. Donors can know where their money goes through a secure and transparent ledger, and Bitcoin-based organisations are already building trust through smart contracts and online reputation systems.
The World Food Programme of the United Nations is now integrating blockchain technology to allow refugees to buy food using Iris scans rather than vouchers, cash, or credit cards.
4. Unified Communications
Blockchains have the potential to make automated communication faster, safer, and more dependable. In some industries, automated or digital communication based on pre-built algorithms is already being used at a large scale. Emails, system alerts, and phone notifications are examples of this.
While a lot of communication is presently automated, according to Matt Peterson, co-founder of Jive Communications and an early adopter and miner of Bitcoin, this form of communication is often non-critical and asynchronous.
5. Rentals and Ride-sharing
Although Uber and Airbnb appear to be decentralised networks, the platform owners have complete control over the network and charge a fee for their services. Blockchain can be used to develop decentralised peer-to-peer ride-sharing apps and allow car owners to pay for parking, tolls, and fuel automatically.
6. Healthcare
Wouldn't it be wonderful if doctors didn't have to "fax over referrals" any longer? Why can't all of our medical data be stored in a single location? The centralised nature of such sensitive data renders it extremely vulnerable. With all of the personal information about patients that hospitals collect, a safe platform is required.
Hospitals and other healthcare organisations might use blockchain to construct a centralised and secure database, store medical records, and only share them with approved doctors and patients.
Conclusion
While blockchain is still in its infancy, and many projects will fail before succeeding, the potential for creativity is limitless. It will have an impact on retail, energy management, online music, supply chain management, forecasting, consultancy, real estate, insurance, and much more, in addition to the points outlined. Let us prepare for a future in which dispersed, autonomous solutions will play a significant part in both our personal and professional life.
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