Blockchain technologies have already taken the strides necessary to address some of the biggest problems we face, but there’s still a way to go.
When Satoshi Nakamoto, the person (or persons) behind bitcoin, first released the bitcoin white paper in 2009, many believe the creator hinted at something so much more than just a simple digital currency. Instead, it’s believed that Nakamoto introduced the famous bitcoin in response to the then all too fresh subprime mortgage crisis and ensuing global recession.
If you find yourself on an everyday crypto exchange, like Bitvavo, or any other platform available, it’s unlikely that you would be able to separate the technology that underlies each bitcoin transaction you make and the technologies that are quite literally, helping the world function. But indeed, the exact same technology that verifies and stores your bitcoin transaction is the same that also powers Spotify, helps Walmart track its inventory, and allows British Airways to streamline their security checkpoint process.
Blockchain technology is something that is slowly, but firmly, helping to change the way the world looks at any number of different problems. While it’s definitely not a structure designed to address every problem the globe puts forward, it has many real-world applications that are, and could be incredibly successful.
What’s Already Here
DeFi
Decentralized Finance (DeFi) is a way that crypto enthusiasts, programmers, and plain old users are using blockchain to mimic traditional financial structures, in order to create similar systems that are fully decentralized. DeFi is lending its structure to a number of different entrepreneurial pursuits, creating a corporate and financial structure that lacks the centralized control of most existing systems. Which many believe will serve to lower associated fees, dismantle existing corruption, and further democratize financial institutions.
Internet of Things
The Internet of Things or IOT is the system of interrelated and communicative computing devices. These devices are able to communicate with one another and execute particular functions with little or no help from a human third party. Things like Alexa for ordering your groceries or iHome suites. These programs and the devices associated with them take one human-to-computer command and perform a number of different tasks. They do this by seamlessly and securely transferring data across a closed system between computers that have similar unique identifiers.
Smart Contracts
Smart contracts are any type of contract that can be carried out without the use of an arbiter. Instead using blockchain technology to fulfill “If This Then That” (IFTTT) protocols. IFTTT protocols are those that essentially supply a list of conditions that must be met before the program can continue to tackle its next task. Should one of these conditions be met, the contract continues and the program begins to execute the next command. Should the condition not be met within a specified time range, then the contract is voided.
Bitcoin Lending
Bitcoin lending is similar to traditional lending practices, only credit scores and personal details are not necessary to secure loans. This type of lending is collateral based, meaning that borrowers must be able to put up a specific amount of some type of asset in order to secure a crypto loan. Crypto loans can be in the form of fiat to crypto, crypto to fiat, or crypto to crypto- depending on the collateral given and borrower’s needs. Bitcoin lending has found a way to keep cold assets active within the market as well as make investors more passive income on their stored assets.
What Could Easily Come Our Way
Voting
While we may have begun to see the early beginnings of digital voting processes, what has been introduced so far was definitely not blockchain. Blockchain allows for a transparent and incredibly secure transaction/verification/confirmation system. So that once a transaction (or vote) has been made, it is then fully verified as real, and placed in a time stamped and immutable ledger. Making voter fraud next to impossible and providing real time, verifiable poll results.
Fiat
Many governments have started to consider creating their own national cryptocurrency system, based on their respective fiats. Of the few that have already launched their own systems, Ecuador, China, and Sweden are at the top of that list. Many other countries are exploring creating their own centralized digital currencies, particularly following the backlash of paper systems and how they can possibly function as a fomite for disease.
Medical Records
It would be incredibly simple to store, view, and add to healthcare records securely contained on a blockchain system. Encoding each record with a private personal key to ensure HIPAA compliance and security means that users would no longer have to hunt for their records should they move physicians. It also means that physicians would have instant access to the health records of any of their patients, without requiring the patient to supply their own. These confidential records could also interact with Insurance companies- giving consumers proof-of-delivery and a full and transparent billing paper trail.
Blockchain technologies have already taken the strides necessary to address some of the biggest problems we face, but there’s still a way to go.
When Satoshi Nakamoto, the person (or persons) behind bitcoin, first released the bitcoin white paper in 2009, many believe the creator hinted at something so much more than just a simple digital currency. Instead, it’s believed that Nakamoto introduced the famous bitcoin in response to the then all too fresh subprime mortgage crisis and ensuing global recession.
If you find yourself on an everyday crypto exchange, like Bitvavo, or any other platform available, it’s unlikely that you would be able to separate the technology that underlies each bitcoin transaction you make and the technologies that are quite literally, helping the world function. But indeed, the exact same technology that verifies and stores your bitcoin transaction is the same that also powers Spotify, helps Walmart track its inventory, and allows British Airways to streamline their security checkpoint process.
Blockchain technology is something that is slowly, but firmly, helping to change the way the world looks at any number of different problems. While it’s definitely not a structure designed to address every problem the globe puts forward, it has many real-world applications that are, and could be incredibly successful.
What’s Already Here
DeFi
Decentralized Finance (DeFi) is a way that crypto enthusiasts, programmers, and plain old users are using blockchain to mimic traditional financial structures, in order to create similar systems that are fully decentralized. Defi is lending its structure to a number of different entrepreneurial pursuits, creating a corporate and financial structure that lacks the centralized control of most existing systems. Which many believe will serve to lower associated fees, dismantle existing corruption, and further democratize financial institutions.
Internet of Things
The Internet of Things or IOT is the system of interrelated and communicative computing devices. These devices are able to communicate with one another and execute particular functions with little or no help from a human third party. Things like Alexa for ordering your groceries or iHome suites. These programs and the devices associated with them take one human-to-computer command and perform a number of different tasks. They do this by seamlessly and securely transferring data across a closed system between computers that have similar unique identifiers.
Smart Contracts
Smart contracts are any type of contract that can be carried out without the use of an arbiter. Instead using blockchain technology to fulfill “If Then That” (IFTTT) protocols. IFTTT protocols are those that essentially supply a list of conditions that must be met before the program can continue to tackle its next task. Should one of these conditions be met, the contract continues and the program begins to execute the next command. Should the condition not be met within a specified time range, then the contract is voided.
Bitcoin Lending
Bitcoin lending is similar to traditional lending practices, only credit scores and personal details are not necessary to secure loans. This type of lending is collateral-based, meaning that borrowers must be able to put up a specific amount of some type of asset in order to secure a crypto loan. Crypto loans can be in the form of fiat to crypto, crypto to fiat, or crypto to crypto- depending on the collateral given and the borrower’s needs. Bitcoin lending has found a way to keep cold assets active within the market as well as make investors more passive income on their stored assets.
What Could Easily Come Our Way
Voting
While we may have begun to see the early beginnings of digital voting processes, what has been introduced so far was definitely not blockchain. Blockchain allows for a transparent and incredibly secure transaction/verification/confirmation system. So that once a transaction (or vote) has been made, it is then fully verified as real, and placed in a time-stamped and immutable ledger. Making voter fraud next to impossible and providing real-time, verifiable poll results.
Fiat
Many governments have started to consider creating their own national cryptocurrency system, based on their respective fiats. Of the few that have already launched their own systems, Ecuador, China, and Sweden are at the top of that list. Many other countries are exploring creating their own centralized digital currencies, particularly following the backlash of paper systems and how they can possibly function as a fomite for disease.
Medical Records
It would be incredibly simple to store, view, and add to healthcare records securely contained on a blockchain system. Encoding each record with a private personal key to ensure HIPAA compliance and security means that users would no longer have to hunt for their records should they move physicians. It also means that physicians would have instant access to the health records of any of their patients, without requiring the patient to supply their own. These confidential records could also interact with Insurance companies- giving consumers proof-of-delivery and a full and transparent billing paper trail.
