In the past, computers were seen as just convenient machines that helped to speed up processes. It didn’t give any errors, calculations were incredibly quick and it was overall just a fantastic convenience for any business owner–but it wasn’t necessary. As time went more people adopted the use of computers, technology such as the internet grow and we found more uses for a global network that allowed our computers to communicate with each other.
More and more technologies were invented and improved in order to reach the stage we are at now–but what makes you think it stops there?
The trickling-down of technology
As consumers, we typically don’t get to play with new technologies until they’re well-researched and invested into by big companies. After all, companies are there to make money and they’re not going to pour money into something that might be a failure (at least, in most cases). One of the technologies that we’ve yet to see being used extensively is blockchain technology. However, we’re starting to see more and more practical applications of blockchain technology, but most people still don’t quite understand what it is.
Explaining blockchains in a simple way
Blockchains are essentially a decentralized consensus. This is actually the big invention that has everyone excited and it’s how BitCoin, the world’s most popular cryptocurrency, can exist in the first place. If you want to learn more about BitCoin, we would recommend this article at https://profinanceblog.com/things-you-need-to-know-before-you-give-bitcoin-a-try.html to help you reach a better understanding. Let’s think of this in terms of transactions; in the real world, you can trade money with someone by going to your bank and performing a transaction. However, without the bank how would you perform this transaction? It would be impossible. You need to have an entity validate your transaction so you can trust that it worked, otherwise the bank could easily just take your money and run with it.
Blockchains are an attempt to solve that. Instead of there being a central system or business that governs transactions, everyone that is part of the blockchain has a copy of a synchronized transaction ledger that keeps track of everything. If a fraudulent transaction is attempted, it will be rejected. However, if the transaction is legitimate, every computer that is part of a blockchain will accept the transaction.
It sounds like a lot of technical nonsense, so here’s the short version: it’s the first time in history that two people can anonymously trust each other without a third party being involved.
Applications of blockchains
There is an increasing number of companies that are playing with blockchains in an attempt to utilize this technology efficiently. Here are just a couple of examples of where you’ll find blockchain technology now and how it can change the world in 2018:
- Real estate – A recent innovation in the real estate industry is blockchain cloud technology. Companies such as https://i-house.com/ are being given new and cheaper ways to invest in property. It also allows users to see and lease real estate assets and transfer assets with ease, security and peace of mind.
- Financial sector – The financial sector is already making use of blockchain technology through BitCoin and other cryptocurrencies. There are many informative websites such as https://cryptocurrencyfacts.com/ that detail just how cryptocurrencies and blockchains work and how they’re making a huge impact on the financial industry.
- Security applications – There are also security applications for blockchain technology. A good example is how the data in a blockchain cannot be modified by a single entity. This guarantees that things such as your private information or identity are safe and verified by large blockchains that specialize in personal information. Nowadays, the internet is filled with identity-stealing scams and advertising companies want nothing more than to steal your precious information. This can get problematic especially considering how exposed we are on the internet. When you see articles like this one at https://www.nytimes.com/ it makes you wonder just how safe we really are. With blockchain technologies, we can start to take back the security we deserve.
- The entertainment industry – The entertainment industry is rife with issues such as piracy and fraud. Thankfully, they can also make use of blockchain technology. Whether it’s paying royalties to artists in the music industry or distributing entertainment through the use of blockchain technology, there are many exciting opportunities that are just waiting to be discovered.
Blockchains are difficult to understand especially if you’re unfamiliar with how they work, the terms used and so on. However, they can be incredibly useful and they are an emerging technology that, much like the internet, will soon find its way into almost every industry that you can think of.