Many people perceive the terms, cryptocurrency and blockchain to be synonymous, but in reality, there’s much more to the technology than just a payment mode. There are many uses of this blockchain technology that are developing and businesses from around the world are excited to use this technology to create a more progressive business model.
Never before in the history of the world, has our shopping, our communication, and our banking transactions been online. Everything that we do online is recorded and this includes the exchange of value, the digital transactions of services and goods and so on. The all new blockchain technology collects all these data in encrypted blocks and this can never be modified or changed and sends it across a global network of nodes or computers.
Some of the cutting edge digital firms around the world are using blockchain technology to revolutionize the way humans use the internet. Blockchain technology is a distributed database which maintains a list of records of every single transaction. These records are called “blocks”. Each encrypted block contains the detail of every block which came before it, in a time-stamped transaction log. Attaching all these blocks together makes a blockchain. This new technology can be used for various other things apart from a substitute for conventional currencies.
Blockchains are virtual ledgers that can be used for all sorts of things- not just money. Here are some of the potential uses for blockchain technology, that will change how the world uses the internet.
- Decentralize The Internet – Scientists and programmers are presently working on creating decentralized internet platforms to distribute the functions of the internet over various nodes, thus increasing the flexibility of the Web. As the use of internet continues to increase, a decentralized internet will be beneficial to people worldwide.
- Smart Contracts – This is something which can be built on top of a ledger and operate as a decentralized application. The specialty of these programs is that it can run functions which are very sophisticated and it may diminish the need for present-day legal contracts.
- Decentralized Markets – One major challenge with digital currencies is the need to trade on centralized exchanges that can be hacked or shut down at anytime. The specialty of the decentralized market is that it allows trading without the need to trust a third party.
- Decentralized Social Networking Platforms – All social networking sites now are centralized and these are prone to censorship of information. A decentralized social media platform would alleviate any censorship issues and financially reward all content creators.
- Encrypted Messaging – Another special feature of blockchain technology is that it will encrypt all messages and store data efficiently on all systems. All this data can only be accessed using private keys.
- Distributed Cloud Storage – The specialty of distributed cloud storage is that it avoids the importance to place faith in large centralized companies, where data is vulnerable. The pricing may escalate to cover expanding number of various data servers.
- Authenticated Voting – Digital voting can be prone to tampering, but blockchain technology voting is verifiable and this will allow almost anybody to audit the blockchain to confirm votes.
- Stock Exchange – In conventional stock markets, there is generally a delay of around 2 to 3 days for the settlement of stocks and bonds. However, trading stocks on blockchain technology are more cost efficient and it comes with instant settlement features.
- Real Estate – Transactions, property titles, and value can be built on this blockchain technology by providing transparency and at the same time reducing the time and cost associated with all real estate transactions.