Learn why blockchain technology is changing the future of various industries, beyond its mechanism behind cryptocurrencies
This doesn’t mean, however, that these companies will build its own cryptocurrency nor will they begin offering ICO token sales. The move in shifting their efforts to incorporate blockchain technology to their products and services has very little to do with cryptocurrencies, alt coins, or market value, but everything to do with the technology itself.
There are many ways that blockchain technology could be utilized by businesses that have nothing to do with cryptocurrencies. Some of these use cases include cloud computing, encrypted data storage, transparency in supply chain management, and more.
Beyond Bitcoin and Cryptocurrencies
The common misconception about blockchain is that it is one and the same with Bitcoin and cryptocurrencies. This is the very reason why the worldwide adoption of blockchain technology has been slow—the volatile market value of Bitcoin and altcoins are enough reason for some people to become hesitant in investing in it. Additionally, being an emerging technology, blockchain is still somewhat met with doubt by the general public.
The fact, however, is that blockchain is the technology behind cryptocurrencies—it’s the mechanism that allows cryptocurrencies to be transferred and exchanged in a decentralized, secure, and trustless manner.
To be more specific, while cryptocurrencies are digital money, blockchain is a distributed public ledger that records all the transactions that has been made on the blockchain network. It’s what makes the network resistant to censorship and extremely difficult to hack, making it the ideal platform for any transaction requiring stringent security.
Why The Cryptocurrency Market Value Is Irrelevant
When it comes right down to it, the market value of cryptocurrencies per se doesn’t matter in the context of blockchain technology, because even though they exist on the same plane, cryptocurrencies and blockchain are separate entities.
This is the rationale behind Lykwyz focusing more on building blockchain solutions than cryptocurrencies and market value (although cryptocurrency trading still plays a vital role)—we acknowledge the power of blockchain technology and how it can help reshape the future of digital technology, far more than how cryptocurrencies are changing the game today.
While Bitcoin and cryptocurrencies are all the rage as of this writing, the continuing focus on market value and cryptocurrency prices leads key investors to miss the big picture—blockchain technology is valuable in itself because of its innovative technology and underlying principles, and with the continuing development in the blockchain space, it is the future of our world as we know it.
Blockchain Technology and the Future As We Know It
Bitcoin, the most popular cryptocurrency, first introduced the blockchain to the world upon its inception. However, as developments in the blockchain industry continue to evolve, so does its applications. Today, blockchain can be applied to numerous industries, such as banking, insurance, healthcare, law, and democracy—virtually every possible industry.
To illustrate, here are a few real-world use cases for blockchain:
• Maersk – The company is in the works with Microsoft to create a blockchain solution for streamlining marine insurance.
• Govcoin – This startup is working with the UK Department of Work and Pensions to develop a blockchain solution for welfare payments.
• Kodak – The imaging company is developing a blockchain system for tracking intellectual property rights and payments to photographers.
• Ubiquity – This blockchain startup is developing a blockchain-secured platform designed for real estate record-keeping
Through smart contracts and decentralized apps, blockchain opens vast opportunities for businesses to innovate through its decentralized nature. With the likes of Google, Facebook, and IBM heading the game, blockchain technology in the realm of multiple industries will definitely reshape the future of our digital-centric world.
As Harvard Business Review puts it: “Blockchain is not a “disruptive” technology… Blockchain is a foundational technology. It has the potential to create new foundations for our economic and social systems.”
The demand for blockchain technology is growing year by year, and it’s no surprise why industry leaders and other tech giants are keen on heavily investing in blockchain technology. In fact, analytic data from WinterGreen Research revealed that the global market for blockchain-related products and service is projected to reach $60.7 billion in 2024—and with the rate of how blockchain technology is evolving, there’s no telling how much its potential will grow in the years to come.