How blockchain technology will change the world.
Blockchain technology was invented as a way to exchange Bitcoin safely and privately and may well be one of the most important inventions of the 21st century. It creates a way to store, exchange and access information in a way that it is immutable – it can’t be hacked, altered or deleted. It’s a means to decentralize the ways in which we share money, information, programs, and much more.
Blockchain technology is so powerful that it leads us to ask: what are the practical applications of blockchain technology outside of cryptocurrency?
Since the blockchain is immutable, it’s a much safer way to send money than the regular third-party process that we currently use. They don’t store your personal data such as name, address, banking details or email, meaning that there’s a much smaller risk of fraud and spamming on this network. Also, because of its decentralised nature, it’s virtually impossible to hack. This is very important when you think about how many major corporations, banks and even governments have been hacked recently. This makes it the ideal for social media, online shopping sites and even companies to store their important data in a way that provides their users more of an assurance of security.
Blockchains are already used for peer-to-peer transactions of cryptocurrency. It also has potential to be helpful for money transfers outside of this system as well. There are apps that can be used to facilitate these transactions but they have their limits – transaction fees, geographical limitation, and the time it takes to process transactions. For people who work a long way from home, blockchains could make it easier for them to instantly and safely send money to their families. They wouldn’t have to deal with middlemen, post offices or banking fees – all they would need is an app and access to mobile data.
Accessible financial services
Blockchains are a way to democratize financial services. There are many people around the world who have no access to financial services such as bank accounts and loan infrastructure due to their financial situations. They are being excluded from participating in the financial market due to unfair banking regulations. Since cryptocoins and blockchains are not bound to or controlled by one single government or banking institution, it could bring those in the developing world into the markets. These countries will now have the opportunity to grow their personal wealth, finance business ventures and participate in the global economy.
Access to mobile data and smartphones is growing rapidly around the world and all you need to trade and transfer cryptocurrencies is an app and an internet connection. Developing countries could even do away with their struggling fiat currencies and start implementing digital currencies.
These are just a few of the amazing real-world applications of blockchains. Buying cryptocurrency can be your way of participating in one.