Will Blockchain Change the World?

Yes. Like most of the people around us know, blockchain will most definitely change the world.

Though this tech will change the world, no one is quite sure what this would look like nor what the future of Blockchain is. However, as we study and analyze the ways that Blockchain has started being implemented in our society, we can predict what the possible outcomes are.

But first and foremost, where did this crazy idea that Blockchain could change the world even come from? It came from the concept of decentralization.

What is Decentralization?

As you may know, Blockchain does not store any of its information in just one central location. Alternatively, the Blockchain is actually copied then distributed to a network of computers. If one new block is added, every computer on the network will update to mirror the change made. This is what’s called a decentralized network.

Visual of a Decentralized Network

The Changes Blockchain Will Make

Characteristics of Blockchain:

1. Distributed Ledgers: Enables peers to have copy of ledger. Advanced techniques used to verify consensus is maintained within network so that entire database doesn’t have to be downloaded. Peers can validate information quickly without need to rely on centralized authority. Ensures that everything is fraud free.
2. P2P Network: Blockchain is a peer-to-peer network where existing devices can participate and become part of network. P2P network allows computers over network to work together and offer combined computational power to whole network.
3. Pseudonymity: Blockchain network enables users to stay anonymous if they want.
4. Immutability: Distributed ledger, cryptographic hash feature, and other features ensure that stored data can’t be changed without original user’s permission.
5. Cryptographic Hash: Hash function takes input then outputs a value, which is connected to next hash function. Impossible for hackers to guess value because it is a one-way function. Protects information in the best way possible. Hash function works for valid users who own information or asset.

Benefits of Blockchain:

1. Faster Transactions: Sending money for both businesses and personal uses is a common activity. Most services that facilitate payment take days to complete. Therefore, sending money for an emergency can become a problem. Banks generally hold payment for a few days before they use the SWIFT messaging system to transfer funds. This is due to strict rules around foreign money transfers. However, wait time also increases because of other intermediaries. The solution is blockchain. Send money without the need to wait days for receiver to receive payment. Banks are eager to adopt digital tokens for huge transfer amounts of money. Bank to bank settlements can be done faster and more securely.
2. Better Healthcare System: Health problems are very common in developing countries and so, people get transferred from floor to floor to find doctors or healthcare specialists. Keeping a full medical record becomes tough for patients as medical records can span through years or multiple doctors with different treatments. Blockchain can completely change how health problems are managed as it can enable holding medical records in a decentralized manner, which can be accessed by patient’s authority. This way, health practitioners can understand the patient’s case better, help them get treatment as soon as possible, and diagnosis faster and more successfully.
3. Increase Business Efficiency: Big companies are slowly embracing blockchain and helping connect people as this technology increases business efficiency. The general use-cases are good examples of how blockchain is and will change the world.
4. Improve Real Estate Industry: Real estate transactions take between a few weeks to months to complete. The large scale of the real estate makes it hard for buyers and sellers to coordinate and manage their properties. Moreover, you also need to pay a lawyer’s fee; it takes a lot of time and effort to buy one house. Trust is also an issue within the real estate market; as it’s easy to commit frauds and create forged paperwork. With the help of automation, real-time payment settlements, reduced costs, and tokenization Blockchain provides a more efficient process. Proper tokenization, allows real-world assets to be stored and traded on the blockchain. Tokenization means that other types of information can be stored online, including real estate funds, governance rights, and etc. Agreements on the blockchain are transparent and tamper-proof. Few of the blockchain use-cases in real estate include deed records and land titles, and tokenization.
5. Product Provenance: Blockchain works seamlessly with the supply chain. Any product that you buy goes through a series of destinations before it arrives at your doorstep. During this travel time, it’s open to multiple fraud entities that can tamper with the product. You might get a tampered product or a product that is completely replaced by a fraud one. With blockchain, companies can keep track of the condition of the product. If the product is changed or tampered with, the system will get alerted and then discard it from the supply chain.
6. Improve Finances: Blockchain platforms can transform the global economy quite easily. For example, the Ethereum blockchain can automate, secure, and operate an efficient process in the finance and banking sector. It optimizes cost and digitizes securities and other assets without increasing the managing cost. Blockchain helps the financial world with transparency, trust, privacy, scalability, efficiency, and security. Blockchain will succeed in changing the financial sector as it is superior to the transactional model. Some of the best blockchain use-cases in the financial world include investment management, lending and banking, and insurance.

When Will Blockchain Take Over?

Now after that entire spiel, it is now time to reflect upon when blockchain will take over the world.

The financial sector will be the first to see change. It is going through major problems and requires disruption to survive. Blockchain is the perfect catalyst and solution because of the way it changes how money flows through institutions and trade. Also, Blockchain affects the real estate markets heavily, which is connected to the global economy.

As Blockchain creates a more efficient and prosperous world where intermediaries aren’t necessary when people connect with each other it has the potential to change pretty much every industry out there.

Companies can use blockchain technology to provide a more transparent, and trustworthy service to the consumer by sharing information that can help create trust among users.

General users can also utilize the blockchain to its full potential. If you are a creator, you can connect with the buyers directly using a blockchain solution. Right now, we can’t properly predict when blockchain will take over, but what we do know is that this process has already started.