Going Beyond Bitcoin: Revolutionary Applications of Blockchain
This post originally appeared on blog.up.co
If you've heard the word Blockchain mentioned in conversation, you probably have heard it been used synonymously with Bitcoin. Well, that is not the case. Bitcoin is essentially only an application that is built on the blockchain platform. Blockchain, more impressively, is a secure, distributed and shared database on which various applications, not only digital currency, can be built.
If you are wondering what some of these applications are, this article will give you a few that will have you thinking outside the box.
The world today is at a great risk of digital insecurity. It is estimated to cost the digital security industry about $18.5 annually. Managing digital identities could be made both efficient and secure by Blockchain technologies, thus reducing cases of fraud.
Whether it is banking, healthcare, citizenship documentation, national security or retailing, the adoption of Blockchain technologies would be beneficial. This is because they are based on digital signatures and irrefutable identity verification based on public key cryptography.
Distributed Cloud Storage
Before, the only way to share a digital document with another person was to send it to them and ask them to make revisions on it. This scenario would create a lengthy back and forth between the people concerned as one had to wait until the other person was done editing and sending the document so as to view it.
That is how databases work today. Even in banks! They briefly lock access while they make a transfer and then update the other side and finally reopen access to update. This process is not very efficient. Imagine if the database can be accessed concurrently and a single version of it is always available.
What would you say if someone told you that you could significantly slash your mortgage rate? Ridiculous, right? At least not in the current economy. Wrong! The use of smart contracts is increasingly drawing near. Smart contracts are simply digitized contacts that are entered by the Blockchain that is automated and can self-execute.
The current norm is bringing in a third party to execute a contract rather than trusting one central authority. Companies such as Rootstock and Ethereum are trending in this area.
Whenever the topic of Online voting is brought us, there is a general sense of apprehension. This is because many think that it is sufficiently insecure. The adoption of online voting can be made more acceptable through the use of Blockchain technology. This is because is it transparent and immutable in nature.
In 2014, the Liberal Alliance, a Danish political party became the first major political party to adopt Blockchain technology for internal voting. Other organizations around the world have expressed interest and we will, in the near future see it being actualized. An added advantage is that the implementation of Blockchain technology for voting should increase the number of voters per region.
Tracking Taxpayer Money
Blockchain technologies can be used to track money including students loans and international aid. It has potential to be used also to manage the distribution of grants as this has proven to be rather complex. Blockchain will make this easier as it is accessible to both parties, thus solving the problem at hand.
When you buy something online from a site, you get a digital receipt, closely resembling a physical one. Imagine if you could integrate all your receipts from all your spending into one Blockchain. All your data can be verified without a third party and it will all be immutable and unforgeable. The best thing about it? All your records are automatically timestamped.
Most of these applications are still in development phase and the full extent of Blockchain capabilities has yet to be unearthed. The bottom lone is that Blockchain is here to stay and is transforming how we, as a society, function.
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