Many people think that the hype for Blockchain technology is over. Now it is not a buzz word being used in every tech conference.
It is now being considered that the relevance of Blockchain is restricted to the financial sector only and is not of much value to business applications. Emerging tech trends in industry are more complex, more data oriented, and need more advanced technology to ensure security.
Blockchain technology has the potential to revolutionize business processes in many industries including Public services. But to ensure its relevance in near future Blockchainneeds an upgradation.
Businesses need to put a lot of time and effort to reap full benefits of Blockchain in 2021.
Future of Blockchain Technology
Federated blockchain is also known as consortium Blockchain. Unlike Public Blockchain, Federated blockchain is not open to everyone and only pre-selected Participants are accepted. But it is also less decentralized and so individual participants get more power.
Hyperledger, Corda, Quorum are few examples of federated blockchain.
These blockchain doesn’t focus on Crypto-Currencies, as there are participants verified in advance and if found malicious are excluded.
Such exclusions are not feasible in public blockchain as there are humungous participants or the same participants with multiple identities simultaneously in order or gain financial incentives.
The rise of federated blockchain is evident as it is useful for smaller groups,organizations where the participants are verified in advanced and it offers few benefits over public blockchain which are as follows;
As there are less number of user in the network and less number of participants interacts with each other as a result the process becomes faster as compared to public blockchain.
As the process and consensus are quick in federated blockchain, means more consensuses can take place per second.
Federated blockchain allows multiple organization to use the network for their benefit.
In federated blockchain the interaction between the participants with increased transparency due to pre-verification makes the system more traceable.
Stablecoins are cryptocurrencies whose price is pegged to a cryptocurrency. These coins are making a position in the crypto market. Bitcoin is leading in market capitalization, and popularity. But the reality is different.
Recently Paypal is allowing customers to transact in Bitcoin which is a breakthrough in cryptospace.
The application of cryptocurrencies is developing rapidly. But the price volatility that too upward price volatility is a concern for Bitcoin to come in mainstream use of cryptocurrency.
So, the pegged version of cryptocurrrency or stable coins making it possible for adoption and mainstream use. As, these stable coins are backed by underlying assets.
Stable coins can be backed by virtually any asset and most popularly by US dollars in order to stabilize the price volatility.
Stable coins can rule the cryptospace and takeover Bitcoin due to following reasons;
The less price volatility is a major benefit of stable coins which attract individual and entities. In the case of Bitcoin it is pretty difficult to discover the price for both the current holder and for those attempting to integrate Bitcoin and other crypto.
The stable price of stable coins makes it a legitimate currency option in cryptospace and will soon takeover the popularity of Bitcoin. As the crypto market is evolving around tracking price of Bitcoin on daily basis.
The original idea of Bitcoin was to create a decentralized and distributed payment system. But the reality is way different, and something else happened. An alternative version of crypto emerge which must be liquid, posses low price volatility and are integrated with financial institutions.
Blockchain with increased popularity being used by many industries. With emerging tech trend in industry companies have started adopting blockchain technology.
Industries like healthcare, supplychain, government, insuarance, banking, real estate and many more have started using blockchain technology as it brings a lot to the table.
Even if blockchain was considered suitable only for banking sectors it has started disrupting other industries.
Companies using Blockchain technology are as followed;
Finance & Banking
Barclays is J.K’s second largest bank which uses blockchain technology for streamlining fund transfer and KYC process. They have also filed for a patent on these two.
To shift from paper based records completely to fully digital and decentralized vault platform HSBC is planning a blockchain platform.
To deal with business-to-business payment services Visa is adopting blockchain technology.
walmart has been a blockchain enthusiast for a very long time. It is using IBM’s supply chain technology. To track the foods from farmers to offer their customers.
It is another popular company that is using blockchain technology. IBM is working with them. They are using this technology to track their raw materials from suppliers. To make sure they’re getting authentic products.
It is also working on healthcare solutions. They use hyperledger to power their platform to secure healthcare data.
they are working on a Prove-of-concept that would trace pharmaceuticals from origin to customer.
Biogen and Pfizer has just completed a proof-of-concept for tracking records and managing digital inventories of pharmaceuticals products.
They have adopted blockchain technology to share documentations and policy data in real-time in a secure channel.
Metlife along with NTUC and SPH has created a lifechain. Which helps loved ones to determine whether deceased have an insurance and automatically will file and insurance claim.
To ensure there are no fraudulent activities in insurance and customer get better services, company is using blockchain technology.
Blockchain will not directly help to check the spread of virus. But with its decentralized nature, blockchain can be a perfect tool for sharing information around the world. By using ledger which cannot be tampered, medical professional get the authentic data of the disease.
- Tracking infectious disease outbreaks,
- Plasma and blood donation tracking,
- Crisis management,
- Securing medical information and supply chain,
- Automated surveillance and contactless delivery,
- online consultation and certification, etc.
Blockchain technology would exists longer due to its application in many industries. Its application in tracking along with greater data privacy has increased its usefulness.
Stablecoin and its popularity overtime will dominate the cryptospace. Its low volatility and integration with financial institution will ensure its mainstream use.
The benefit of blockchain is also known in this pandemic situation as many companies in healthcare, banking, insurance, supply chain etc are using this technology.
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