If you’re a modern criminal chances are you use it to buy guns drugs and even launder money.
Sounds dodgy, but high-profile institutions such as USA and UNICEF have a different view. They think it could be a force for good helping the poorest people in the world. It’s a technology called blockchain a global online database so anyone, anywhere with an internet connection can use it, unlike traditional databases which are owned by central figures like banks and government .
How does it stay relatively hack-proof the answer is … Block changed millions of users they make it difficult for any one person to take down the network or corrupt it the many folks, that run the system use their own personal computers to carry bundles of records submitted by others. The records area unit called blocks. Every block contains a timestamp and a link to a previous block forming a written account chain. It’s sort of a big Google Doc with one key distinction.
You’ll read it and augment it, however you can’t modification the data that’s already there. The blockchain enforces this by using a form of math called cryptography, which means records can’t be counterfeited or altered by someone else club chains most famous application is Bitcoin. It’s a digital currency that’s created and control electronically.
You can send it to anyone whether you know them or not. Bitcoin provides a level of anon. He’s not seen in modern times that’s because unlike credit cards and PayPal payments there are no middlemen, such as banks and financial institutions asking for our personal information, home address.
Banks and businesses and rushing to adopt blockchain database technology. In a survey of 308 senior executives at US companies with 500 million dollars or more in annual revenue. Deloitte found that 28% of respondents had invested five million dollars or more in blockchain technology, ten percent had invested ten million dollars or more. But why they are spending so much money?
Well to save money of course. When this study looked into the data of eight of the world’s largest investment banks it found that blockchain could save them between eight and twelve billion dollars every year. But that five million dollar investment doesn’t sound so bad now, but it’s not all good news for the big players.
Of course blockchain lowers the barrier for entry into the industry which suggests that FinTech startups area unit shooting up in just about each market. They operate it if banks and companies can’t keep up. They’re putting their own survival at risk for the consumer the future, seems brighter with more security less cost and higher experiences.
However blockchain might be the largest game-changer for the poorest in society, the technology is hospitable folks living in low-income countries or fragile states. In danger of economic collapse take a farmer with a small plot of land, which is then flooded the paper copy of the deeds to the his land is washed away resulting in. The farmer having no proof of owning the land or maybe he will have a digital copy on a government information, however it’s erased altered or maybe destroyed in a political coup.
If the farmer had filed that deed on a blog chain, he could have avoided all these problems along with speeding up the flow of cash and providing a secure place to stay records. The advantages for the poorest in society area unit monumental from protective our identities, to running autonomous vehicles to managing a world that is increasingly dependent on the Internet of Things. The possibilities of blockchain technology seem endless, but whether it lives up to, its promise remains to be seen.