The last half of the year 2017 has witnessed huge ups and downs and a lot more discussion on the famous cryptocurrency ‘Bitcoin’ and the technology behind it. But more than the cryptocurrency, the technology behind which is known as ” Blockchain Technology” came into focus. Most of us have come across this term at least once through paper media or web. The curiosity to understand the blockchain technology in a better way is spreading among the folk at a faster pace.
This technology is really much-advanced technology and to the surprise of many, this technology can be used in many other aspects along with the finance sector. Blockchain technology has widespread its branches to numerous domains and it is believed to go much ahead of this. Today we are presenting 5 blockchain predictions which have a probability to realize in the year 2018.
1. Implications of Blockchain Technology on Banking & FinTech
The banking and fintech companies are going to step ahead with the implement of this technology. The finance sector is the first one to experience this technology. The advancement achieved with the help of this technology is well appreciated and this technology is going to make huge changes in this field. The first difference will come in keeping banking records by the financial institutions. The data recording of the present banking system is accessible only to the account holders. Blockchains, in contrast, records the data in a distributed ledger which can be viewed by anyone in the chain. This will bring a high transparency in transactions and banking frauds can be detected easily. The implementation of blockchain will be done in banking to improvise the payment method. The payments can be done securely by peer to peer method which in turns will minimise the work of banks. The implementation of entirely peer to peer money transaction is already in progress in many countries.
2. Grasp on Domains Other than Finance
Blockchain was initially originated to maintain the transaction of cryptocurrencies. But the use of this technology was found to be much beyond the finance section. This technology can be used by any industry or organization in which recording and oversight of transactions is necessary. May it be healthcare, education, land registration, cabs, share rides and what not. It is predicted by many experts of blockchain that 20% of organizations will have moved beyond pilot projects and will have operationalised blockchain by 2020, so 2018 is going to see significant progress in that direction. The legal works like transferring the ownership will see a great evolution because of the use of the distributed ledger. The IT giants like IBM, Pepsi Co and FedEx etc claim that blockchain is will become the second generation in tracking the transactions in its supply chain.
3. Smart Contracts Will Come Into Their Own
A smart contract is a piece of software that stores rules for negotiating the terms of an agreement. The smart contract automatically verifies fulfillment and then executes the agreed terms just how it is done nowadays by a third party like a bank or any other financial institution.
The smart contracts will come with better programmers which will eliminate the job of the third party in a transaction who used to authenticate the transactions. The idea that is going to be executed is that the smart contract will automatically authenticate a transaction when the conditions are filled. In other words, the same can be explained as- once the payment is done, the deliveries will be dispatched by default. Anything else in business which is typically defined by a contract will start functioning by its own.
4. A Year Of High Security Of Cryptocurrencies
It is undeniable that the hacker will come up with more intelligence to hack the exchanges, wallets, and applications on a blockchain but the crypto robustness will definitely grow stronger. The technology to fight against the hacks is called “resilience technologies.” The experts of this technology have an anti-fragility model, increasing capability and robustness to save the data from attacks, shocks, stressors, or failures.
5. Blockchain Meets the Internet of Things (IoT)
The internet of things is the once again a new concept or one can say a technology which is now going to be related with blockchain. The internet is definitely the other name of connectivity. Here with this new technology internet is not only connected to other people with an internet connection, it is connected to the electronic appliances of your home or office. May it be your AC, your fridge, your TV, microwaves, your laptop etc. This technology enables a person to handle any appliance at his home or office from any corner of the world. A report from International Data Corporation mentioned that by the year 2019, 20% of all IoT deployments will have basic levels of blockchain services enabled. The process of combining blockchain and IoT is in progress.
The predictions mentioned above are just the basic ones. The potentiality of this technology is far beyond than those. The coming era is the era of technologies and the blockchain is one of those futuristic technologies which going to rule the world in days to come.