The Future of Blockchain Technology: When to Wait for a Breakthrough
The Future of Blockchain Technology: A Look Ahead
Blockchain is technology is distributed, decentralized storage of information without the possibility of changing it. Data on the chain of transactions, the current list of owners – everything will not be lost, even if several computers fail at once. The distributed database was invented quite a long ago but got its successful use on the Bitcoin network.
Most technical experts agree that the potential for new enterprises and applications based on distributed ledgers is huge, but we are still waiting for that breakthrough year when blockchains will move from a tech-oriented direction to wide distribution. So I’ll take a look ahead. Can we expect a take-off already in the 2020 year?
The New Decade Opens a New Beginning for Blockchain Technology
In recent years, the situation with blockchains has been changing from hour to hour. Initially, there was great excitement around this topic, then was a decline but its development never stopped. 2020 promises to be very fruitful for blockchain technology. Already now we can confidently talk about the bright future since platforms based on a distributed registry that serve various industries from retail to logistics have been created.
One of the technological trends of the 2020 year will be the practical use of blockchain technology in the business processes of corporations and the public sector. 2020 is called the threshold of the blockbuster year for the development of blockchains. What does it mean?
This new time opens the door for taking the most ambitious and volatile steps in the world – the formation of a competitive environment in the market will continue, more products will appear in production, customers will see solutions to major tasks based on the blockchain.
The prospects for a breakthrough of blockchain technology were commented on by these influential people: Ben Golub — CEO of Storj Labs, Luis Macias — CEO and founder of GrainChain, Jonathan Johnson — CEO Overstock.
According to Ben Golub, 2020 is the time that many companies have chosen to sharply announce about fucking great innovations. Some businessmen have long worked on a plan for releasing beta versions and production versions of their platforms, and it was this 2020 year they chose to release products for the global market. It’s not just a simple story, isn’t it?
Luis Macias also tried to take a look ahead. He claims that in 2020, the leaders will remain projects with source code that use Hyperledger. Everything is explained not by the resources invested in, but by a large number of users and a new development side. Integrations have crucial use cases and are the perfect proof of concept. If talking about the commercial side of blockchains, everything does not rely on Hyperledger, so companies will need to come up with new ways to introduce it into the production line, while it is important to balance the distribution of permissions.
Ben Golub also told about some of the negative aspects of blockchain technology in 2020. Storj Labs, the executive chairman, believes China should take advantage of blockchains. “Until the SEC issues more clear recommendations on cryptocurrencies and blockchains, the US market will continue to be in a state of stagnation” — believes Ben Golub.
Jonathan Johnson noted the importance of enforcing the work of the Securities and Exchange Commission regarding fraudulent ICOs in 2017-2018. Legitimate security tokens will be a good way to raise capital for unique assets: “In 2020, the regulatory landscape began to catch up with technology. This provides a more liquid market for security tokens,” — the expert added.
In 2020, the most popular scenarios for using distributed ledger technology will be the tokenization of assets, cache pooling, notarial data, utilities, supply chain management, international currency transfers, syndicated loans, document management, electronic payments.
The most interesting cases in the world, we should expect from the application of the corporate blockchains in the financial sector, industry, the public sector, health, and insurance areas.
Should We Expect a Breakthrough from Hybrid Blockchains?
This year, companies that will offer their customers turnkey solutions based on distributed registry technologies will begin to appear on the market. Those who will be able to guess and calculate the needs of the business will win. You need to create solutions that can be implemented without excessive costs into the infrastructure to perform specific industry tasks: simplify, optimize and automate business processes.
Unlike its counterparts created based on public blockchain networks, corporate blockchain solutions should have improved scaling mechanisms and at the same time provide maximum stability, security, confidentiality, and decentralization of the system.
Blockchain allows you to get rid of intermediaries and reduce transaction costs, so even despite the high cost, the economic effect of their implementation will surely make the business increasingly turn to this technology. Moreover, it will be easier and cheaper to implement distributed registries every year.
Some analysts are betting on the development of hybrid blockchains in 2020, combining the advantages of private and public networks. Their advantage should be the ability to simultaneously provide users with controlled access and at the same time freedom.
The year has not started yet but hybrid blockchains show positive implementations to the fullest. So, for example, Kadena announced the launch of the eponymous hybrid blockchain platform with the ability to interact with smart contracts between private and public networks. In March, Brooklyn start-up promises to integrate its Chainweaver wallet into the Cosmos network that will create an extension of interaction between various blockchains.
It’s a cool application of blockchain technology. There is something to think about. Blockchain is applicable not only in the field of finance. For example, look at the voting during political elections. If you implement blockchains here, then everyone will be able to verify the authenticity of the data.
In the field of medicine, blockchain technology would allow to register the entire medical history, analyzes, information about vaccinations, medical history. It will not disappear anywhere, it will not be possible to fake, because it is tightly protected.
It’s time to look ahead, guys. With such opportunities, it is fucking clear that the future is behind blockchains, and 2020 is ready to show this!