How will blockchain impact the future

The technology that underpins cryptocurrencies and other distributed applications is blockchains. It could be the next big thing or completely irrelevant, but whatever happens to it will have a significant impact on the world.

This article examines some of the potential impact blockchains could have on our lives and looks at what can be done now to prepare for these changes. Blockchain will transform business in the future, particularly in finance, healthcare, law, and journalism. We need institutions to change now for this revolution to take place successfully.

Blockchain is a revolutionary technology that promises amazing things for our society. However, some experts say it's unlikely to have a 'huge impact on most people's lives.

Blockchain is a highly disruptive technology that is bound to change the economic and social fabric of our society. It will be disruptive, but only time will tell how dramatic this change is. This paper presents a methodology to analyze the likely future impacts of blockchain in less-documented sectors. It analyzes the implications for businesses and the public sector by analyzing complex interdependencies and issues arising from blockchain implementation. The results are then used to examine the effects on businesses and society so they can create new business models and prepare themselves for upcoming changes.

Blockchain and how it works

A blockchain is a series of records, called blocks, which are linked using cryptography. The first blockchain was conceptualized in 2008 by a person or group of people known as Satoshi Nakamoto. It forms the public ledger for all transactions on the network. Each block contains a hash of the previous block, timestamp, and transaction data. Once recorded, the data in any given block cannot be altered retroactively without the alteration of all subsequent blocks and collusion with the network majority.

This makes tampering practically impossible since anyone wishing to do so would have to attempt changing every previous record on that blockchain database as well — an almost impossible task. With millions of transactions taking place on the network, this makes it virtually impossible to change block data.

This is a major advantage of blockchain technology. The other side to this is that the contents of every block are open to public view with anyone having access to the internet able to view its contents.

The technology allows people to send and receive assets without third-party involvement — in a trust-less manner — and without needing a central authority or institution holding power over them. The technology has been around for almost 10 years, however, businesses have only started using it last year.

Blockchain in business

There is great potential for blockchain technology to disrupt every industry and business sector. However, it is in the financial services industry where its impact is most likely to be felt. Blockchain will disrupt the following:

a) Payments: Financial transactions will be made without third-party involvement thanks to blockchain technology. One pertinent example here is the peer-to-peer payments that the technology makes possible, where one person can transfer money directly to another person without involving a bank or other intermediary entity. This will mean a huge reduction in transaction fees and will also make it easier to transfer funds around the world.

b) Capital Market: Because the blockchain is a public database, participants in the financial markets will be able to predict how much capital they are required to offer during a capital raising. The technology allows for quicker digital transactions, increases transparency, and reduces fraud.

c) Property: Blockchain technology can be used to securely record transactions involving real estate around the world. In addition, it can also be used by property developers to ensure that all parties in a transaction are aware of the details from start to finish before such information becomes public knowledge.

d) Contract Enforcement: Blockchain technology is already being used by financial institutions to enforce existing contract laws. Employers can track their employees' working hours and receive payments on time by using blockchain, for example. The same can be said for suppliers who can keep tabs on the origins of their materials.

e) Identity Management: Governments around the world are increasingly using blockchain technology to issue passports, which will make travel easy and secure. This will also reduce fraud and increase data privacy.

How blockchain could impact us all

This is perhaps the most important question to tackle in this paper, as it could take on a variety of forms but still have a vast impact on our society for generations. For blockchain to be successful, we need to be ready and ensure that all stakeholders are on board.

Blockchain will have a huge impact on our lives in the future. A few applications of blockchain that could change our existence are listed below:

1. Supply Chain Management

Supply chain management is a very important aspect of modern society and managing it is becoming increasingly difficult due to the increasing complexity and number of stakeholders involved. Blockchain technology could drastically reduce the complexity involved in supply chain management by providing an accessible, transparent, and secure digital ledger for all parties involved in the transaction. This will result in a better understanding of where products come from, who owns them, and so forth, all without having to share sensitive information with external parties who do not need access to such information.

2. Smart Contracts

Smart contracts allow people to buy or sell goods, or provide services, in a trust-less and transparent manner. The smart contract is a self-executing contractual agreement made between two parties that can be automatically enforced, reducing the need for third parties. This will make deals faster and easier to execute. All this without requiring a middle man to mediate the transaction and reduce costs for everyone involved.

3. Fintech Development

Fintech development will be facilitated by blockchain technology through the development of advanced technologies like smart contracts that are more complex than those developed using traditional software platforms like those of financial institutions and banks. As a result, fintech companies will be able to create products that are smarter and more secure than what is currently available. This will also give rise to new businesses, which need blockchain tech to get started.

4. Identity Management

Blockchain technology can be used by governments to facilitate the issuance of digital identities that are valid internationally and cannot be copied or altered under any circumstances, as well as enforce data privacy on the blockchain itself. As a result, governments will have enhanced control over their citizenry's personal information and provide them with greater levels of protection against cybercrime.

5. Digital Finance

Blockchain technology can also be used in the financial sector to provide cheaper, faster, and more secure alternatives to existing systems. For example, it is possible that blockchain technology could be used by banks to transmit payments directly from point A to B and reduce the fees involved in this process. This will make transactions faster, more efficient, and less expensive for everyone involved.

6. Digital Currencies

This is perhaps the most controversial application of blockchain technology as it has been criticized for providing anonymity and facilitating criminal activities, namely money laundering. However, as with any other digital currency, each user has a digital wallet that stores their funds securely and cannot be accessed without the proper credentials. This means that using a digital currency like bitcoin is possible but users should still be careful when doing so.

However, the potential drawbacks of digital currencies are outweighed by their benefits as they are already being used for a variety of legal transactions. These include P2P payments and remittances, which could both be done faster and cheaper than what we see today. Other financial services that could be made easier and more secure via blockchain technology are crowdfunding, online voting, or even online lotteries.

7. Supply Chains

Supply chains are complex and as a result, they can lead to numerous problems. By using blockchain technology, it is possible to reduce the number of intermediaries that are involved in the supply chain process, resulting in a better understanding of where products come from, who owns them, and so forth. This will also make it easier for suppliers to track their materials which will increase security and reduce the chances of fraud.

8. Voting

Blockchain technology can be used for online voting as well as casting a vote in person at a polling station but only if the identities of voters are protected from anyone trying to alter this data or tamper with the results, which can happen easily with online voting systems.

9. Public Records

The way we run our governments and manage public records is increasingly becoming problematic. Many governments have become locked in a battle against cyber attacks and fraud, which could be prevented using blockchain technology. The blockchain can be used to store public records that cannot be altered or manipulated by anyone and will provide a much-needed security layer for these records, making it harder for cybercriminals to tamper with or alter the data. This will also make it easier for people to verify their identities as they can vouch for information regarding themselves instead of having this information stored on their systems.

10. Cybersecurity

Most cyber-attacks strive to get information regarding their targets. With the advent of blockchain technology, it has become much harder to obtain this information as it would be stored on the blockchain and not on a central database that is controlled by a specific party. As a result, hackers will have a much harder time trying to access this information and thus, reduce the risk of getting their hands on sensitive data.

11. Peer-to-peer Energy Trading

In recent years, energy distribution companies have begun to embrace new technologies like smart meters which have allowed them to track energy usage within homes and businesses to better manage the distribution of electricity and other sources of power. Energy is currently traded in a centralized way, meaning that intermediaries are present to facilitate the transactions.

Some companies have been working on a peer-to-peer energy trading platform that uses blockchain technology to allow households and businesses to exchange energy via smart meters. This will simplify the process of buying and selling energy between different parties and reduce the costs associated with it. As a result, more people will purchase their electricity directly from producers which will help decentralize power and make it less susceptible to blackouts.

12. Real Estate

Real estate is another sector in which blockchain technology can be used to facilitate property transactions by using smart contracts to protect payments and prevent fraud. In addition, blockchain technology can be used to verify the identities of people who wish to purchase real estate, therefore reducing the risk of it being used for criminal activities.

13. Digital Identity Management

We can all agree that security is currently a big issue in the digital world. Cybercriminals often target online accounts and use our personal information for malicious purposes. Blockchain technology provides better protection against cybercriminals by implementing asymmetric key cryptography, which makes it difficult to access or alter users' data while protecting their identities and providing them with better privacy as well.

14. Hospital Records

Hospital records are important. They contain sensitive information that should not be between different parties, including patients and various healthcare providers. Blockchain technology can be used to store this information more securely without allowing anyone to tamper with it. This will provide better security against cybercrimes, especially phishing attacks which can result in real-life consequences.

15. Voting Systems

Voting systems have been a huge source of fraud and corruption in the past few years, which is why many countries have started turning away from traditional systems and have been switching to online voting instead, as it has become much easier to manipulate and disrupt the process via these methods. This is why countries like Estonia are currently moving away from paper-based voting systems and toward blockchain technology. This will make it harder for cybercriminals to tamper with election results and will help countries to run election processes in a more effective, secure, and transparent way.