Bitcoin and Blockchain Disruptions – 16 Important Ones
Bitcoin and the blockchain was born in 2009, created by a pseudonymous entity known only as Satoshi Nakamoto. Some believe it was created by the CIA and don’t trust it. However, many have embraced it and learned its ways, and their efforts have rewarded them handsomely. Some by trading crypto others through business ventures. No matter what your opinion is of cryptographic technology, bitcoin and blockchain disruptions abound. This article will explore the top 16 disruptions.
Distributed Ledger Technology (DLT)
But let us remember that bitcoin is so much more than just a trade-able cryptocurrency. It’s computer code foundation is based on distributed ledger technology (DLT) called blockchain.
Bitcoin the cryptocurrency, inspired the invention of thousands of other cryptocurrencies (commonly referred to as altcoins), and is revolutionizing the financial sector. The DLT blockchain allowed creative software developers to dream-up more and more creative ways a decentralized ledger could revolutionize many industries. In fact, the invention of bitcoin led developers to expand the distributed ledger idea into several other types of DLTs including…
- the hashgraph used by Hedera
- the DAG or tangle used by IOTA
- and the Holochain.
I won’t go into all these DLTs in this article because it would get too long. Maybe in the future I’ll write about them.
All these inventions have the potential to disrupt nearly all major industries and of course some are happening more quickly than others. Such technology greatly increases the safety, efficiency, visibility, and integrity of information and data flow. Its decentralization and cryptographic security make it a hacker’s nightmare, because there’s no central hub to attack. That said, there are still vulnerabilities in blockchain and DLT. Luckily, the development industry is booming with smart people, as evidenced by the amount of developers pouring into the space to work on these challenges.
Government, Business, Retail
The technological innovation of DLT and blockchain is already on its way to radically changing industries from governments, to business, to shopping, to healthcare, to identity protection, and much more. It promises to reshape nearly every aspect of our daily life. The specifics of what will change are still being decided by visionaries, entrepreneurs, and developers.
Get ready! Crypto, blockchain, and bitcoin are here to stay and life will never be the same.
The infographic images in this featured article shows you in visual format all about bitcoin and blockchain disruptions and the industries that are being changed by this revolutionary technology. The original infographic was one very long image that was too big to decipher. I’ve taken the time to cut the image into discernable pieces to make it easier for the reader.
Business and Blockchain
What are the potential benefits crypto and blockchain can offer businesses?
- Time and cost efficiency
- Raising capital
- Record keeping
- Fraud reduction
- and more
Blockchain and Banking
Currently 90% of major North American and European banks are exploring blockchain solutions. Blockchain’s potential for reducing bank infrastructure costs is 30%. Also cyber security implementations in crypto and blockchain offer greater protection. Some key benefits include:
- Accurate tracking
- Smart contracts
- Reduction in fraud and errors
Supply Chain Management with Blockchain
You may already know this, but supply chain management is very complex. The amount of paperwork to complete and track boggles the mind. Crypto and blockchain is greatly reducing the workload associated with tracking cross-continent shipments by…
- reducing or eliminating fraud and errors
- improve inventory management
- reduce time spent and increase efficiency
- improve customer engagement
IBM and Maersk have been working together to develop a new blockchain initiative called Tradelens.
TradeLens runs on a powerful permission matrix and blockchain, ensuring every party to a shipment has access only to their information and a secure audit trail of all transactions.https://www.tradelens.com/
Blockchain and Internet of Things
The tangle or DAG version of distributed ledger technology is sometimes used for the internet of things (IOT). What is IOT?
The Internet of Things (IoT) describes the network of physical objects—“things”—that are embedded with sensors, software, and other technologies for the purpose of connecting and exchanging data with other devices and systems over the internet. These devices range from ordinary household objects to sophisticated industrial tools.https://www.oracle.com/internet-of-things/what-is-iot/
Insurance and Blockchain
Even though I’m not very fond of insurance and the enormous amounts of money that insurance companies collect from people, I recognize that it has its place in society. That means insurance will eventually be on the blockchain.
Ride Sharing and Blockchain
Ride sharing is very popular these days, but there are issues with these services that go unnoticed. The biggest issue is sexual assault by unvetted drivers. But how does this happen, you might ask. Uber and other ride sharing companies go to great lengths to vet drivers. I agree they do, but the existing system can’t control a vetted driver loaning their vehicle to an unvetted driver.
“Uber has disclosed 3000 sexual assaults in US rides last year in its long-awaited safety report, released amid widespread criticism of its safety practices and pressure to increase its transparency over the issue.”https://www.smh.com.au/world/north-america/uber-discloses-3000-in-ride-sexual-assaults-in-us-20191206-p53hiu.html
Cloud Computing and Storage Technologies
I think this is a very powerful and promising technology for the world today. Currently cloud storage is dominated by the likes of Google Drive, Dropbox, and Gmail. The convenience of cloud storage is undeniable. Its allows data to be accessed online anywhere at anytime. A big problem with the current system is the lack of security and privacy.
How is blockchain cloud storage different?
A blockchain cloud storage solution takes a user’s data and breaks it into small chunks, then adds a layer of security and distributes it throughout the blockchain network. Each chunk of data is stored across many machines making it decentralized and nearly unhackable. If intruders try to hack into it, they first get encrypted data. Then they only get a small chunk of data and not the whole file. This greatly increases security and privacy.
Charities have benefited from cryptocurrencies since 2012 and maybe before that. Save the Children foundation started accepting donations in bitcoin via BitPay in 2014. I love the Giveth.io project. It allows people to easily donate crypto to their favorite charity.
Giveth is a community focused on Building the Future of Giving using blockchain technology. Our intention is to support and reward the funding of public goods by creating open, transparent and free access to the revolutionary funding opportunities available within the Ethereum ecosystem.https://docs.giveth.io/whatisgiveth/
I truly believe blockchain technology is the future of voting. It will provide the integrity needed to bring trust back into voting. After all, trusted and accurate elections are the cornerstone of a democratic society. There are already companies working to bring blockchain solutions to the voting populace. Some include…
- Horizon State
- Follow My Vote
- Democracy Earth
According to consensys.net their are great benefits of blockchain in government. I tend to not trust government, but maybe blockchain technology can help change that.
A blockchain-based digital government can protect data, streamline processes, and reduce fraud, waste, and abuse while simultaneously increasing trust and accountability. On a blockchain-based government model, individuals, businesses, and governments share resources over a distributed ledger secured using cryptography. This structure eliminates a single point of failure and inherently protects sensitive citizen and government data.
In almost every country in the world, governmental administrative systems are based on a 19th century centralized, hierarchical bureaucratic system. This system is outdated and no longer reflects the digital, high-speed world in which we live.https://consensys.net/blockchain-use-cases/government-and-the-public-sector/
It is expected that blockchain will be the key that unlocks barriers to healthcare data-sharing. Blockchain is gaining traction as a tool that could help solve some of the healthcare industry’s age-old problems. Problems that have resulted in wasteful spending and higher costs for providers, insurers and patients. Once-reluctant competitors are joining forces to find out just what the technology can do and in the process are developing new transparent business models.
“When we talk about healthcare today, we talk about silos a lot—the silos of data and the barrier for exchanging information,” Humana’s Culver explained. “The hope is that blockchain allows us to connect those silos and … enable new capabilities (so that) access to information is no longer is where we compete. Instead we compete much more on value-added service and the trust and transparency of the companies that are providing those things.”https://www.modernhealthcare.com/article/20190209/TRANSFORMATION02/190209953/will-blockchain-save-the-healthcare-system
Today, utilities use complex software platforms called an energy management system (EMS) and advanced distribution management system (ADMS) to manage the demand, supply, and reliable delivery of electricity on the power grid. But it is difficult to scale EMS and ADMS. This is where blockchain can help.
A common vision for the future of the nation’s energy grid involves homeowners selling unused power generated from rooftop solar panels to others in their communities. Then working together to help ensure the reliability, resiliency, and security of the power grid everyone uses.
Several emerging solutions to this opportunity rely on blockchain technology. Researchers at the National Renewable Energy Laboratory (NREL) are evaluating the use of blockchain for transactive energy using hardware in the laboratory’s Energy Systems Integration Facility (ESIF). This may reshape the world of electric systems operation in the future.
Blockchain technology is tipping the scales of the music industry and shifting power into the hands of artists, which is where it belongs. So, how is blockchain changing the music industry? One of the positive effects is the ability to remove middlemen from the process of music sales and streaming. While streaming platforms have changed the way music is consumed, making it more widely available to the listener, it has also created a whole new level of intermediation between artists and fans. Unfortunately the artists are often not give the attention they deserve by these intermediaries.
Other platforms such as Mediachain, Musiclife, eMusic and others focus on royalties issue and use similar technology to provide independent artists with a bigger piece of the pie. Additionaly, blockchain technology is also becoming an easy and streamlined way for independent artists to deal with other facets of the industry that can often be challenging for upcoming artists.
“Given the small scale of operations and low financial independence, smaller artists need to have high levels of financial and legal literacy, in order to secure their own financial stability.”https://cointelegraph.com/news/blockchain-to-disrupt-music-industry-and-make-it-change-tune
Blockchain can offer an enormous amount of opportunities for retail industries, but it’s not easy for an industry with multiple legacy systems to change its ways. Some of the issues in the retail industry that blockchain is expected to support include:
- better customer identity management
- create better brand loyalty programs
- use of crypto as payment method
- proper inventory management
- mitigate cyber attacks
There are many benefits of using blockchain technology in real estate. From title transfers to price negotiations, blockchain technology offers a simple and secure way to perform complex real estate transactions. Consider how in recent years, home tours have gone digital. You can schedule a self-guided tour and view an house without talking to an agent. Similarly, blockchain technology simplifies many steps of purchasing a property by providing secure virtual solutions.
Typically real estate agents act as a middlemen between the seller and buyer of a real estate transaction. However, smart contracts are changing this setup.
A smart contract is a self-executing blockchain contract outlining the terms of an agreement between a buyer and seller. The terms are written into lines of codes that are stored across a distributed ledger on the blockchain network.
Listing agreements, letters of intent, offer sheets, and closing documents are examples of contracts that can become digitized on the blockchain. Signing smart contracts instead of paper contracts can significantly speed up the whole transaction process. It also eliminates the need to meet and negotiate with brokers, bankers, and lawyers while ensuring peace of mind that the transactions are secure and legitimate.
A common pain point for entrepreneurs and small business owners is that many of the incumbent sources of capital are controlled and monitored by a relatively small group of individuals or institutions. Blockchain is a decentralized and distributed way to store and share information between different network members, including the allocation of information and capital. In addition to the potential lack of access to capital for many aspiring entrepreneurs and small business owners, the cost of raising capital and starting a new enterprise can be prohibitive when pursued through traditional channels.
“At the core of the blockchain crowdfunding idea, the automation and decentralization of blockchain technology can assist in returning the authority and decision-making power connected to a project to the entrepreneur instead of delegating those to the capital providers.”https://www.ibm.com/blogs/blockchain/2019/09/blockchains-potential-to-revolutionize-crowdfunding/
The Rise of Blockchain Globally
5 Blockchain Trends to Watch
The infographics in this post were originally created in 2018, but the innovations continue.