Why we need the blockchain
The blockchain can be used for just about anything you can imagine: tracking packages all around the world in real time, creating copyright claims, fighting online piracy, and bringing an end to counterfeit products. The blockchain has become well known for its financial capabilities in terms of recording transactions. But it is important to remember that blockchain technology is much more than bitcoin and other criptocurrencies.
This versatility coupled with the volatility of cryptocurrencies and a certain difficulty in understanding all the extremes of this technology is what generates a certain sensitivity and distrust in some areas. But this is not new. The same thing was appreciated in the early days of the Internet, when it was ruled out that it could have any usefulness or when years later, after the “.com” bubble, nobody believed that Internet-based businesses could be make any sense.
The idea behind blockchain applications is very similar to that of bitcoin itself: restoring power to the individual user without having to rely on centralized services or companies. The decentralized and transparent nature of blockchain applications offer unprecedented technological advantages.
What makes this ecosystem so attractive are the blocks of data broadcasted and discovered on the network. Rather than just including transaction information, bitcoin blocks can transfer any type of data between users in a transparent manner. Blockchain applications and platforms can eliminate the need for a middleman as far as buying and selling goods is concerned.
Regarding the virtual identity, the blockchain can be used in the processes of verification of the authenticity of documents without the need to send sensitive documentation to third parties. The owner of the virtual identity card remains in full control of their data, without the recipient having to store a copy of that information.
The technological innovation of the blockchain is aimed at creating a new type of decentralized markets. Its impact on daily life will go beyond the transactions of financial assets, affecting many aspects of daily life, including digital communication, eliminating intermediaries and reducing costs.
Last but not least, blockchain technology is all about the community supporting this new wave of innovation. And those community members deserve voting rights in bitcoin‐related projects, as well as real‐life situations. It has the potential to open up, democratize, and legitimate processes and decisions in a transparent fashion like nothing else can. This is where the formative role of bitcoin and the blockchain technology that supports it comes from:
- Make it known to everyday people that it is possible to defend against fraud and corruption.
- That the way in which different services, platforms and technologies are accessed and used can be changed.
- That the world can be seen in a different and new way