While blockchain may be known to the general public as the mysterious computing power behind Bitcoin and other cryptocurrencies, tech-savvy investors know that blockchain has far more potential applications in the real world. Jennifer Walling, Regional Sales Manager for Pacific West Vascular Solutions, examines the future of blockchain technologies. She provides important insight into the possible applications of these technologies, describing how they can be used to further the aims of government and industry alike.
The essential concepts behind blockchain are defined as decentralized databases with secure encryption. These databases are created between interconnected computers in a decentralized system. Blockchain contains unique stamps or headers which are accessible to anyone, but the data inside is only available to those who have private keys. This means that information can move quickly and securely between systems for more efficient operation.
Blockchain Application according to Jennifer Walling
Future applications of blockchain technology are exciting. The technology originally used for cryptocurrency will continue to be important in the world of computing, giving companies like banks and cybersecurity firms better places to store their sensitive data.
Futurists have described a world in which governments adopt cryptocurrency. There may be many bumps in the road for these new federally backed cryptocurrencies, but given time and skilled consultants, cryptocurrency may become part of countries’ financial futures.
This may happen at first in developing countries where the traditional currency has endured levels of historic inflation or deflation. Investors in Zimbabwe have begun to adopt Bitcoin as an alternative to their own unstable currency. It is expected that many of these currencies will fail as new developments in the technology occur, but as the framework for utilizing these currencies grows stronger, they will begin to flourish and create stability in their markets.
Another exciting possibility for the application of blockchain technology is the rise of identity software. Blockchain is particularly suited to identity applications since it runs on encrypted blocks. If these blocks could be associated with an individual or business, the tiresome process of tracing identity and confirming ownership could be avoided. It would be easier for disenfranchised persons such as refugees to gain official identities, and it would be simpler for people from all countries to have their information in a decentralized database.
The implications of this move are huge. There would be less potential for security problems as well as better reliability and efficiency. We may be many years away from this idealistic vision of the future, but the potential exists for major shifts in the way identities are created and maintained.
Another place where blockchain may possibly be able to solve real-world problems is in the global supply chain. When products are entered as blocks, their origin and movements can be definitively traced. This may help to prevent counterfeit and gray market products from entering into the economy. Counterfeit and gray market products present serious challenges to the global supply chain today.
Drawbacks According to Jennifer
Blockchain does have weaknesses in its current form which may inhibit some of these possibilities from coming to pass. The requirement for multiple interconnected computers to create the blocks restricts its use to industrialized areas. There are fewer search capabilities than in other types of databases, making the information difficult to disseminate.
Jennifer Walling proposes that blockchain technology will continue to fuel innovations in the tech world and beyond, making a place for themselves in everyday life. Blockchain has the potential to upend the world of technology as we know it and to create a more transparent, more stable framework for computing applications worldwide. If its limitations are overcome through concentrated technological development, blockchain could be as important to the world of computing as the Internet as we know it today.