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What is Blockchain Technology and Future Scope?

Nowadays, Blockchain technology has become a hot topic in this digital world. It has been in news trends for a few years now. You must have heard about it during the explanations of bitcoins and cryptocurrencies. 

In a survey by Statista, it was predicted that the blockchain technology market size will see remarkable growth from 2016 to 2021. It has been precisely predicted that this technology will reach 2.3 billion U.S dollars by 2021.

Here is the graphical representation of their research work:

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The reason behind this growing market is its utilization in almost every sector.  To name a few areas that have adopted this technology widely are healthcare, finance, government,  insurance, asset management and many more.

The constant adoption is evidence of the fact that blockchain technology developers are transforming the global society in innumerable ways. The chief characteristic of this technology that is gaining hype is its decentralized aspect. 

This aspect makes blockchain technology immune to corruption and censorship. In simple words, blockchain involves keeping records of all data exchanges as a ledger. Once this transaction is verified, it cannot be altered. 

The simplified and secured attributes of this technology are popular among businesses; that’s why many businesses hire blockchain development company to create their web or mobile applications. The plenty of applications of blockchain has encouraged business enterprises to utilize its benefits.

Bitcoin vs Blockchain

blockchain

Are Bitcoin and blockchain something very similar? No, they aren’t. In any case, they both are related. At this point when Bitcoin was released as open-source code, blockchain was wrapped up together with it in a similar solution. 

Also, since Bitcoin was the principal use of blockchain, individuals regularly inadvertently utilized “Bitcoin” to mean blockchain. That is the manner by which the misconception began. Blockchain innovation has since been extrapolated for use in different industries, yet there is still some confusion. 

How exactly are Blockchain and Bitcoin different from each other? 

Bitcoin is a sort of unregulated computerized currency that was first made by Satoshi Nakamoto in 2008. Otherwise called “digital money,” it was propelled with the expectation to sidestep government cash controls and streamline online exchanges by disposing of third party intermediaries of payment processing. Obviously, achieving it required something different than the cash. There must be a safe method to make exchanges with the digital currency. 

Bitcoin exchanges are stored and transferred utilizing a distributed ledger on a distributed system that is public, open and unknown. Blockchain is the supporting innovation that keeps up the Bitcoin exchange record.

How is the blockchain for business unique? 

The blockchain that supports Bitcoin was grown explicitly for the cryptographic money. That is one reason it took some time for individuals to understand the innovation could be adjusted for use in different territories. The innovation likewise must be adjusted a lot to satisfy the thorough guidelines that organizations require. There are three primary attributes that different the Bitcoin blockchain from a blockchain intended for business. 

Resources over cryptographic money 

There is a progressing discourse about whether there is an incentive in a sans token shared record, which is basically a blockchain without cryptographic money. I won’t say something regarding this discussion, however, I will say this: blockchain can be utilized for a lot more extensive scope of advantages than just digital money. 

Unmistakable resources, for example, vehicles, land and sustenance items, just as immaterial resources, for example, bonds, private value, and protections are on the whole reasonable game. In one business use case, Everledger is utilizing blockchain to follow the provenance of extravagance products to limit misrepresentation, report altering, and twofold financing. Presently, more than one million precious stones are verified on the blockchain. 

Identity over anonymity

Bitcoin flourishes because of namelessness. Anybody can see each exchange that occurred, yet the record data is not an important arrangement of numbers. Then again, organizations have KYC (know your client) and AML (hostile to tax evasion) consistency necessities that expect them to know precisely who they are managing. 

Members in business systems require the total inverse of obscurity: security. For instance, in an advantage care framework like the one being created by Postal Savings Bank of China, different gatherings, including money related establishments, customers, resource caretakers, resource administrators, speculation consultants and reviewers are included. 

They have to know who they are managing yet one customer or counselor doesn’t really should most likely observe all exchanges that have ever happened (particularly when those exchanges identify with various customers). 

Selective endorsement over verification of work 

Agreement in a blockchain for business isn’t accomplished through mining however through a procedure called “specific support.” This is carefully tied in with having the option in order to control precisely who checks exchanges, much similarly that business happens today. 

On the off chance that I move cash to an outsider, at that point my bank, the beneficiary’s bank and potentially an installments supplier would confirm the exchange. This is not the same as Bitcoin, where the entire system needs to work to confirm exchanges. 

For what reason will blockchain change the worldwide economy? 

Like how the web changed the world by giving more noteworthy access to data, blockchain is ready to change how individuals work together by offering trust. By structure, anything recorded on a blockchain can’t be adjusted, and there are records of where every benefit has been. In this way, while members in a business system probably won’t almost certainly trust one another, they can trust the blockchain. 

The advantages of blockchain for business are various, including diminished time (for discovering data, settling questions and confirming exchanges), diminished expenses (for overhead and middle people) and eased hazard (of the plot, altering and extortion).

Future of Blockchain in 2020 and Beyond

One of the major applications of this technology lies in financial services. Here is a graphical representation of research that shows the increasing U.S blockchain technology market size by application from 2015 to 2024. 

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From this image, it is clear that most of the applications of blockchain development technology are related to financial services. Undoubtedly, this is the most eminent service of blockchain and a hot topic of discussion everywhere.  

Also Read: What is IoT and Benefits Of The Internet Of Things

Have you heard about cryptocurrencies in the news frequently? You must have read something or the other about them. These cryptocurrencies like bitcoin and ether are based on blockchain development technology.  

1. The Rise of Blockchain Wallets

Just like you carry your cash in your pocket, you can keep these cryptocurrencies in your blockchain wallet. There are many people who are using this wallet these days. In research by Statista, it was found out that the blockchain wallet users are rising tremendously. 

Have a look at some graphical representation which shows the growing number of blockchain technology wallet users from the first quarter of 2015 to the last quarter of 2018. 

blockchain

These findings are a piece of evidence to the fact that blockchain wallets are immensely popular in the contemporary financial market.  We are sure you would be eager to know everything about them. To get a better understanding, Brave has a very informative article on how blockchain in these wallets works.

2. The major use case of blockchain technology is the Gaming Industry.

Game and gaming companies have been delighted with non-standard digital currencies for many years. For them, blockchain and crypto represent a natural evolution of the current though犀利士 t process. With the growing popularity and legitimacy of esports, the entire gaming world will influence the way they depend on the blockchain.

The game scene manages to attract viewers with the most sophisticated tech from the general public, making games an ideal place to test for new key chain jobs. Multiplayer systems, payment structures, and game assets can take advantage of the potential of the blockchain game

Many people from gaming companies have already tested the water. Sony– the technology giant– plans to start a blockchain-based video game on PlayStation 4 this year. Epic Games, the studio behind Fortnite, is looking for new ways to integrate blockchain into gaming experiences. While others talk about the blockchain’s future, the gaming industry is already working.

3. Stablecoins will gain immense popularity in 2020.

Stablecoins take crypto innovation to the next level. These incredible new expressions of blockchain power can connect with every type of traditional asset to increase confidence in the nervous and unexpected financial markets.

In simple terms, stablecoins is a cryptocurrency that connects its values ​​to real-world assets like the US dollar. Winklevoss twins believe that such crypto-coins may represent the future of crypto-currency. Because they make it more comfortable for business owners and retailers to accept crypto payments. They are also more attractive to investors who have free currencies like bitcoin; you do not have complete confidence in yourself.

Governments will also have more to do with stablecoins than other encoded assets. After all, stable stocks can replace the traditional fiat currency, but this future is too long.

4. Blockchain will widely used in Education & Academia 

By their nature, academic degrees must be universally recognized and verified. In both primary / secondary education and university environments, verification of academic credentials remains a mostly manual process (dense on paper documents and investigations for each case).

Also Read: What is Unique Selling Proposition (USP) – The Key to Successful Business

Implementing blockchain solutions in education can simplify verification processes, reducing fraudulent claims without acquiring educational credits. For example, Sony Global Education has developed a new education system in partnership with IBM, which uses the blockchain to secure and share student records.

10-year-old Learning Machine teamed up with MIT Media Lab to launch the blockchain toolkit, which provides an open infrastructure for academic credibility on the blockchain.

Educational KnowledgeWorks has released a report on how the blockchain works in primary schools from kindergarten through twelfth grade. The report describes how blockchain can be used to simplify administrative tasks, decentralize educational materials, make them more accessible, and share experiences and learning. Create a network to store related data.

Let’s Wrap Up:

So, here we discussed everything about blockchain and its future. No doubt the future of blockchain is very bright and it will see growth in various other industries in addition to the finance industry. That’s why many software development company are shifting towards blockchain technology for creating secure, scalable and feature packed web and mobile applications.