We all saw it happen, the big drop of bitcoin from $19.000 in December 2017 to $6.000 in January 2018. With the loss of trust in cryptocurrency, the technology behind it is still of hugh value.
Of course we are talking about Blockchain. The technology which started with the cryptocurrency, but has much other non-financial potential. For instance, holding contracts in building sectors, or maybe holding health reports of patients.
The base of Blockchain is creating tamper proof technology for trustworthy online trades. Furthermore, it means it’s possible to use blockchain, either in an open network or a closed one, in any industry.
How does Blockchain work?
Blockchain starts with a base file, which can be shared in an (open) network of computers. Once the file needs an update, the file will be updated on every computer in the network. The file will be built from update to update, from block to block, creating a chain of updates. With every new update requiring approval of all previous updates in the change, it’s a pretty solid technology to use. Read more about how blockchain works here!
What can we use it for?
Of course, everyone links blockchain to bitcoin, and the financial sector is a logic industry to implement this technology. However, not only in currency, it can help banks with the housing market as well. Imagine a mortgage as the file, with a house (or a lot) as the first block in the chain. Add a garage and an update is created, making the value higher. It leads on to a much more trustworthy sell in the future.
As the technology is quite tamper proof, validation is an important step throughout the chain. It could be a solution to any type of contract and make them Smart Contracts. We may even use blockchain technology for political voting in the future.
As we may conclude: the drop of cryptocurrency is not the end of Blockchain, but a starting point for much bigger potential. Want to know what Blockchain can do for your business? Feel free to contact us anytime!