The thing that makes the concept of cryptocurrency so lucrative to people is its decentralized nature. The fact that there is no centralized body or ?middle money man? to take a cut out of a transaction is a huge selling point. The blockchain technology behind the working of the cryptocurrency transactions ensures that the transactions are transparent and error-free.
The peers who contribute their computing power towards sustaining the blockchain system are automatically rewarded with newly-generated currency making the system self-contained and devoid of any regulatory body. A fascinating aspect of this concept is that the technology can be conveniently and cost-effectively adopted for an existing system making it much easier and cheaper to run.
Furthermore, the ?ledger? applications of blockchain can be used to record just about any form of valuable information; not just financial transactions. Anything that can be measured and valued can be stored and shared. This could include votes, food stamps, land titles, deeds of ownership, birth or death certificates, and a whole lot more. The applications of this concept are only limited by imagination.
We are not talking about some farfetched futuristic utopian concept that could be implemented in the distant future. This is already happening, right here? right now!
The Future and Beyond
When you start thinking about the change in dynamics, transparency, and quantification that blockchain technology can bring to virtually every aspect of our lives, the possibilities seem endless.
At this point in time, when technology has advanced so much, it?s not so far-fetched to envision a world where we have an ocean of ?smart? devices that sense, record, communicate, respond, and share crucial data effortlessly and seamlessly that helps execute transactions. This way of transactions will also help us monitor and manage our environment in the most effective way.
The key factor in the whole concept is transparency. A universal ledger helps create universal trust in the community. This ledger accounts for all the transactions.
You must be wondering how does this exactly affect us?
For example, you?re at a restaurant and you need to know where the ingredients that went into your order came from. Or, you could be working in a foreign country and are burdened by the fees charged by banks or credit companies to send money back home. Or, you could be sick and tired of political leaders who have no accountability or transparency and need to understand how public funds are being used for the community. Or, you may be a real estate agent who needs to identify land titles surrounding a particular plot.
As in all examples, everything is accessible to you in an instant, enabling you to plan your life and implement it as you see fit.
Today, when it comes to Bitcoin and its contemporary cryptocurrencies, there?s a great deal of volatility and instability surrounding them. All that being said, you can?t deny the fact that the popularity of blockchain applications will continue to grow. Not only grow but expand at an exponential rate in the coming years. This sure means that the conventional financial systems could face a tough time standing up to the challenge.