Blockchain technology continues to advance at a rapid pace since its introduction through Bitcoin in 2009. The recent skyrocketing value of Bitcoin has renewed public interest in the technology, and there are many organizations looking to capitalize on this interest. These companies are driving innovation forward. Here are some examples of the latest developments to keep an eye on.
The Stable Coin
Bitcoin is well-known for its erratic value. Many investors rely on this turbulence to profit off Bitcoin as an investment asset. However, these swings are counterproductive to its use as a currency. Many cryptocurrencies are seeking to ameliorate this situation by placing a strong focus on stability. These so-called “stable coins” aren’t meant to be used as investment assets. They’re meant to be currencies. Keeping prices steady makes them more viable for everyday transactions, opening up a world of possibilities
Social Media Blockchain Networks
While blockchain technology sees most of its use in cryptocurrencies, that is by no means the extent of its possible applications. The defining characteristic of tech is the lack of centralization. It doesn’t have to be used for transactions. The chains can carry any information. This could allow for social networks with greater security, removing centralized control over the data.
With so many people concerned over what Facebook and similar organizations do with their information, blockchain social media could be the way of the future. The process will ensure that users maintain complete and unambiguous control over their data. This way, corporations will not have the option to abuse their users’ privacy.
The concept of the Ricardian contract dates back to 1996 when Ian Grigg postulated a method of using external systems to simplify contract law. It involves using executable functions integrated into regular contracts that will remove ambiguity from some contract functions. By placing the contract into a blockchain, certain stipulations of that contract can be enacted automatically and impartially. This technology could greatly simplify many aspects of contract law.
User Management for Streaming Services
Streaming services are another area that new developments in blockchain technology could benefit. Relying on a blockchain to handle user data and permissions can greatly simplify these processes on the end of the streamer. In turn, they can provide their services more cost-effectively, hopefully leading to reduced prices for the end-user. This is another example of a digital contract being put into action through blockchain technology, allowing more effective implementation of user agreements.
Non-Fungible Tokens for Digital Assets
“Non-fungible” means unique or irreplaceable. Non-fungible tokens, or NFTs, use blockchain technology to maintain the uniqueness of a digital asset. This technology was actually pioneered by a video game called “Crypto Kitties” to safeguard tradable in-game items as unique. This technology has a wide range of applications in digital rights management, opening the door to more effective control on the side of both rights holders and users. It is also potentially a viable method for small artists and creators to safeguard their digital works.
A Digital ID Card
Identity theft is a major problem across all online domains. As hard as organizations try to combat this issue, there are just too many ways to falsify information online. A blockchain identification could provide a type of digital ID card. This technology would allow users to establish their identity without the chance of identity theft. In turn, organizations will be able to have more stringent requirements for identification without inconveniencing their users. The blockchain can securely store a unique user profile the can be integrated across many platforms.
A federated blockchain is a new type of technology. It can be thought of as a private blockchain, as opposed to a public blockchain like Bitcoin. Participants are determined upon the establishment of the blockchain, whereas a public blockchain allows anyone to participate. Every user in the network has equal power by design. These aren’t intended for cryptocurrencies but rather for other applications. They increase the speed, throughput, and privacy of the networks, making them suitable for internal applications.
Blockchain as a Service
One of the major trends in 2021 blockchain technology is blockchain as a service. Both Microsoft and Amazon are developing this technology in order to allow users to exploit blockchain technology. These projects will open up applications like smart contracts to the general public, who would generally not have the ability to implement such an application on their own. There are however some who are taking advantage of this new technology which is commonly associated with Bitcoin as well as other cryptocurrencies. Such is the case with The Brexit Millionaire scheme which is being promoted these days as a system designed to circumvent the recent FCA ban on CFD’s or contracts for difference.