Some people love cryptocurrency and some people hate it. Insiders recognize its disruptive power and governements secretly loathe and fear it. The names may change but one thing is for certain, blockchain is here to stay so we better get used to it!
When the highly-respected JPMorgan Chase CEO was asked at a global financial services conference in New York to give his opinion on bitcoin he said, “you can’t have a business where people can invent a currency out of thin air,” and to him I would like to politely say, you sir are very very wrong and should go back and study basic principles of economics like supply and demand.
It's true that cryptocurrencies exist on a blockchain and if there is a need or a use for it, there is a value that can be assigned to it.
One of the biggest reasons for Bitcoin's success is the fact that it has seen mass adoption and its network of use cases has grown exponentially since its creation. People now come to see it as a digital way to store value and because the quantity of tokens is of a finite nature its fiat denominated value will continue to increase as the nations of the world are content to let their own fiat money supply increase alongside it.
In some ways, cryptocurrency more closely resembles gold. Just as there’s only so much gold that can be mined in the world, the number of bitcoins that can ever be mined is set at 21 billion. But the exact amount is irrelevant. It could have been set at 21 trillion—the point is that supply is limited and finite.
With its ability to validate all transactions in an immutable electronic ledger, the blockchain has the potential to be as disruptive as Amazon was in the late 1990s. When the company went public in 1997, there were serious doubts whether people would willingly give up their credit card information just to buy a book. Since then, Amazon stock is up 8,000 percent, and founder Jeff Bezos briefly overtook Bill Gates in July to become the world’s wealthiest person.
If you’re curious to learn more about how blockchains work, I recommend that you watch this engaging two-minute video.
It is my opinion that although Bitcoin may not be the preferred cryptocurrency of the masses as only time will tell which digital token wins, blockchain and its use cases will become increasingly more complex as businesses and organizations continue to adopt it and apply it to their organizational flowcharts. It may even prove to be more fundamentally disruptive in transformation of processes than Amazon has been in the transformation of the way people buy and sell things.
TechBlogger Wrap Up
Blockchain exists as a static log of events, a transparent platform for payments a clear record of organizational decisions or structure and almost any other application that has traditionally been 'centralized.' It may become the evolution of the world wide web and will possibly be known as Web 3.0.
What excites you about blockchain? What industries do you see being most affected by this disruptive and innovative technology?
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Thanks for reading!
Source:
Blockchain technology could be even more disruptive than Amazon was 2 decades ago - Business Insider
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