Blockchain holds great potential across industries Cryptocurrencies are the best-known examples, but the medium-term future will determine other applications. Blockchain, the technology and backbone of the cryptocurrency Bitcoin, is finding its way into many industries. According to estimates by the World Ecionomic Forum, by 2025, ten percent of global gross domestic product will be processed using this technology. You can do the blockchain do not look at it in isolation from other digital trends. But the Blockchain has the potential to amplify these trends so that evolution can revolutionize the economy.
Decentral Shops at Low Cost
The technology is not to be confused with the cryptocurrencies. These have made technology known, but the digital transformation is creating even more applications. The Blockchain links many subscribers, enables them to transact their transactions and stores them in a decentrally traceable and traceable way at any time. It is, similar to a change, recorded a transaction chain.
This happens in digital blocks (hence Blockchain). As a result, intermediaries who bundle or verify transactions are at least partially superfluous. In addition, Blockchain makes digital contracts (smart contracts) possible. These contain automatically executable handling instructions that are executed automatically and thus quickly when predefined conditions are met. Especially for non-physical transactions, costs can go towards zero. The blockchain is applicable in most industries. Especially where large volumes of data, cross-company processes and intermediaries are involved. This applies, for example, to financing purchases or securing transport risks. So far, sellers and buyers must also use their banks to organize numerous documents that record the value of the goods, how they are loaded and transported, and who is liable until when. Such documents must be available to all involved in the original. With Blockchain, documents can be stored unmodifiable, timestamped, and tracked digitally so partners can access them at any time and at no cost. As a result, payments can be initiated faster and the delivery of goods can be significantly accelerated. Added to this is the opportunity to develop new business models. This enables companies to build and orchestrate decentralized networks with the Blockchain - for the benefit of customers, who then, as network users, can access holistic product and service offerings. Furthermore, smaller companies, for example, can introduce specialized solutions for individual parts of the value chain, which can then be used as part of the overall process
Network. That's why blockchain technology is already being used across industries: aerospace, banking, insurance, energy, automotive, freight - many practical solutions are in the making and are being tested. An example is blockchain-based insurance. In addition, industrial consortia, such as R3 or B3i in finance, have formed to explore further applications of the blockchain and develop solutions or standards.
Market Tires in Three to Five Years
However, there are still many hurdles to technology. For example, there is a lack of uniform standards as a prerequisite for cooperation across country, sector or company boundaries. In addition, legal principles and safety aspects must be regulated. However, marketable applications are already emerging. With a wider use of the technology is expected in three to five years. Nevertheless, companies should prepare themselves already: to further develop the existing offers with regard to the Blockchain in order to gain first experiences with the technology. And then, based on that, they can also work on new business models.
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