Hey there Steemers, today I will be discussing the future of blockchain technology and how it could impact us by affecting the current financial system.
In years to come, large banks will adopt blockchain and cryptocurrencies will be used in various ways. The will result in a more efficient infrastructure and cost reduction for those who are market participants.
Why Adopt Blockchain Technology In To Businesses?
The blockchain has the potential to reduce cyber-attacks by it being anonymous and offering identity authentication through a ledger. A car-rental agency can use a smart contract system which when a payment is received and insurance is confirmed to allow car rentals to take place. All data will be stored and confirmed on the blockchain. Even small businesses can use the blockchain as a trusted trading system to receive and sell products.
What are the risks involved?
If banks decide to adopt this new form of technology, the blockchain could actually replace the bank. If the bank decides to get involved in the cryptocurrency world, they are at risk due to possible cyber-attacks that could happen. However, the blockchain could reduce infrastructure costs by $20 billion by the year 2022. If a bank uses blockchain technology, they could essentially hold the cryptographic keys and control the currency, meaning it makes the whole system centralized. The blockchain can entirely bypass the world’s financial system, which could create an economic crisis.
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