Many individuals are unsure about what to do with cryptocurrency and the blockchain, which witnessed an increase in interest in 2017. After all, most people still don't understand the practical use of blockchain technology until they can use their Bitcoins to purchase food at McDonald's. But given that this new technology is still in its infancy, there are a number of blockchain applications that have the potential to transform the internet as we know it. For this reason, I'm sharing a few significant trends with you right now. Look at them below:
It’s Changing New Technologies
Although the IT industry adores emerging industries, some early entrepreneurs have started investigating how the blockchain may affect these fledgling businesses. The investigation into how blockchain may play a role has been amazing, ranging from enhancing legacy infrastructure in FinTech to building decentralised markets for APIs. However, the Internet of Things (IoT) has quickly emerged as a favourite among all the fresh inventions that Silicon Valley has been drooling over.
According to Statista, the Internet of Things (IoT) accounted for an estimated $284 billion in spending in 2017. Blockchain technology may let IoT devices interact more effectively. Even though it is still early in the business, a few companies are genuinely interested in leaving their imprint on the connection between IoT and blockchain.
The German-based Next Big Thing (NBT) is devoted to boosting the growth of Internet of Things (IoT) projects, many of which depend on blockchain ledgers to share and distribute data. The IoT-to-blockchain apps NBT offers provide decentralised answers to some of our most critical health and security issues. These applications have the potential to change the way we live.
“I'm eager to see the continued decentralisation of markets through the implementation of blockchain technology,” says Martin Buhl, chief financial officer of NBT. “Blockchain technology enables talented and forward-thinking innovators to swiftly build scalable solutions and watershed business models.”
Buhl makes a valid argument about how blockchain is set to influence IoT growth, particularly in the security and health areas. In particular, as this link gets stronger, keep an eye out for how these implementations will be used in the upcoming years.
A New Frontier for Fundraising
This past year saw the launch of the ICO, or initial coin offering, which was one of the most fascinating blockchain innovations. Coinschedule estimates that early-stage blockchain startups raised almost $3.7 billion through ICOs, exceeding the entire amount of venture capital funded in seed/series-A ventures. Contrary to how we often think about investing, these presales are for currencies or tokens that may be used on whatever decentralised network the blockchain business is developing.
While ICOs function similarly to IPOs in that they are public sales of companies, IPOs are for ownership interests in companies, making them regarded as securities. On the other side, ICOs are selling a coin or token that will be utilised on a decentralised network, therefore it's impossible to predict whether the value of the coin will rise or fall. If you want to invest in initial coin offerings (ICOs), be very wary of fraudsters and the possibility that the project might be shut down by the SEC. Regulators are demanding greater proof from blockchain technology firms that they aren't selling securities as the laws governing this new phenomena change, therefore you should check to see whether the platform is really secure.
Keeping Information Consistent
The sharing of information among the participants in these domains will be enormous, as we said above in relation to NBT's efforts in the health and security industries. According to Get RefferalMD, as many institutions use various systems and have difficulty accurately transmitting medical information, administrative errors account for about 86 percent of errors committed in the healthcare industry. But a lot of people are expecting that the blockchain will alter that.
In terms of safety and security as well as the speed at which information may be exchanged, blockchain excels in the medical records sector. Additionally, it is absolutely feasible to have a universal identification (similar to a social security number) that can be readily moved from one care facility to the next with a unique ID for each patient. And although many are eager to start using blockchain to store financial, security, and medical data, anticipate the infrastructure to be built out over the next several years.
Faster, Cheaper Remittance
Blockchain has been a significant aid in the remittance sector, especially through the trading of Bitcoin and Litecoin, despite being an early use-case we sometimes overlook. Remittance, for those of you who are unfamiliar, is basically the transfer of funds from one party to another, which in some locations may be rather expensive (especially developing nations). Remittance fees amount to an average of 7% of the entire amount transferred, according to the World Bank, which adds up quickly for people who send money back and forth frequently. But the blockchain has already reduced costs in this area, and as cryptocurrencies gain popularity, it is expected to gain further traction.
Several factors contribute to the popularity of crypto as a method of sending money. First, the market cap, not a centralised authority, determines a coin's worth. Second, compared to more established methods like Western Union, interchange costs may be somewhat lower. Finally, the degree of protection offered guards against account fraud or theft, which may be a huge comfort in regions with subpar banking infrastructures.
The Rise of Digital Collectibles
The decentralised marketplaces for digital valuables have been among the blockchain's most fascinating uses. Digital collectibles, also known as NFTs, are one-of-a-kind works that are purchased, sold, and exchanged in NFT markets. A great illustration of this is CryptoKitties, where over 200,000 individuals trade virtual kittens (some of which go for over $50,000), according to Business Insider.
In essence, individuals breed and care for their cats to raise their worth (like a Tamagotchi, but with cryptocurrency powering it), with the goal of selling them for more money than they invested. And even though some people might think this is ridiculous, the fundamental concept of producing something with a limited supply that can only be utilised on the blockchain has been revolutionary and something to look forward to in the future.
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