After the Blockchain innovation is formed, the problems of double-spending and dependency on third parties are easily overcome.
For Eric Schmidt, CEO of Google, Bitcoin (with the Blockchain boost) is the latest cryptographic achievement, and the expertise to produce (validate) a Digital world that cannot be duplicated, has a very valuable value. Because the alibi above, crypto money like Bitcoin, Etherium, Ripple and so on, depends entirely on blockchain innovations to continue to survive in the current Digital era.
Who Has Used and Increased Blockchain Innovation?
Blockchain innovation does not end in the creation of Bitcoin, the implementation of new innovations is still ongoing to improve quality, most notably in aspects of speed and scalability.
In the past, the biggest weakness of the Blockchain Bitcoin was its dependence on proof-of-work protocols, where authorization of each new Block continues to belong and continues to require computational energy (electricity consumption) to continue to be large. The case is that the rewards for Miners with proof-of-work protocols continue to take a long time and continue to be a little because the competition and creation limits of Bitcoin were stopped at 21 million units of coins.
The impact, continues to belong, the number of Miners continues to decline because the cost of surgery (for buying Hardware and bearing electricity) continues to be large, but the rewards continue to be small. As a result of Miner's reduction, it must be severe, because it wants to continue to be easy for irresponsible parties to take over 51% of the robustness of Nodes (Novel Besar) computing to engineer recordings of transactions.
But at this time, the new cryptocurrency - listed Bitcoin, has adopted a proof-of-stake protocol that is much lower in payment, more flashy and easily distributed than proof-of-work. From there, Blockchain innovations are still prolonged so that more people are interested in participating in the system.
Not surprisingly, at this time ICO began to emerge with the promise of achieving a large return on investment to support the emergence of a new cryptocurrency.
Not only that, realizing the growing interest of investors in crypto money, foreign institutional institutions such as CME, have recently opened a futures market for BTC. This growth is a new chapter for Blockchain innovations and Cryptocurrencies whose conclusions are able to penetrate and be recognized by the Mainstream financial system.
What are the Benefits of the Blockchain When It Is And for the Future?
Until now, the implementation of Blockchain technology was still largely dominated by cryptocurrency applications. Starting from a transaction authentication system, virtual wallet management system (E-wallet), exchange management system, and so on.
However, the efficacy of Blockchain is not limited to cryptocurrency transactions. In the future, Blockchain innovations also have the potential to be applied to the following smart solutions:
Cross country payments:
The process of cross-country payments usually requires payment and a long time, so retail level transactions face obstacles. This problem will be resolved easily on the Blockchain system because the transaction process does not require clearing agents or the Bank and the system automatically converts currency. So the payment of cross-country transactions can be reduced, more flash and instant.
Clearing and Settlement:
Financial product transactions such as bonds, stocks, and futures contracts require a period of time from the administrative process, verification, to settlement funds to client accounts. Blockchain innovations want to force the transaction process by summarizing the administrative process so that funds can be disbursed into account in a short time.
Smart Contract:
the process of selling/buying objects and services depends on the contract between the parties concerned. Generally, making a contract with a relatively large value, the seller and the buyer needs an intermediary such as a clearing agent and a bank to approve the contract. This convoluted process can be shortened by Blockchain innovation so that the contract can be ratified directly without hesitation from both parties.
Smart Asset:
Conventionally, the manufacturing process to the delivery of a valuable product generally requires long paperwork and is vulnerable to human-error aspects. Blockchain innovation is able to impel and record in detail each step of the process, so consumers can access when and who participated in the process of creating and distributing, and the authenticity of the product.
Digital self-proof (KTP):
When this application of digital self-proof still cannot be implemented perfectly because of the problem of trust-gap and attack-vulnerability on the main server. With the breakdown of Blockchain innovation, a digital self-evident pool of information can be managed with an extremely tight level of security. Moreover, digital self-evidence can easily include Smart Asset and Smart Contract records.
Surely the examples above are just a handful of proposals for using Blockchain like smart solutions in the future. The efficacy of Blockchain is still going to continue to grow together with the increasing acceptance and adaptation of this distributed information pool technology.
Like a reflection, Jamie Dimon, CEO of JPMorgan Chase, a popular figure who strongly opposed Bitcoin because he thought the Cryptocurrency was a big fraud, instead of investing heavily in Blockchain's innovation to increase the speed of cross-country transactions.
