After nearly five years of experimentation, blockchain has reached an important milestone in financial services. This year, several distributed ledger technology platforms are either running live or preparing to launch. As the industry starts to transition from its initial stage of research and development to this new phase of operations and growth, it’s time for market participants and technology providers to turn their attention to what comes next: the full integration of blockchain-based systems into the broader financial market infrastructure.
For starters, blockchain technology is a system where you use decentralised data. Simply put, it is a ledger of information where everything directly connects to the source. This means that instead of parts of data only being associated in a chain, all aspects are connected to the primary source. Hence, in blockchain, data storage is spread out in an even way. Moreover, each block of data is connected to the one behind it through a cryptographic link.
While all this sounds complex, it isn’t really. Blockchain has made positive impacts in a vast number of areas. Out of many, here are five reasons you should consider learning blockchain.
- Wide Career Options
- Efficient Governance Systems
- Protection Of Digital Identity
- Smart Investments
- Gateway To The Future
“The Anti-Human Trafficking Intelligence Initiative is honored to have Raymond’s expertise and partnership with firms like IEEE TEMS TC on Blockchain and DLT, which are fostering dialogue, sharing information and reporting activity in an effort to combat human trafficking through their relationships with other academic and research partners and the international blockchain community. The statistics on human trafficking globally shows an astonishing and alarming impact with the International Labour Organization (ILO) estimating that there are 40.3 million victims of human trafficking globally and that forced labor and human trafficking is a $150 billion industry worldwide. As public and private organizations continue to collaborate in the creation of a uniform front within the financial sector to fight human trafficking, we will see a true impact in the recovery of victims and prosecution of traffickers.” said Aaron Kahler, ATII Founder and Chief Executive.
The promise of secure, immutable, and universal registries for carbon credits highlights the importance of DLT to usher in a new generation of voluntary carbon markets. The technology has proven its merit in financial services for increasing trade velocity, reducing costs, and expanding liquidity pools. But the failure of similar projects that use DLT demonstrates the fallibility of a “build it and they will come” mentality. Instead, DLT should be harnessed as an enabler of a broader industry shift toward industry-wide standardization and collaboration through initiatives such as the Taskforce on Scaling Voluntary Carbon Markets.
Matthew Blake, head of the future of financial services at World Economic Forum, said: “Following several years of intense hype, examples of use cases where inefficiencies and challenges are being solved with blockchain are starting to emerge across capital markets. With the future for blockchain in financial services still being defined, a nuanced look at the opportunities this technology offers right now is particularly important for the financial services industry.”
While mainstream social media platforms have revolutionized the way we interact with one another and made eCommerce more effective thanks to targeted advertising, these platforms have serious flaws, notably data and privacy breached that should not be ignored. The advent of blockchain social media offers a plausible solution to these challenges, allowing individuals to interact over decentralized and distributed networks without third parties’ praying eyes.
Blockchain social media offers numerous benefits. Among other benefits, they allow users to enjoy greater privacy, assert better control of their data, and express themselves freely without drastic consequences or account censorship. Better still, decentralized social media allows users to earn income on their activities on the platform, including content creation and other interactions.
The crypto revolution is driven by “rockstars,” visionaries who often lack an academic background. Their ideas of decentralization and openness are refreshingly anti-systemic and optimistic. Still, these visions are only possible thanks to the work of generations of scientists who laid down the foundations of current crypto protocols decades ago, and continue developing them today. The shape and form that the crypto revolution takes will be the product of dreams and ideologies on the one hand, and peer-reviewed research and development on the other — in equal measure.
DeFi capitalizes on distributed ledger technology (DLT), otherwise known as blockchain, which removes the need for intermediaries in financial transactions, such as banks and agents. The intermediaries become replaced by smart contracts, thereby enabling peer-to-peer transactions and payments. Peer-to-peer payments open many doors for entrepreneurs, as they no longer have to factor cross-border payments, where the costs of money transfers (and the time it takes) serve as a disadvantage for both the sender and the recipient. The instantaneous and cost-cutting nature of DeFi transactions plays a large role in its scalability, especially among institutional investors.
According to experts, digital ledgers can be used in property deed transfers, tax collection, voting procedures, and social benefits distribution. They also stated that distributed ledger technology could be used for processing and executing legal documents and other types of exchanges.
It is also believed that individuals can use distributed ledger technology to hold and control personal information and selectively share pieces of those records when needed.
Furthermore, digital ledgers can help individuals and organizations to better track intellectual property rights and ownership for commodities, art, film, music, and so on.
We hope European institutions will support blockchain and other decentralized technologies so that they may contribute their transformative potential towards social justice. In the meanwhile, we are continuing to work with this vision in the P2P Models project, letting our work be guided by this technology so that it may foster collaboration, the commons, and social justice in general. We try to recognize the socio-political potential of the technology we use, without falling in techno-determinist visions. Therefore, when we work with communities we focus on co-designing with them, so that they are the ones leading the technology, rather than the other way around.