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Blockchain Technology Explained and What It Could Mean for the Caribbean

What is blockchain technology?

Blockchain Technology Explained  Blockchain is a distributed ledger technology that evolved from the internet of information and represents. A second phase of the internet. Whereas the first era of the internet democratized the exchange of information. Blockchain promises to democratize the exchange of real value. Blockchain emerged in late 2008. The global financial crisis. Satoshi Nakamoto released a new protocol for a “Peer-to-Peer. Electronic Cash System” and created a digital currency or cryptocurrency called Bitcoin. Based on blockchain technology.

Cryptocurrencies differ from traditional fiat money.  blockchain wallet In an electronic file somewhere; it is a global spreadsheet or ledger of all transactions which leverages. blockchain login The resources of a large peer-to-peer network to review and approve. Each bitcoin transaction. But blockchain is more than cryptocurrencies, blockchain has more applications and investors realize commercial potential and money is entering at a fast pace.

Blockchain has five properties that make it a potentially transformative and disruptive technology:

  • Distributed

A protocol establishes a set of rules in the form of distributed mathematical computations that ensures the integrity of the data exchanged among a large number of computing devices without going through a trusted third party.  Each blockchain block is run on computers provided by volunteers around the world, there is no central database to hack into, corrupt, or shut down.

  • Inclusive and transparent

In the case of a public blockchain, anyone can view all the transactions that reside on the network so no person or institution can hide a transaction. Since blockchain is open source, anyone can download and use it. Satoshi imagined a world in which any person can interface with the blockchain through a “simplified payment verification mode”  that can be used on a mobile device.  blockchain in cryptocurrency No documentation or physical presentation of proof is required to be trusted or to gain access.

  • Immutable

Each block must refer to the preceding block to be valid. blockchain explorer However This structure permanently timestamps and stores exchanges of value, preventing anyone from altering the ledger. The value of this new technology is that it allows trusted transactions to occur directly between two or more total strangers, authenticated by mass collaboration on a network of interlinked devices, and motivated by collective self-interest,  rather than by profit-motivated corporations or governments motivated by maintaining power and may be interested in surveilling its citizens or stifling dissent.  blockchain app Blockchain in short eliminates middlemen. These properties allow developers to elaborate applications for several different purposes.

Actual and Potential Applications

*   Financial Services

Bitcoin is the first and most prominent application of blockchain technology as an e-payment system.  A stable and widely accepted cryptocurrency stands to revolutionize e-commerce, money transfers, and even letters of credit. Cryptocurrency poses a challenge to traditional banking. blockchain transaction Besides Bitcoin, there are other cryptocurrencies such as Litecoin, Ethereum, Ripple, Peercoin, and Namecoin. To date, the value of cryptocurrencies has fluctuated widely as they struggle to gain widespread use. Nonetheless, the top ten cryptocurrencies have. A market capitalization of US$98.8 billion as of June 2017 but this amount is still a minuscule value of the total value of financial assets worldwide.

  • Retail and Services

Any merchant who accepts digital money as payment can exchange their goods and services.  Persons and companies involved in a supply value chain can use private blockchains to reduce transaction costs in their business relationships and make payments and transfers along the chain as well as pass information in a very transparent manner. For creative artists and craftspersons, using blockchain along with digital media management technologies may allow them to directly market their wares, reduce piracy of electronic media, and assure quick and accurate payments.

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