In 2008, someone still unknown using a sobriquet Satoshi Nakamoto, understood the concept of cryptology and combined an open distributed ledger into a digital currency application. This was a revolutionary step in the evolvement of the use of technology in the new era. Although there have been several types of research going on since then, Blockchain Technology is still at an infant stage.
Its application further extended from being a digital currency to being used in finance, health care, copyright protection, and much more. The application of BT in businesses without any tempering requires much research, and governments are also trying to bring in prerequisite rules and regulations for the same.
The Researchers are making a lot of efforts in finding ways to stabilize the volatile market of Blockchain Technology. The research includes several ongoing projects, including the study of literature about open science, analysis of repositories, improving the replication rate in science, creating immutable proofs, focusing on protecting intellectual property. Custom-built infrastructures for different BT.
There are integrated applications like Bitcoin and Ethereum using the blockchain technology, and several efforts are being made to create a transparent and trustable environment for the users.
Evolution of Blockchain
Although the technology is not unveiled fully, the evolution from being a digital currency to making its way to the financial application is notable.
Blockchain 1.0
These were the earliest forms of virtual currencies introduced to the world using Blockchain technology. Bitcoin was the first and still most used digital currency. The world witnessed the benefits of cryptocurrencies like reduction in cost, more transparency, easy circulation, and a few more. Although many feared entering the crypto world, it was just because no one was known of the latest technology and how can they use it.
Blockchain 2.0
To diversify the use of Blockchain technology, the idea of using smart contracts was introduced, which interrupted the use of traditional currencies and payment systems. Bitcoin 2.0 with better uses like supply chain finance, banking instruments, payment clearing, and much more was also launched under Blockchain 2.0.
The other factors introduced for the sake of developments were Dapps, DAOs, and DACs. This collaboration of Blockchain technology and smart contracts also gave birth to other cryptocurrencies like Ethereum, Codius, and Hyperledger.
Blockchain 3.0
Intending to spread the technology worldwide. Blockchain 3.0 started entering areas other than currency and finance. It is more of an advanced form of smart contracts operating with its own laws as high-level sovereignty.
The concept of blockchain tokens is also integrated into blockchain 3.0, which servers the purpose of the front-end economic face. Its evolvement is still a subject to explore.
Advantages
Solving funding-related problems
Cryptocurrencies have solved many funding-related problems with no cash payments and easy accounting settlements. It has proven to be the new and better source of crowdfunding.
The finance related issues of companies are minimalized by the use of digital currency based on blockchain.
Reliable storage and use of data
Blockchain proves to be a reliable source for the storage and easy use of all the essential data of companies. It acts as a secure ledger managing the assets of many companies.
The data stored on the blockchain can also be transferred and accessed at high speed, proving a safe, secure, and faster way to manage the data. The technology also proves to be cost-effective too in the long run.
Efficient monitoring of supply chain
The use of blockchain technology to keep the records of valuable data and monitor the supply chain is much more convenient. The companies can now easily keep track of their products and raw materials. The process of the product reaching from manufacturer to the customers is also managed in a better way.
Smart ways of Trading
Blockchain technology has adopted the concept of smart-trading diversifying its use in many businesses. Automatic transactions, establishing credit systems, mutual insurances, and many more relevant things to do with the help of blockchain technology.
The inter-organizational business processes are using it the most to do their tasks smartly.
Conclusion
The role of blockchain technology is increasing day by day and will continue on the path of expanding as there are still so many things that blockchain can do but yet to be discovered. The use of Cryptocurrencies in business, economic, and financial areas is a virtue. The researches show that there are many advantages of blockchain.
It will be the next big thing to change the course of the world if utilized correctly. The application of blockchain in businesses should be encouraged more and more. If each industry has its own blockchain system, then the topic of cross-chain technology will be the next step to explore.
Although having so many advantages, there is always a negative side to every aspect. The research is still incomplete and will take its time to become completely safe and secure. There are many mistakes, if made, can lead to worse results. The only solution is to the problem is learning the use of blockchain and then putting it to use.
