Blockchain Technology: For Better or Worse, Here it Comes.

Blockchain has been coined by Harvard Business Review as the technology that will change the next decade of business.

Blockchain, is designed as a ledger that can store and move any type of validated encrypted data such as contracts, titles, music and any form of intellectual property. It is the platform in which Bitcoin was created in.

Earlier this year, IBM was the first to launch blockchain services. The technology, appropriately called IBM Blockchain, was the first service for developers to build enterprise-grade technology using Hyperledger Fabric, an open-sourced blockchain community.

In June, IBM announced that it will be working with seven top European banks on a blockchain solution to facilitate business for international trade and medium-sized enterprises. It will help to track and manage shipments and give an alert for payment. The solution is set to launch at the end of the year.

And this is the just the beginning.

On the downside, since blockchain is transparent — it gives everyone access to the same information so privacy is out the window.

However, The positive side outweighs the negative. Blockchain is a technology that could make transactions more secure and cut back on the need for third parties to eliminate uncertainty. Some describe it as a “transfer of trust in a trustless world.”

“The blockchain is an incorruptible digital ledger of economic transactions that can be programmed to record not just financial transactions but virtually everything of value.”

~ Don & Alex Tapscott, authors Blockchain Revolution (2016)

Blockchain is a distributed database across a peer-to-peer network. Imagine everyone has access to the same spreadsheet with the same information across any platform. Then imagine that no one owns the information, it is decentralized, therefore, there is no single point of failure. All transactions that take place, are a function of the network as a whole.

This technology also creates a new way to verify transactions without the middle man. Another plus is that Blockchain will allow you to see any public information that is verified — not just reviews on Amazon — revealing cryptographic proof that the seller is a reliable and trustworthy seller.

Blockchain will help create a much more user-friendly tracking process a lot easier when it comes to the products you have purchased.

Blockchain will give a transparent view once the product leaves the company and confirms that it is, in fact, the product that was ordered. It will show that it arrives at the courier, leaves the courier, and show when it will arrive at our homes. How? This could be done by being able to view the Kohler speakers’ digital certificate on the blockchain — from node to node — of the multiple vendors that may not even know each other or trust each other. We won’t have to go to individual sites since everything is transparent. This is Blockchain Technology in action.

Those in the development sector are working to use blockchain to solve global poverty.

According to the World Bank, two billion people are currently unbanked leaving financial inclusion a key factor to poverty reduction. With a huge percentage of these folks earning less than $2 per day, and living in areas where there are no banks, the blockchain could validate and certify individuals who could then make payments by mobile phone or app.

Everex, a blockchain startup, is on a mission is to add the two billion people to the world economy and grant financial inclusion with their solution. For those do-gooders out there this blockchain startup has even launched an ICO.

Another industry the blockchain is already disrupting is “asset management.”

Back in 2016, J.P Morgan Chase & Co. released a report for asset managers encouraging them to truly understand blockchain and embrace the technology to stay ahead of the game. Instead of viewing it as a threat, the blockchain can solve some of the complex processes involved in asset management like managing data.

Just one month ago, Natixis Asset Management announced they are testing a blockchain fund management tool. The tool, will streamline today’s process of buying funds through the internet where each order must go through a series of individual processes: distributors, clearing houses, all managed by the asset manager. If it works, this technology will allow all of the processes to be done at once, saving tons of time and money (as much as 1 billion euro annually, for Luxembourg-domiciled funds) because everything will be verified on the blockchain.

Though still in its early development, blockchain has the potential to change the way we do business and transact in almost any capacity.

The good news is, users will not have to understand the backbone of blockchain to be able to use it and its implementation in our daily transactions “should” keep costs down.

Are you considering using a decentralized asset management platform to manage your assets? TwoGap is a blockchain-based asset management platform that is a major player in the blockchain technology movement. They ensure their users receive high-level security, cost savings, and faster transaction times. To learn more about TwoGap, or reach out with questions, visit their website, blog, forum or join their community.