Few of us have heard of bitcoin and can understand the idea, but most people do not know what exactly the block chain is simply the main general distributor book (database) for all bitcoins transactions that are executed in As ever, blocks are added in the block chain in chronological order, and each node (computer in the network) has an identical and updated copy of the transaction history in bitcoins.
Bitcoin has not yet become a generally accepted currency, and the block chain is still in its infancy, but they have the potential to make the biggest revolution in the financial industry over the past few centuries. Moreover, the block chain was successful in other fields as well, such as Internet for Purposes or Banking Services and block chain technology enabling Purpose Internet products to increase their independence and self-implementation of their own financial transactions, while banks can deal with a large number of simultaneous transactions around the same time. And the best part is that the block chain is safe: all transactions made through this are recorded in the book of accounts distributed to each node in the network. These records cannot be changed or tampered with without permission, to reduce the risk of fraud.
What do the experts say?
Analysts unanimously expect block technology to have a major impact on payments in the European Union before 2025. Nine out of ten people believe that block chain technology will have a distinct impact on future payments, given that it is one of the biggest advantages to speed up the transaction. This way, individuals can pay in real time without the need for a broker. According to expert Immediate Edge is good way to deal in bitcoin currency.
Large banks respond to the potential offered by the block chain. Top bitcoin players avoid the risk of fraud and potential crime. But they are beginning to see its many possibilities and advantages to speed up procedures to save costs.
Green light by big players
A significant acknowledgment of blockchain technology came recently, when four major lenders announced the development of a new form of the “settlement service currency”. Although UBS, Santander, Deutsche Bank, and BNY Mellon stand out, they are not trying to create a new crypto valuta, but rather use the evolving system, the block chain technology, to create different amounts of cash that can be directly transferred to Existing currencies deposited in central banks. Basically, they established a way to put the dollar, euro, and yen in a blockchain. Although there are other digital financial projects, such as (Citigroup) (Citicoin) or (Goldman Sachs SETLCOIN) this case represents the first use of crypto funds.
In early 2017, a contract was signed between Deutsche Bank, Natixis, HSBC, Rabobank, KBC, and UniCredita. ), Which signed a memorandum of understanding aiming to cooperate in developing a common financial platform for cross-border trade for small and medium-sized companies using block chain technology.
Governments are also expressing their interest
It is interesting that more governments are considering a blockchain. It is not just about the countries of the first world, such as the United States or Germany, but African and Asian countries that are very interested in the digital currency. Developing countries see an opportunity to bypass cycles in their underdeveloped physical infrastructure, which can be entirely avoided by using a blockchain.
Of course, there are still some obstacles, because security is important and will not change, Interpol have analyzed ways to prevent the creation of bitcoin by using robots and malware. Nevertheless, bitcoin and blockchain are undoubtedly an inevitable future for the whole world.
Blockchain technology features
- The system operates with a general master book to serve, record, document and verify all executed transactions, making them safe and reliable.
- The mineral (persons or companies) authorizes all transactions executed, making them immutable and protected against piracy.
- Blockchain technology counterbalances the requirements of a third party or central body for peer-to-peer transactions.
- Block chain technology is easy to use and it this is part of bitcoin. It is expected that value of blockchain will be grow in the near future.