Blockchain technology is approaching the crossroads between becoming a mainstream trend and people failing to understand why this protocol is so important. That is only normal for the time being, as no one can accurately explain what makes blockchain technology tick in its current form. The applications are endless, but there are very few projects that are in working order. One thing’s for sure: the blockchain will not replace anything and everything, but it will complement existing services.
Blockchain Complements Existing Infrastructure And Laws
A recent post on Slate shows how people are failing to correctly understand what blockchain is all about, let alone how this technology will be used in real life situations. That is only normal, though, as people’s eye tend to glaze over when they discuss the future possibilities of the blockchain. Up until this point, very few companies have been able to deliver a product based on distributed ledger technology,
But at the same time, human nature is not in favor of drastic changes coming to our lifestyle. This makes people believe some of the current methods of doing this is vastly better. Whether or not this will prove to be true, remains to be seen, as we have no idea how the same actions would look and feel if a blockchain were to be involved.
To give an example of how blockchain technology can work: think of transferring ownership of a car. Rather than dealing with tons of paperwork and signatures, as well as a third party notary to oversee the transaction, why not use smart contracts? Unlike traditional means, there is no human verification required to complete transactions, as computers would take care of most of the process.
This method effectively removes corruption from the equation, which is an important problem in the world of traditional finance and ownership. Third parties have power, and power will ultimately corrupt. At the same time, it is also important to keep in mind how the blockchain will not completely change the way we do things on a daily basis, but rather complement the infrastructure we already have.
Looking at things from a legal perspective shows how the blockchain remains an element of mystery. Most consumers feel insecure about the blockchain and Bitcoin because the government will not interfere when something goes wrong. If one’s private keys are stolen by a hacker, for example, there is no way to recover the funds, as no one will be able to offer a refund.
No one is saying the blockchain is here to replace everything we know, love and hate. But there is also no denying that certain aspects of administration need to be streamlined, both within and outside of the financial realm. Blockchain technology will complement existing infrastructure and legislation in this regard, rather than entirely replace it.
If you liked this article follow us on Twitter @themerklenews and make sure to subscribe to our newsletter to receive the latest bitcoin and altcoin price analysis and the latest cryptocurrency news.