The following article and accompanying infographic is a guest post from Pawel Tomcyk of Bargainroo. The infographic, which was designed by Bargainroo.com and researched by Gutcher.de, does an exceptional job at communicating the value of Ethereum, an emerging cryptocurrency and smart contract platform. There are least a couple of interesting trends here to note:
1. Although digital currencies in and of themselves are exciting and transformative, I expect the real value lies in the blockchain technology and the emergent applications. Money is just one application, there are many others which the article and accompanying infographic illustrate. We are just seeing the beginning of how blockchain technology may transform the world.
2. The development timeline of Ethereum was much faster than Bitcoin. Of course this is to be expected, at Bitcoin was a precedecessor to Ethereum. However, this leads to the point that Ethereum or another cryptocurrency may overtake Bitcoin at some point. Bitcoin may just be the beta product, where another alt-coin may overtake Bitcoin through second mover advantage.
There are many other insights to be gleaned from this inforgraphic as I have just highlighted a couple. I highly recommend the following article and reviewing the infographic in its entirety for those interested in Bitcoin, Ethereum, blockchains, cryptocurrencies, and smart contracts.
Now to the guest post by Pawel Tomcyk of Bargainroo.com:
The formation of cryptocurrencies was started by the creation of Bitcoin. Originally this new technology was created in order to provide a safe and secure way to transfer money online without the need for a third party. Therefore, speeding up the process, keeping the transaction secure and also reducing the cost of transferring the money.
However, the use of this technology does not stop there, and new uses for it are emerging all the time. In fact, many of its uses are still unknown and it is thought that it could potentially change the world as we know it. In the future we could see this technology used for a huge range of things.
One such use could be the emergence of electronic voting, which has been long awaited. It would certainly speed up the voting process, allow for a more accurate counting system, and reduce costs, however in the past there was always the problem of security. Blockchains solve this problem, as people are able to see their votes yet they remain anonymous. Plus, the computing powers that hackers would need to hack into the votes is near enough impossible to achieve.
Blockchains could also be used effectively for file storage. Peer to peer file sharing will remove the need for any storage areas or centralised databases. This process has already started and looks to be very successful, so it shouldn’t be too long before many people start to use this system.
A key use is the development of the ‘smart contract’. A code which is stored on a blockchain that automatically executes when the conditions that have been set out have been met, again without having to go through a third party, which reduces both cost and time.
Another use is automated security. This is done by using a code that is embedded in the blockchain which either grants or denies access to someone depending on who is requesting access. No third party is involved in this party, therefore no one hold the ‘keys’, making for a very secure system. It could also be useful to verifying material for copyrights or patents or trading on the online marketplace. The ownership of digital property can be easily be established using blockchain technology, with tokens representing physical things such as products and tickets etc. They can then be exchanged on a platform that supports these methods.
In the future, we could see blockchains being used for: food, supply chains, messaging, smart assets, content, ownership stamping, crowdfunding, accounting, eCommerce, arts, healthcare, payments, chat messaging, insurance, social messaging, gaming, voting, ridesharing, prediction markets, community management, and more! Who knows, there could be hundreds of uses that are yet to be discovered, and soon the technology of Bitcoin and Ethereum could take over the world.
This article and the following infographic is a guest submission provided by bargainroo.com and gutcher.de.