Blockchain technology is proving to be more and more useful everyday, just recently thanks to bitcoin and the transaction speed of the blockchain help was able to reach hurricane Harvey victims while the rescue team needed funds instantly and a transfer could take a few days bitcoins where used and the problem resolved in a couple of hours. The blockchain is also being used to identify refugees displaced by wars and help reconnect them with their lost families.
Not all is in good will though, this technology is changing the face of the financial industry as a whole. From ICO’s used to raise funds rather than traditional VC funds and bank loans to payment systems facilitated by blockchain technology and crypto currency.
Payment systems have seen many advancements with the emergence of many card providers such as TenX and Monaco allowing users to use crypto currencies through debit cards. This idea will certainly increase adoption in the future. While the innovative forward looking approach is great it will be difficult for use any time soon due to 3 reasons, firstly, the concept of cryptos is still alien to the majority of people as such mainstream adoption is still behind. Secondly, merchants are not accepting crypto payments which limits usage. Finally, and potentially most importantly, is the high-volatility of crypto prices.
In saying that, the Crypto market is new and is still growing. In reality, even fiat currency is suffering from volatility right now. The market is developing and starting to adapt to the changes more and more vendors are accepting crypto payments and as we move forward we will see more merchants accepting and more consumers spending. As that materializes the prices of cryptos should begin to stabilize.
The sector is young and looking to grow and these technologies while not particularly useful today are paving the way for tomorrow. The most interesting blockchain development today is the tokenization of assets. Firms like LA Token have began a new financial age where stocks, real estate, commodities and even art are tokenized and sold on a platform to investors who previously where excluded from that market. At the same time they are reducing the costs for both the buyer and seller while enhancing efficiency and transparency.
Even the debt market is being tokenized and sold to people that would like to invest in it. Homes, while previously re-mortgaged, now can simply be tokenized, you may sell 20% of you house and simply pay it back before the agreed date by re purchasing you tokens. These systems have simply cut out the middle man and gave people the freedom to act with there assets as they wish.
The future scope for this industry is very interesting with much more innovation to come as more creative talents join the crypto work force evolving existing ideas into functional tools for mainstream adoption and even creating new methods to revolutionizes every other industry that lacked efficiency.