Blockchain & Bitcoin: Revolutionizing Global Commerce & Finance - Essay Sample

Introduction

Blockchain technology and bitcoin are currently used in society, commerce, and finance. Blockchain technology is a shared and circulated online ledger innovation that can suitably enhance data organization, security, and provenance and has the capability to change the global commerce. On the other hand, bitcoin is a cryptocurrency looking to leverage Blockchain technologies to propel innovation across many industries. Bitcoin is a peer-to-peer automated cash system that permits digital disbursements to be sent openly from one party to another without the involvement of a monetary organization. Bitcoin is highly appreciated because it made digital transactions possible in absence of 'trusted intermediary'. Bitcoin depends on blockchain technology and has made it popular. The paper argues that the blockchain technology and bitcoin are the waves of the future.

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Blockchain Technology and Bitcoin Have a Future

Blockchain technologies and bitcoin are the two solutions to a more developed, egalitarian and autonomous society. Blockchain technology has become a power that is giving rise to new, devolved configurations that will influence future economies, societies, and people on an individual level. Blockchain technology plays a crucial role in bitcoin viability. No administration, corporation or legal framework can regulate, supply or restrict bitcoin and its distribution. Blockchain technology and more precisely, cryptocurrencies like bitcoin have verified to be disruptive innovations that are influencing businesses, governments, and industries in ways not many people can forecast or control. Because of the emerging scope of the blockchain innovation, it is forecasted that markets will necessitate time to acclimatize, execute and suitably control cryptocurrencies through availability and edification for the people. However, blockchain and bitcoin are definitely influencing how individuals interact monetarily and the growth of the economy (Akram 642).

In future blockchain is likely to offer a solution even in electoral processes. Using the blockchain technology, an individual on the electoral roll can observe whether his or her vote was effectively diffused while remaining secretive. In 2014, a political congregation in Denmark (Liberal Alliance), used blockchain technology to vote in an election. A large population like the case of India may in future use blockchain technology to vote. This way, numerous people will vote without having to queue at the polling station. The success of blockchain technology will be determined by the eagerness of society to embrace it for quick and positive solutions. Great technologies are widely recognized when they are able to serve their purpose. Fortunately, blockchain technologies are suitable for numerous purposes, which is the reason why numerous people are working on multiple diverse blockchain associated projects. Blockchain technology facilitates smart contracts (Chen et al 1). The contracts have a trustless aspect that independently undertakes an action when a particular condition is fulfilled. Smart contracts also store data about a submission like domain cataloging information or participation accounts. It is also good to note that blockchain technology is evolving very fast. Some year back, blockchain technology was struggling to attain its objectives; it has come up with innovative solutions to the current technological problems. Nowadays, it is able to support millions of transactions in a single day. Blockchain technology is moving forward quickly and is likely to transform the approaches of storing data and how it will be used in the future.

The equal distribution of influence facilitates the trust factor in the blockchain technology and bitcoin. The present position of blockchain innovation and bitcoin can be related to the case of the internet two decades ago. Yet, everyone has embraced the internet. After the release of bitcoin in 2009, bitcoin technology has been getting a lot of attention from many people and corporations. Most of them are interested in all the potential use circumstances that his technology can offer. After a few years since the release of bitcoin, people began realizing that blockchain technology could be used more than just a currency. This sparked a huge interest in technology. The data stored in the blockchains cannot get lost or be compromised. Blockchains are developed to monitor everything of value, which can be either cryptocurrencies or any other data. In the future, this technology will be reliable due to its ability to store data without any compromise or loss. In the coming data, people will be looking for technologies that can assure that no data will be lost in any way. Blockchain technology will be the best technology because it has shown its reliability today (DeVries 3). Additionally, people will be looking for secure currencies for transactions. Luckily, bitcoin has provided the solution.

Future in Education

Blockchain is the main technology utilized to design cryptocurrencies like bitcoin. In the future, there are chances that it will be used to solve education problems. Blockchain has been regarded as the fourth industrial development after the invention of the steam engine, electricity, and internet. This disruptive innovation will have a substantial effect on institution functions, national administration, education, business operations, and people's daily lives. The blockchain technology has the ability to change the contemporary internet form 'the internet of distribution of information' to 'the internet of exchanging value'. It is projected to change the working models of commerce, education, and industry. The technology is also expected to enhance the quick growth of a knowledge-oriented economy on an international scale. Because of its immutability, trustworthiness, and transparency for all connections implemented in a blockchain network, disruptive innovation has numerous potentials that are likely to be realized in the future. In the first few years after its release, people did not realize the full potential of the blockchain technology and bitcoin (Al-Saqaf 34). However, bitcoin has become the topic of the day and shows future improvements in the future.

In the future, blockchain innovation can be applied in education to perform numerous inventive ways, not just achievement assessment and diploma studies. In both the learners' and instructors' case, blockchain technologies have a huge power for wider application opportunities on formative valuation, learning undertakings design and execution, and keep track of the entire learning procedures. A Smart Contract operating on the blockchain system is fundamentally a computer protocol that triggers a real contract like employment and fiscal businesses. It can enhance contract negotiation, execute contracts, approve contract fulfillment status and simplify contract conditions. The smart contract lessens 'third-party costs' in conventional businesses and guarantees that the transaction is reliable and secure. This means that it marks a unique and specific distinctiveness of parties in an agreement through the online model and specifies the rights and responsibilities of contract parties by encryption. Thus, in the future, in case instructors and learners carry out teaching and erudition undertakings grounded on a smart contract, numerous issues in education will be solved.

Bitcoin is the Currency for the Future

Bitcoin has strength by design to become a viable currency considering that it has been increasing in influence over the years. After every four years, bitcoin will be extracted with shrinking returns until the highest number of the cryptocurrency is attained; an aggregate of 21 million. This factor of bitcoin is crucial for its value. Because of the restricted quantity of bitcoins, there is no chance that it can become inflated from overabundance. Additionally, bitcoin and other cryptocurrencies are safeguarded from inflation by government changes or limitations. Cryptocurrencies like bitcoin are in a unique status as a forerunner in a potentially disruptive technology to long term monetary frameworks. Due to their design, they are able to fill gaps in current monetary technologies and capable of solving conventional banking issues by being a peer-to-peer system. Disruptive technologies begin by solving precise issues linked to industry. For example, bitcoin is poised to assist remediate issues linked to unbanked consumers. A substantial section of the population in emerging nations is unbanked. Bitcoin technology permits a person to exchange currency without requiring a third trust party, like a financial institution, to supervise the business (Akram 643). The financial deal only requires a mobile phone to access the internet.

Businesses are starting to see the worth of using bitcoin for global connections, particularly when they require a quick response to an emergency. Bitcoin is mainly positioned to solve this issue due to its speed and ease of transaction in the peer-to-peer framework. Bitcoin has huge merit over the conventional currencies due to its agility in supporting quick peer-to-peer transactions, particularly in global business-to-business cases. Internet marketplaces have become successful and are real rivals to conventional brick-and-mortar outlets. Amazon has developed to become one of the most profitable internet giants. Online giants, eBay has begun using a form of paying system similar to Bitcoin known as PayPal and has been prosperous in using it to facilitating orders made on its website. It is clear from the case of bitcoin that digital currency can link buyers and sellers without a lot of disruption from the governments and still be effective. Online shopping is growing on a daily basis and bitcoin is expected to extend its reach with effective and simple payments for both sellers and buyers. Bitcoin supported transactions are more advantageous than conventional card-based for the seller in that it eradicates the transaction fees. This means that in future, people will prefer using bitcoin for their transactions (DeVries 4).

One of the bitcoin's biggest prospects is that in future, it can act as a form of commodity, comparable to gold's case. The significance of gold can increase whenever an occurrence threatens the stability of the international market as observed in the Brexit case. Gold increased in value because investors were uncertain of the reactions of the market and used it as a safe haven. The commodity market is a largely approved form of trade globally and cryptocurrencies like bitcoin have started to imitate the features of gold. For a long time, gold has been the holder of value and this has been grounded on universal approval and confidence of its worth. Cryptocurrencies like bitcoin could hypothetically become a large player in the commodity market. Bitcoin has an exceptional feature of being bought through a direct online system, which generates a simple entity for customers. In case bitcoin continues to be a genuine refuge for bloating money, it will increase the rationality to stakeholders and become a large player in the financial market.

Accountability of Blockchain Technology

Blockchain technology brings everyone to the greatest degree of accountability. Thus, it solves the problem of manipulation. Blockchain technology is the future of data ownership. The data that belongs to an individual will be identified and be decentralized. Additionally, technology will permit smart devices to interact with each other better and quicker. On the other hand, cryptocurrencies like bitcoin will take influence from the government to control the value of currencies and give it to the people. Blockchain architecture will significantly reduce the cost and inefficiencies in the financial sector...