Blockchain (Distributed Ledger Technology) was created by the release of Bitcoin. Blockchain (not Bitcoin) is a revolutionary technology that will become so enmeshed in society over the coming decades that your grandchildren will ask, “how the hell did you survive without blockchain?”
Today’s children can’t fathom how we grew up without the internet, WiFi, smartphones , Facebook and YouTube. But the future world with blockchain is beyond 99% of people to comprehend at the moment because the majority of people aren’t even aware of it, despite the fact that most banks, stock exchanges, insurance companies and even many governments are using it.
Your grandkids will be using DLT-based AI that learns rapidly and has immutable operating laws that cannot be changed. Immutable heuristics (like the mother who never forgets when you used to wet the bed at night) and operating system laws (never harm humans, etc) dreamt of by Isaac Asimov but took another 30 years to achieve through DLT.
Bitcoin can’t be hacked. So too will AI be made hack proof. So too will medical records, personal data, financial records, banking, manufactured goods data, etc. Data corruption and hacks in nearly every imaginable field will be almost expunged. Blockchain isn’t a bubble. It’s an inexorable evolution of existing technology. If it had been invented in ’85 when the personal computer scene exploded, it would have languished for another decade because the support technology of https and IPs weren’t around. And we needed a fast internet (broadband) before blockchain could catch on.
It is strongly rumored that the Central Bank of China will issue its own national cryptocurrency no later than November 11, 2019. The new coin will be distributed by 7 companies and organizations among 1.3 billion Chinese and “foreigners who work with the fiat yuan.” That’s a stablecoin like Tether, based on DLT. This in itself is a trillion dollar commodity. The Central Bank of China has issued a denial. However, China is working extensively on blockchain. The Chinese telecom operator, China Telecom, together with the Digital Economy Joint Lab, is working on a blockchain smartphone that will work on 5G networks. The companies have already published white paper.
Forbes reports that the 7 companies and organizations are Alibaba, Tencent, Union Pay, China Construction Bank, the Industrial and Commercial Bank of China, the Bank of China and the Agricultural Bank of China. It is claimed that crypto yuan is built on a mixture of digital currency technologies and electronic payments. The Central Bank allegedly completed its development back in 2018.
Crypto yuan will be able to process up to 300,000 transactions per second. For comparison, the bitcoin blockchain is able to process only 7-10 transactions per second, and Libra, 1000 transactions per second. Mu Changchun, deputy head of the Central Bank of China’s Payments Department argued that crypto yuan would also work on blockchain technology, with a private key system. But the authorities could not fully build crypto yuan on the blockchain, because the technology bandwidth is too low.
Long after Bitcoin is dead, blockchain will be flourishing and morphing. But as for 2020, BAKKT is launching BTC futures. Fidelity owns thousands of mining rigs and is developing BTC ETFs. You don’t invest hundreds of millions into these ventures without huge confidence in the market.
Fact or fiction…time will tell.
How do you know if a Chinaman robbed your house?Your homework is done, your computer is upgraded, but two hours later he is still trying to back out of your driveway