2017 ended with crypto currencies becoming all the rage which helped propel their values to record highs. Given the volatile nature of this emerging market and the lack of knowledge about the underlying technology, it was only a matter of time before the prices would plummet.

Bitcoin, the kingpin of crypto, has lost 50% of it value since its December high of ~$20,000…but I’m still in.

Why you might ask?

Not because of a quick buck (although it helps), but I see a technology that is still in its infant stage and has the potential to change the game in many ways. And let me be clear, it’s not BitCoin per se, but rather the blockchain technology as a whole that’s got my attention.

Blockchain is essentially a shared, distributed ledger, imagine a spreadsheet. However, this spreadsheet isn’t controlled or stored in any one location but rather it is distributed among millions of internet connected computers. With this, identical copies of the ledger are spread across the web so there’s no central control or single point of failure. 

 

 

What this means is that there’s no central authority controlling the flow of data. So now we have a system which cuts out the middle man. Imagine any transaction that you do that requires authority from a 3rd party can now be done directly. Example: you swipe your credit card at Wendy’s for a burger and fries. That transaction has to go to the bank to give permission to be processed, then the funds are released. Now this same transaction can be made directly with the vendor with no middle hops, permissions and/or fees incurred. Paper check processing times can be reduced from days to minutes/seconds. A truly global monetary system…one world currency. The price to send money via Western Union, wire transfers will drop to zero, the exchange of medical records can make use of this tech as well. These are a few areas that blockchain can impact. 

 

 

I think once things settle down around the crypto market, and they begin to stabilize to a degree as someone figures out the best use(s)of blockchain technology, it will become part of our daily lives in ways we haven’t begun to imagine.