Prospects For The Blockchain Technology

The Blockchain Technology Student’s Name Institutional Affiliation The Blockchain Technology Executive Summary Contracts, transactions and their records are some of the features that define the structure of the modern economic, legal and political systems. Through them, assets are protected and organizational boundaries are set as well. They are used in the establishment and verification of various identities and events. They give guidelines on how nations, organizations and people should interact. However, these critical tools as well as the codes used to control them have not kept up with the modern technological transformations. This implies that the manner in which various administrative controls are being regulated in this technological era has to change. Blockchain looks promising in providing a solution to this problem facing our organizations. Blockchain has proved to record transactions in an efficient, verifiable and permanent manner. It can also be programmed to trigger transactions automatically. However, despite these promises, it has both challenges and benefits. Most people are finding it hard to trust blockchain. Therefore, although blockchain seems to be promising, not many people know about it and put their trust on it. This report attempts to explain how this technology can be adopted and how it will foster trust not only in it but from people. In helping to understand how this technology works and how it can be trusted, I interviewed Mr. Wei Wu, Tencent’s blockchain program manager and part of the interview is included in this report. What are your prospects for the Blockchain technology? Mr. Wei: New applications are being developed and are likely to change how business is conducted across the world. For instance, Bluzelle will enable people to send their products to buyers from across the world even from rural areas and they will receive payment immediately. Solutions of this kind will allow customer to follow the trail of manufacturing and supply process displaying honesty of the organization. The decentralization of blockchain and its transparent nature, allows individuals to trust each other as they engage in transactions on a peer level. This eliminates the intermediaries from the chain. This adds potential benefits such as secure databases that cannot be hacked like the centralized intermediaries. For instance, if an individual desires to hack a certain block in the chainblock, he would not only be targeting a specific book, but all other preceding books dating back to the first one. For them to hack, they need to do it all individual ledgers of the network in a simultaneous manner. The blockchain technology will foster trust in transactions and reduce a number of costs that are involved in the whole process of transactions. How can organizations adopt this technology? Mr. Wei: To begin with, single-use applications should be used since they are not new and does not have much interaction with intermediaries. The best strategy is to add one of the digital currencies such as bitcoin as the payment option. The infrastructure for this virtual currency is already developed and will encourage a number of organizational functions such as finance and IT to develop blockchain capabilities. Another strategy is to have an internal application of blockchain for various functions such as the management of physical assets, and verifying identities. This will help in the reconciliation of internal databases. The implementation of the single-use application will enable the organization develop the ...