How the Advancement of Blockchain Could Change Business and Entrepreneurship

Throughout the past few years, blockchain technology has made incredible advancements at a very quick pace. We’ve already arrived at blockchain 5.0, and industry insiders believe that the progress of blockchain will continue on toward  a major tech upheaval. The uses of blockchain are far more than just currency and finance, and the applications of this technology are growing more and more widespread every day.

As blockchain generations have progressed in transaction speed and security levels, blockchain has been applied to healthcare, the diamond trade, and many more wide-ranging industries. And as the technology becomes stronger and more secure, mainstream acceptance of blockchain also seems to be growing.

Blockchain’s first generation started with bitcoin, as blockchain laid the foundation for the peer-to-peer network of sending and receiving money. Bitcoin utilized the proof of work algorithm, but there were scalability issues as blockchain technology was first being developed and used.

Ethereum allowed the creation of smart secure contracts, and helped open up the applicability of blockchain in places other than cryptocurrency. In this second generation, transaction speeds reportedly went up to 15 transactions per second.

The arrival of Cardano and EOS as blockchain platforms marked the technology’s third generation, with transaction speeds reportedly reaching over 3,000 transactions per second. The consensus mechanism used for EOS and Cardano is delegated proof of stakes, which reportedly reduces energy costs. Blockchain’s fourth generation used a multiple proof-of-stakes algorithm, reaching over 50,000 transactions per second.

Relictum Pro is one of the innovators leading us into blockchain 5.0. According to its white paper, it features a smaller block size (8,000 times smaller than bitcoin), and allows for a throughput rate of 1 million transactions per second. A smart contract signed with Relictum Pro can be signed with 10 counterparties.

Understanding the history of the generations of blockchain is important because of how quickly blockchain is presenting itself as a solution to real-world problems. Blockchain could be used in existing industries like banking, healthcare, insurance, logistics, and governance. Managers and entrepreneurs should take note of the fast-paced advances of blockchain and test, implement, and take advantage of blockchain technology — especially if the business deals with payments and money transfers, proof of provenance, online contracts, distributed cloud storage, supply chain communications, digital identity, gift cards and loyalty programs, or networking and IoT.

Companies like IBM, De Beers, Accenture, and Medical Chain have gotten the ball rolling with blockchain applications. Businesses can either set up their own blockchain development teams or get professional blockchain consulting services. Investing in the future of blockchain now could put a business on the cutting edge in the future. There’s still a long way to go, but blockchain has already made some impressive advancements. The transparency, security, and anonymity of blockchain has the potential to revolutionize many industries — and, in fact, it’s already begun doing so.

 

 

Sources: Forbes, Investopedia, Cointelegraph, Coindesk, Relictum Pro