The future: Applications

Applications

HOW ELSE COULD CRYPTOCURRENCY BE USED?

Cryptocurrency’s global market and attached pool of capital means there could opportunities to become a more significant player in bankrolling start-up cryptocurrency and tech businesses.
This global nature of cryptocurrency means access to markets much more difficult to manipulate relying on initial funding through regular fiat forms of currency.

Tokens can also play a role in producing capital, incentivising early investors by offering currency specific to the company’s function.
While cryptocurrency already performs several different functions, its use and popularity as a utility could expand as the technology progresses.
Many believe cryptocurrencies with smart contract applications can be applied wide enough to safely and secure provide a backbone for global computer systems and a legitimate decentralised internet.
The business world may begin to more widely understand the binding and trust-less nature of smart contracts and do away with traditional contracts and systems functioning on the threat of repercussion.
Part of any potential accelerated rise in crypto-related start-ups should be attributed to the rapid changes and improvements in technology.
Blockchain technology in its purest form was programmed and introduced to the world back in 2008 and has seen all sorts of developments and advances in its functionality.
With these improvements come opportunity, and an exponential potential of applications ready to be manipulated by millions of budding cryptocurrency-based businesses.

smart contractsmart contractDictates the terms in which information can be sent and received between parties on a blockchain network. Differs from a regular contract in that it is written in code and stored on a blockchain, so both parties have access and its terms remain permanent.

DOES SECURITY PRESENT THE GREATEST OPPORTUNITIES?

The potential of tokens in connection with blockchains has already been put into application with cryptocurrencies such as Ethereum, using its currency as a means of accessing programs and completing tasks.
There is also significant interest in this cryptocurrency application coming from the world’s most successful companies, as well as banks and governments.

Thousands of corporations have already adopted blockchain technology to function as a backbone for everyday activities, taking away the need of third-party validation and the risks of human error and manipulation.

Governments are also increasingly interested in the potential of blockchain technology application, but also its potential to provide the technology needed for their own national digital currency.
China uses blockchain technology as a means of communication throughout its many levels of government departments and administration and is also in the process of developing the country’s own blockchain-backed digital currency.
This will allow the Chinese Yuan to be borderless and capable of being used as a digital fiat currency from anywhere in the world without the reliance of a banking network.

The introduction of national digital currencies has the potential of making physical currency and currency with regional attachments redundant, but also legitimise cryptocurrency as a whole.
The future may provide people with the ability to use borderless and bank-less digital cryptocurrency versions of US Dollars, Euros or British Pounds wherever they are in the world.
But the proven decentralisation and security benefits of Bitcoin and other established coins may have them hold an advantage over what may still essentially be government-controlled currency.

WILL CRYPTOCURRENCY BECOME MORE CUSTOMISED?

But while some companies are looking at blockchain applications for security and fit-for-purpose smart contract applications, others remain focussed on cryptocurrency in its original form as a financial application.
Facebook wants to use its established advantage of global reach to do what Bitcoin is yet to achieve and provide a currency the entire planet will use.
Facebook recently announced its own blockchain-based cryptocurrency, called Libra, due to be released in the hope of providing its own version of digital currency.
Libra is a stablecoin Facebook says is designed to offer digital currency access to those unable to participate in the modern-day cashless fiat currency system.
The blockchain algorithm is designed to be a centralised system formed of just 100 hand-picked members upon launch, with the function of becoming a decentralised system once established after five years.

Perhaps the greatest interest in cryptocurrency’s future among both users and non-users is the question of price and value movement on specific cryptocurrencies and the blockchain concept.
How blockchain technology adapts as a whole, expands and gains mainstream status over the next decade will determine cryptocurrency’s worth as a concept and relative price value.
It is impossible to predict what sort of value certain cryptocurrencies will have in the short and long-term future, especially while an established decentralised blockchain system like Bitcoin is limited in how it can adapt and attract new users.
However, supply and demand is central to any cryptocurrency’s worth, which could steadily rise with the expansion of the blockchain concept or even explode with global acceptance.

The future: Applications