Top 10 Blockchain Trends of 2021
Tags: Blockchain, Blockchain Technology, Bitcoin, Blockchain Startup

The blockchain is thought to be a technology that is the counter-part or better-half for the cryptocurrencies, it is certainly true, but what people are big-time missing on is it is a backbone for several other modern services. To proceed further, let us understand first what blockchain technology is.

What is Blockchain?

It is a transparent database that stores data in the form of blocks. Each blockchain has a hash id, directly derived from the data inside the block, and the previous block’s hash. Thus the tampering in the data through hacking will modify the hash and the chain of blocks will fall down as the next block’s previous hash id does not get changed.

Although this technology has gained the momentum predicted for it, but it has certainly created regional markets for it in Israel, China, Korea, and the Pacific region. Let us have a deep look at the developing trends in this field throughout 2020;

The hype over Practical Starts

2019 left us on the corner where there was much hype about blockchain technology, but no one was really ready to implement the technology and get the best out of it. With the wake of 2020 on the horizon, many implementations and practical manifestations of the technology has been seen in the plethora of industries. These industries range from the agriculture, insurance sector to the government agencies and bodies.

Now the overarching questions like “Will the technology work for us?” and “How can we make technology work for us?” have stopped threatening the proponents of the technology. The world has to start reaping the benefits of beneficial technology.

Identification of Piracy and Misleading Information

The identification of the piracy i.e. repeated identical information in the ledgers is very simple as every transaction by all of the stakeholders is completely transparent. So, the users can identify the repeated records in less than a second. Moreover, these transparent databases have very limited users with the authority to write the database.

The structure of the block-chain does not allow the tampering of the data. But if any adept hacker makes it to successful tampering of the data (whose proximity is nearly impossible), the recording of the same transaction in the ledgers of all of the stakeholders immediately helps in recognizing the misleading information.

People think that block-chain is rendering successful services only in the financial sector, so piracy and misleading information can be eliminated only in that field. This is not fully true, as the blockchain services are not limited only to the financial sector as it is rendering services in every arena of life including international politics, supply chain management, and social media interactions.

Governmental Bodies Using Blockchain

The Korean peninsula, Vietnam, and China have decided to take the technology one step upward by inducing it into the government machinery and making it the most crucial element in worldwide digitization. Even countries like Thailand and Vietnam are using it for digital contracts keeping in mind the massive storage space of the blockchain technology to store the documents and massive amounts of information with no risks associated with being pirated, tampered and hacked.

It is predicted by many IT gurus that the process of online voting can become trustworthy, speedy, and transparent. There is no other solution than blockchain development to make online voting a fair process.

Emerging Platforms

The new platforms have emerged for exceptional blockchain development. During 2019, the platforms were in their probation period or the naïve period when they had no much prior experience of meeting the user expectations and resolving these problems. The prominent names of these platforms are Ethereum, Hyperledger, Hedera graph, Ripple, and Quorum, etc.

The 2019’s blockchain development platforms were enabled to give the core features only, the enhanced features can be developed and craved using the new versions of the aforementioned platforms.

Increased Adoption Rate

A plethora of industries has adopted the use of blockchain technology. This adoption has also diversified the reasons for which these technologies are being used. The adoption of this technology in the medical and health sciences has made the best influence on his history. The data transparency, speed of access, immutability, traceability, and trustworthiness can provide the information necessary for life-altering decisions. The pharmaceutical supply chains have been at the center of much experimentation in the past 12 months. Another important area of interest, confirmed also by the World Economic Forum and World Bank, is the digitizing of the health records to give rise to self-sovereign identification.

The highest share has been contributed by the sector ‘Technology, Media and Telecommunication’ with the percentage 49% of the total share and the lowest share has been contributed by the ‘Retail, Wholesale, and Distribution’ with the percentage 21% of the total share.

Block-chain Consortia

The blockchain developers have started consuming their energies in the streamlined direction to form blockchain consortia or the ecosystem. For this to achieve, collaboration with the third parties is pertinent. Some of the major features of the blockchain consortia are Goals of Collaboration, Responsibilities of Involved Parties, Contribution, Intellectual Property, Technology Consideration, Confidentiality Agreement, and Legal Entity, etc.

Rise of Tokens

In simple words, the token is the encrypted string of data that does not contain the data without actually pointing to the data ostensibly. The tokens are reported to be the new “digital assets”. The digital asset is anything to have possessed the intrinsic value.

Examples of digital assets include land, goods, certificates, identity, works of art and literature, rewards, and even currency, among many others. Still, there are many industries in which the digital tokens are not being used, reserving the billions of euros as the illiquid able reserves.

Increased Legislation

40 bills have been passed by the American congress regarding the block chain development in the area of crypto and blockchain development. India, Thailand, China, and Korea have also done it rigorously. This is a subtle development towards legitimizing blockchain development.

No Market Disruption

The trilemma of blockchain development service revolves around decentralization, security, and scalability. Systems failure often causes issues with the functioning of an entire market. A single breakdown can lead to a chain reaction taking down all the other systems with it. With the use of blockchain technology, this damage can be limited to that particular system and prevent it from spreading and causing a disruption. Since decentralized blockchains do not require a central authority, and multiple users must verify each transaction, there is minimal chance of complete and extensive failure.