Why You Should Care About Blockchain Technology
Many computer experts believe that blockchain technology will be as revolutionary as the internet (or perhaps, even revolutionize the structural underpinnings of the internet itself). Adopted correctly, blockchain technology will cement its position as a market disrupter in much the same way that the internet revolutionized commerce and business communications. As more innovative industry leaders (particularly in the financial industry) lend legitimacy to blockchain technology through early adoption and transparency, blockchain technology could significantly reduce cybercrime, as well as other financial fraud, and disrupt both the credit and currency industries around the world.
Blockchain Revolution Will Have Far Reaching Effects
Although the blockchain revolution may begin by improving logistics and supply chain issues for big businesses and have a potential macro effect on the economy (including an increase in GDP), we believe blockchain-based technology will trickle down to most businesses and commerce in short order and eventually be as ubiquitous as the internet (as well as speeding up the pace of business just as the internet has done). As the Computer Business Review recently noted, blockchain technology “has the potential to transform trade, transactions and business processes.”
According to the Computer Business Review, business networks and ledger are the two concepts underpinning blockchain and these two concepts combine to “make blockchain a smart, tamper-resistant way to carry out trade, transactions and business processes.” Specifically, members of the network can exchange assets that are tracked through a synced ledger and member approval system (i.e. a member has to confirm a transaction for it to be approved and stored on blockchain).
IBM Urges Observation of Permissioned vs Permissionless
As IBM identified in Computer Business Review, “IBM urges adopters to observe the difference between “permissioned” and “permissionless” blockchain networks. By utilizing permissioned blockchain, businesses can use the technology to facilitate existing trusted relationships that exists outside of the blockchain network and can use partial ledgers that do not require unnecessarily costly computational power – thereby initially using blockchain not as a replacement for existing relationships, but as a complement and facilitator for businesses.
Lack of Uniformity in Governance Is Concerning
What is concerning about blockchain technology on a macro level is similar to what concerns many about the internet and technology in general: There is a lack of uniformity in governance and norms and there is also a high risk of automation-related job losses in the name of progress. Granted, adoption costs are not a reason to oppose technology or oppose progress. Rather, industry leaders and society should consider and be proactive in dealing with blockchain’s impact as the technology begins to spread throughout various economic sectors.
ABOUT VERNON LITIGATION GROUP
Vernon Litigation Group is based in Naples, Florida, with additional offices in Orlando, Florida, and Atlanta, Georgia. http://www.vernonlitigation.com/. One of Vernon Litigation Group’s missions is to assist in the recovery of client losses relating to cybersecurity and identity theft. Vernon Litigation Group handles cyber litigation cases including identity theft, claims brought under Deceptive and Unfair Trade Practices Acts, negligence, financial fraud, misappropriation of identity, unauthorized transactions by employees, and civil penalties involving Data Breach Notification laws.
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