It may be still in its infancy but Blockchain is shaking up technology to a new level. Considered as one of the ‘biggest game changers’ in today’s IT market. Blockchain technology proposes an alternative method to how we access and control banking, amongst other advantages for IT products and Internet of Things.
Rightly or wrongly, we are still yet to realise what blockchain technology can really offer. Currently sceptics and brave investors see it an alternative method of banking to the traditionally tried and tested centralised banking structures which are provided by individual banking businesses and regulated by the financial industry.
Possibly born from the backlash of the 2009 banking crash which saw individual finance companies responsible for the global recession, blockchain has been created to be administered differently. Rather than a single bank company, the Blockchain network is provided by a collaboration of individuals who are known as nodes. The nodes must collectively approve any changes to accounts before transactions can be made and the transactions are administered under several levels of encryption.
Blockchain Technology is practically un-hackable
The great thing about the Blockchain network is that it’s practically un-hackable as if any un-toward activity takes place, then the nodes can just quarantine the activity. This means that they are directly protecting their revenue whilst eliminating any unscrupulous middle man.
According to Alex Tapscott, CEO of Northwest Passage ventures “To hack it, you wouldn’t just have to hack one system like in a bank, you’d have to hack every single computer on that network, which is fighting against you doing that.”
The problem is that we just don’t know enough about the technology and the contributors who are managing it. Unlike the banks which are wrapped tightly in regulation, this has no regulation and if it fails, it could easily demonstrate a substantial level of lost investment.
If you believe in it or not, Blockchain is receiving a lot of media attention. What it becomes is yet to be unveiled.
Are you using Blockchain within your business? If so we would love to know! Please email your story too firstname.lastname@example.org . Alternatively you are welcome to speak to Crendon Insurance Ltd about our range of IT Insurance packages. We provide bespoke insurance for companies who are using IT within their business and cover topics such as Cyber Security and Internet of Things.
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