You are lucky to be alive in this decade because you saw the birth of an exceptional alternate currency. In 2009, a new form of digital currency was made public and has gained immense popularity since. The currency and its technology are now publicly adopted in varied sectors.
Of course, we are talking about Cryptocurrencies and Blockchain Technology.
Cryptocurrencies were invented to provide a decentralized, transparent, and yet secure fund transfer network between peers. This network is known as blockchain technology. The concept of decentralization is a much coveted one; several attempts were made in the past century with varying degrees of success. However, it was Satoshi Nakamoto who effectively implemented blockchain technology to create a distributed system for transactions.
Reasons why are the decade you are alive in will be historically significant:
- Cryptocurrencies gained publicity in 2015-2018, providing an alternate investment possibility fitting the style of the millennials and the Gen Z.
- In fact, cryptocurrencies appeal to the older generations too, as the technology is very easy to follow. On the other hand, older generations are known to be skeptical of virtual tokens and decentralized systems.
- Cryptocurrencies are associated with immense returns. The ROI of cryptocurrencies is along the lines of almost 1320% whereas the ROI of traditional investments is around 6-7%. Such huge returns are unheard of and mind-baffling.
- Digital currencies are decentralized; no single central entity has control over the whole network. The currencies follow a consensus based validation process which means that atleast 51% of the network members have to agree on an activity before the activity is finalized.
- The data on blockchain technology is saved on a distributed ledger, which means that the data is stored on a network of computers rather than a central server. Since the data is distributed, any attempt to alter the network is visible to every node on the network, making theft and fraud impossible. This feature has colossal implications in the current market.
- It became apparent in the past couple of years that blockchain technology is not limited to the transfer of currencies; any data of value can be transmitted through the technology.
- Blockchain technology is currently being adopted into manufacturing supply chains, banking, insurance, voting, security, digital identification, educational records, etc. In a few years, almost every network on the planet will be improved by the technology.
- Thousands of new employment opportunities are popping up for blockchain technology skills; well known universities like the LSA, Wharton, etc are modifying their curriculums to include blockchain technology subjects.
Do you think the technology will be as transformational as listed above or do you think it will be nullified soon by better technologies? Comment below.