Do you have blockchain FOMO?

With the huge increase in media coverage about Bitcoin in recent months, many of our clients have asked us whether or not they are missing out by not using blockchain technology.

While this technology has been around for close to a decade, the hype around bitcoin has brought blockchain into the vocabulary of business owners worldwide.

Blockchain is basically a continuously growing digital record of transactions that are stored in ‘blocks’ in a ‘chain’, and secured by cryptography. A complete copy of the blockchain is stored on multiple nodes within a peer-to-peer network. Blockchains can be used for many applications such as recording transactions for cryptocurrency platforms like Bitcoin; identity management; land registrations; medical records; food supply chains; and local and election results.

Blockchain can now also be used by businesses as a platform for cloud –based software and applications. But is your business really at a disadvantage by not jumping on this technology for your own digital frameworks? Or do you just have a case of FOMO?

Blockchain technology has two major positives:

1) Immutability

Because there are multiple copies of each blockchain, tampering with or hacking into data is infeasible as data is verified by consensus. This means that for a change in the blockchain to be officially recognised, it must first be verified by the majority of ‘hosts’.

2) Highly distributed

Copies of a blockchain are held in multiple locations, which makes it very hard to bring down an application that is based on this technology.

Of course, no technology is perfect. There are a few negatives with blockchain technology, such as:

• Scalability – Because of the distributed nature of blockchain databases, scaling up quickly can pose problems.
• Performance – Generally, blockchain technology is slower in performance when compared to centralised databases.

Blockchain is undoubtedly going to be a key business technology over the coming years and we look forward to seeing it develop. If it sounds like something that would benefit your business, we’d be more than happy to chat to you about it.