Blockchain will lead next global tech revolution

Subject

Blockchain technology in finance.

Significance

Blockchain is a cryptographically enabled database technology that can make many transactions free of counterparty risks and nearly instantaneous, eliminating transaction costs. It was created and tested with bitcoin, a cryptocurrency. The financial industry is interested in it, given its scale and need for reliability and speed.

Impacts

• Blockchain use could expand beyond cryptocurrencies, with the financial industry leading it towards real-life applications.
• As the blockchain technology could be disruptive, banks are attempting to influence and direct its development early on.
• Corporate strategists will be the predominant investors in blockchain start-ups rather than traditional venture capital.