Sam Kessler
By Sam Kessler
Blaise Cavalli is a veteran in the blockchain technology world who recently wrote an article on Medium called,
What Exactly is Blockchain Technology?
Blockchain sounds like a complicated concept but a simpler explanation by Investopedia explains it well
“blockchain proposes an innovative information system architecture to process value exchange within open ecosystems. On the traditional web, information can be corrupted. Blockchain aims at securing high-sensitive data exchanges to preserve them from wrongdoing.”
The purpose of blockchain serves as a digital public ledger, like an accounting record-keeping process. However, the ledger’s ability to record transactions and exchanges are considered either foolproof or extremely difficult to be tainted and corrupted since it is shared in the public network. Since blockchain’s inception, Cavalli mentions
Blockchain Going Forward
Blockchain technology has experienced similar controversial sentiments that the Internet had in the earlier years, as well as individuals seeking an “alternative financial network” that is separate from the global economic system. However, the debates on how to standardize its digital uses in everyday life scenarios are currently being discussed on a global scale. This will be required as there have been initiatives in adapting the technology to several sectors ranging from public, financial, business, industrial, and cyber security to name a few. The many uses and the interests associated with it indicate that blockchain will someday become a more highly regulated environment. Cavalli is explaining this as the current world of blockchain is still extremely fragmented as the earlier platforms like Bitcoin and Ethereum mainly focused on developing themselves rather than creating a system that tackles the interoperability and interconnectivity dilemmas that make future utilization efforts harder to implement.
Cavalli believes that the future of investment in blockchain is to develop and innovate technology that is capable of reducing fragmentation between platforms by making this environment more “interconnected and interoperable.” In addition, the streamlining of mass industrialization efforts will be the following step once the technology is fully innovated at acceptable industry standards. The new system would represent what Cavalli refers to as the
What are Coins, Tokens, and Smart Contracts?
Coins vs. Stablecoins:
Coins mostly represent the digital currency used in a native blockchain platform such as Bitcoin. However, coins that are regularly traded on the cryptocurrency exchanges have been typically volatile in extreme motions, which can either make or break vast fortunes within a short time span. This is why the incorporation of Stablecoins are why Cavalli suggests in his article that
Digital Tokens:
Tokens, on the other hand, are designed to serve a specific purpose and application. They are mainly utilized in representing assets and the transactions associated with them. An excellent simplistic description of a digital token is well-articulated in Antony Lewis’s blog called, “Bits on Blocks”, where he describes
“When you enter an email address into a website to join a mailing list, you’re often asked to check your email and click on a link. The link looks something like this:
https://www.website.com/confirm_email?token=4bdebebc-135b-4748-b7ab-25b31a285df8
In this case, the ‘token’ is this string of characters, which was sent to you. It’s a unique string of characters, which, when you click on it, tells the server that “yep, the guy definitely got the email, so the email account is definitely his.” So, the website sent you a token, and you sent it back, proving you had control of that email address.”
Digital tokens can be utilized for several other purposes on the blockchain Other examples that tokens can be used
Smart Contracts:
Smart Contracts are digital contracts that operate on computer code and are self-executing. The computer code of the smart contract is stored on the blockchain’s ledger and is supervised by the network, which facilitates the “ledger feedback such as transferring money and receiving the product or service.” have to confirm that the transaction has occurred in order for funds
Conclusion
In conclusion, Cavalli has indicated that the evolution of blockchain technology is gradually heading towards the major development of a public blockchain network that creates what he called, “an Internet of blockchains
However, Cavalli also mentions that there is much inefficiency in the current blockchain environment and the necessary innovations would have to be streamlined and mass-produced in
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Sam Kessler is a writer, analyst, and consultant with a global security, geopolitics, and business/finance background. He is also a Geopolitical Advisor for North Star Support Group. Sam has an M.A. in National Security and Intelligence Analysis from American Military University (AMU), which is part of the American Public University System (APUS). He can be contacted via his website/blog at www.samkessler.com
What is BLOCKCHAIN? – Video by the Centre for International Governance Innovation – Lucas Mostazo YouTube channel.
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