Perhaps the biggest invention since the the Internet and Electricity; Blockchain could influence and control almost every aspect of our lives within the next decade.
Besides being an active investor in Bitcoin and Blockchain, I also act as a Blockchain & Cryptocurrency Consultant. With over 8 years of experience, I have helped both consumers and businesses enter world of Cryptocurrency in a safe and responsible matter. I have a strong interest in Sustainably, the potential of Blockchain and enjoy thinking and debating about future potential. My specialization is in Crypto-security and how we can safely store our Cryptocurrencies; and be protected from theft and loss.
Storing your own cryptocurrency is at the basis of Bitcoin and other cryptocurrencies. The idea that you can be your own bank, that nobody can control your coins and only you are in control. What we have seen so far is that many people leave their cryptocurrencies on exchanges or online wallets, without realizing they are still fully dependent on this third party. If this company fails, you have lost your currencies. Furthermore, you are still vulnerable to regulations, oversights, temporary freezes etc.
The only way to be fully in control is to store your own cryptocurrencies in a self-managed wallet. This allows you to be your own bank, to have 100% ownership. However, being your own bank comes with responsibilities. There is nobody to back you up, nobody to retrieve your password. What happens when you lose your passwords? What happens when you pass away and your inheritance? For over 5 years we have been working on solutions for these exact issues.
Banking the unbanked
Over 4 billion people around the world do not have access to a stable bank account. Blockchain makes it possible for everybody to have their own bank account, and access to the wider financial system. The only thing you need is a mobile phone, and some kind of internet connection. This could create a significant shift in the global economy and make it more fair and equal.
People without a bank cannot get a loan to start a business, cannot invest their money, and often lose big parts of their money by inflation, monetary policy and outdated fee structures. By creating a global currency and allowing everyone to access this currency, these people finally get access to the wider financial system with all the benefits it carries.
Cut out the middlemen
Wherever are financial transactions, somebody is taking a fee. Whether these are banks, payments systems, or trusted parties; a significant percentage of all the economic activities is ‘lost’ at the middlemen. Many of the financial districts around the world are based on these percentages, and it has generated enormous amount of wealth for very few people.
By establishing a trust protocol (Blockchain), there is no need anymore for a middleman as every transaction is 100% guaranteed and immutable. There is no need for a bank to verify your transaction, no need to pay a 3% fee do to a payment. Blockchain makes it possible to make 1 to 1 transactions without any third party, making most of the current financial companies obsolete.
The system we have today might be the best we ever had; but it is not good enough anymore. The current financial system is riddled with problems, vulnerabilities, and injustices. For many decades the rich have becoming richter, while the rest of us are struggling a little more every year.
Inflation, investment structures, corruption and many more things have made it possible for people with wealth to generate enormous amounts of more wealth. With Blockchain, we finally gain control over these factors and give the power back to the people. We can stop inflation, provide investment access to every citizen around the world, and stop most of the corruption by having open and transparent systems. Blockchain won’t change these issues overnight, but can help shape the system of the future.
If we we could redesign our financial system with the tools we have today, it would look nothing like our current system. Never in history was it possible to have a 100% trust protocol, to have completely transparent systems (where desired) and to provide equal opportunity to both the poor and the rich.
NFT’s and smart contracts
Not rich? Too bad, forget investments in property and other products that have generated wealth for the wealthy. But what if you can split that house in 100 pieces, hardcode this in the blockchain and give every single person 1/100 ownership? This is exactly what we can do with smart contracts on the blockchain. Now people can buy piece of house, share the investment, and even own part of the Mona Lisa painting.
And it does not stop at sharing and dividing, we can also thing about long term revenue and reselling profits. Why not write a contract that automatically donates 10% of profits ? Or give an automatic kickback to the painter every time a painting is sold? Or put your money together with 10 friends and invest in something together. You don’t have to worry about somebody bailing the agreement, as everything is hardcoded in.
We are only just starting to think about the possibilities, but think about what it go do to the entertainment business, the real estate market and many more.