by Nico/YuwanZhang
To some extent , the popular of Blockchain is because the presence of Bitcoin - one kind digital currency , as a framework of technology ,blockchain lead to shift of paradigm which from centralized to decentralized , from trusting humans to trusting machines , in which case blockchain has solved tradition problem of currency system .
For example , 45% of financial intermediaries, such as payment networks, stock exchanges, and money transfer services, suffer from economic crime every year; the number is 37% for the entire economy, and only 20% and 27% for the professional services and technology sectors, respectively.Alex Tapscott and Don Tapscott(2017) ,this problems can be solved by blockchain.
Blockchain - Distrubuted ledger of transactions
what is "blockchain"? While there is no one standard definition of blockchain, the most parsimonious and commonly used is "distributed ledger of transactions .Distributed ledgers are a special case of distributed databases.Hanna Halaburda（2018）Since the infrastructure of blockchain is distributed databases .
The distributed databases means every party in the blockchain have the same right and authorization to access to the entire database in the history or in the present . Due to this kind of transparency ,there is no single party can control or change the data or information in the blockchain and do not need intermediaries anymore .what's more , this has lead to shift of paradigm which transfrom from trusting person to trusting machine , in which distrubuted database has played an essential role .
Because we do not need any intermediaries(such as banks ,goverment bodies and so on) in the blockchain , every communucation will be directly happened between peers .
In a nutshell , the distributed databases has result in definitly transparency ,and every one in this system has the same right no matter which hierarchy you are in the society , but no human being can change the rule ,thus , blockchain can ensure the security of digital currency .
Blockchain is one of technology which plays an key role in Industry 4.0
Because blockchain can provide security ,privacy , stable system in the cyber space , so it will be one of tools to be adopt in the industry 4.0 , since the objective of industry 4.0 is to integrate the physical world and cyberspace through techonology such as AI ,Cloud computing .
Especially , nowadays the more information the enterprise or individual own , the more opportunites of success will have . However ,current information management system reply on database where information is kept in silos seperately .In which case , if blockchain is being adopt in a reasonable way , the occurrence of information asymmetry will reduce in a large scale . It can also prevent corporate monopoly to some extent ,
References
Alex Tapscott and Don Tapscott(2017) ,How Blockchain Is Changing Finance ,Harvard Business Review .
Tomaso Aste, Paolo Tasca and T Di Matteo ,Blockchain Technologies: foreseeable impact on industry and society
Hanna Halaburda （2018），Economic and business dimensions: Blockchain revolution without the blockchain？，Communications of the ACM ，Pages 27-29
