In 2008, Satoshi Nakamoto released a cryptograph that will become one of the greatest revolutions to how we conduct business and transaction in the 21st century. The cryptographic white paper was filled with ambiguous piece of code but after minor refinement by a community of coders, one bitcoin is now exchanged for $14400 today. Opinions regarding the future of cryptocurrencies are mixed but because of the underlying technology behind it, the blockchain, the global acceptance of this online currency is expected to grow. However, what interest me most is not the cryptocurrency itself but its societal and economic impact. Surely our lives, as we know today is currently being disrupted.
The cryptocurrency protects users’ identity, it is decentralized and records every transaction. Just imagine a currency without a government and third party like banks. A bit scary though but believe it or not this is the future. Cryptocurrency could be the most important invention in the 21st Century but how does it impact our way of life?
I still struggle to enter my credit card details online because of the frequently occurring identity theft crimes. Since 2017, over a billion has been stolen through credit card fraud and this has left more than 5.2 million brits to cancel their credit card subscription. I believe those days are finally coming to an end. One of the unique selling points for cryptocurrency is the security and safety of funds transfer. This online currency secures transfer of funds between two people or businesses by using public and private keys. It is expected that this advantage will restore consumer and business confidence in online transaction.
One of the puzzling opinion regarding cryptocurrency is its ability to allow multiple transactions like the conventional credit card payment system. Do not be alarmed, it is expected that cryptocurrencies will retain the one card solution offered by card payment system from most commercial banks. The cryptocurrency system consolidates multiple features into one single unit thus giving you the ability to be your own bank. This implies that with your cryptocurrency you can subscribe to a lending scheme, initiate an international money transfer, exchange currencies and trade. The ApolloDae is one of such platform that provides the tools cryptocurrency users’ who needs to carry out the crypto exchange, coin base, crypto trading, ICO, token sale.
Whenever I call the contact center from my phone line the background or my voice is enough to verify that I am human. This is not the same case for online interactions as the verification method will require text and pictures. This is the same for the traditional transactions, there is no one size fits all solution, verification procedure will change with each transaction. This creates room for dishonesty and less transparent transactions. On the other hand, the blockchain transaction is an online ledger available on several computers thus making transaction verification fairer and more transparent. This feature will help increase B2B and P2P transaction.
It will be improper to ignore some of the challenges facing the cryptocurrency industry. The currency is not totally immune to theft through hacking and it creates a battle between cybersecurity experts and hackers. Apart from theft, the currency is prone to wild market fluctuation which means money can be gained or lost. Lastly, cryptocurrency is not backed up by gold, just math, and computer and because it’s a virtual money it needs to be backed up in the event of a computer crash. These are some of the demerits of cryptocurrency money, it is not perfect but definitely an improvement to the current system.
There is certainly a future for cryptocurrency in the rapidly growing digital economy. Its application is gradually increasing as it is revolutionizing how people do business and live. It is expected that paper and coin printing will be phased be out in time. On till then, these are some of the impacts that using cryptocurrency might have in our lives.