The latest 5 blockchain technology trends in 2020

The latest 5 blockchain technology trends in 2020

The Bitcoin and crypto hype of 2017 has worn off, but companies have continued to invest in research and development for the past years. And that’s not going to change in 2020. Here are 5 blockchain technology trends to look after in 2020.

According to analysts, blockchain ranks as one of the top 10 technology trends in 2020.

Even if the enthusiasts have become calmer, don’t fall to believe that blockchain is going away. Because the exact opposite is true. The blockchain technology is just in its infancy, and only a few companies have been able to successfully use it for their digital operations.

Blockchain’s future is tightly connected with the future of AI and IoT.

Here are some blockchain trends for 2020.

Other industries will follow the to implement blockchain

The blockchain technology became famous once Bitcoin started to gain popularity, and that’s why the finance sector was the first one to use this innovative technology.

But blockchain isn’t limited to digital currencies. The number of uses cases and examples grows with every month, as companies and developers become more open-minded. The blockchain technology can be incorporated into systems to stop frauds, as a settlement system, for the smart contract feature and of course, to increase the speed of digital transactions.

IBM, the company that helped launched more successful blockchain initiatives than any other company, believes that the investment of financial services in blockchain will increase in 2020.

Blockchain has immense value for services and industry that require secure ledger or transactions and need to keep track of everything. This includes agricultural products and luxury goods.

Facebook plans to bank the unbanked

For the past year, Facebook has been talking about how it will revolutionize the financial world, all over the world.

The launch of Libra is supposed to be in 2020, but many details are still unrevealed.

Since the creation of Bitcoin in 2009, many altcoins have been launched and many of those have sunk before anyone ever knew about them. But the world has yet to see a giant such as Facebook, launching its own crypto. This is something nobody has seen before and it can change the financial world as we know it.

The topic is controversial, as both Mastercard and Visa announced their withdrawal from the project due to regulatory concerns.

Libra, the cryptocurrency promised by Facebook, is technically a cryptocurrency, but its processing mechanism was described differently than the one Bitcoin has. It will rely on computer encryption to guarantee the integrity of the network, but the network will be centralized, as opposed to the distributed system used by all the other cryptocurrencies.

Even so, if Facebook makes its promise a reality, it will finally succeed in disrupting the current global monetary system.

The blockchain technology and its integration with AI continues

Artificial Intelligence (AI) can be difficult to understand, due to the large volume of data that determines its decisions.

Some believe that the blockchain technology can be the solution to that, as it would make the decisions traceable and would allow humans to verify that the decisions were made based on verifiable information.

The two technologies can even help each other. The blockchain improves the use of the AI and the AI can make the blockchain more secure and easier to operate.

Using these two powerful technologies, companies can reduce waste in production, streamline supply chains, make predictions more accurately. It is likely to see the first cloud service providers that combine AI and blockchain in 2020.

Blockchain can be used to secure the Internet of Things

People are using and connecting more and more devices in their personal and business lives to process data, which can lead to more opportunities to corrupt that data if it would fall into the wrong hands. Or information can be simply misplaced.

Because more and more information is transferred machine-to-machine, a trustworthy and secure environment is necessary.

Luckily, blockchain technology can be used to get the current best solution known to man. All transactions and pieces of information are transparently recorded to all parties. This makes debugging, a much simpler task to understand where the error occurred and what caused the problem.

Studies have shown that the companies that have adopted IoT are planning to also implement blockchain in 2020 if they haven’t done so already.

Governments are pro blockchain

Wyoming is the first state in the US to adopt a framework that allows blockchain to flourish.

As the first cryptocurrencies appeared, the transfer of valuable assets became possible for the first time, for anyone in the world. This raised attention by the central banks, who were concerned by the obvious potential of money laundering and illegal activities.

To this day, these concerns have kept cryptocurrencies from mass adoption and why the US Securities and Exchange Commission (SEC) consistently rejected applications for public cryptocurrency banks.

The decision of the Wyoming legislators doesn’t change that. But with their decision, they made public their belief that regulation should be an enabler and not a blocker of technology.

We hope to see more states and countries from all around the world to follow their examples in 2020.

What makes people be interested in cryptocurrency?

What makes people be interested in cryptocurrency?

There is no doubt that the cryptocurrency world is getting bigger with every month that passes, and we are not talking about the capital market, but about the people actually interested in cryptocurrency. But what makes people be interested in cryptocurrency?

Is it the fast ROI due to volatility, is it the new stock exchange of the moment, what is it? We tried to pinpoint some of the reason for which people are increasingly more interested in cryptocurrency.

Financial advantages make people be interested in cryptocurrency

The interest in cryptocurrency is partly a result of the research people have made in finding better alternatives to the financial industry. Fintech is a fast-growing sector and it is seen as the new kid on the block. Like the internet was a few decades ago.

Clearly the interested in these topics had been on the rise, judging from an analytical point of view.

Websites like Coinmarketcap have reached traffic peaks with every rise of cryptocurrency prices, and that’s just a small indicator of the population interest. We are not talking about hearing about Bitcoin or cryptocurrency for the first time. Grandmas from South America have heard about Bitcoin from the radio. Now, we are keen to discover what makes people be interested in cryptocurrency and hopefully discover how to increase awareness and how to explain it to others.

Here are a set of points which seem to make people interested in cryptocurrency.

Cryptocurrency trading can lead to profit

Cryptocurrency has no borders

One of the defining characteristics of a country is that it has its own currency. The basic aspects of world currencies can be found in cryptocurrency as well, but there are improvements which the fiat currency lacks. Being able to perform borderless transactions is one of them.

By performing cryptocurrency transactions, where no centralized authority is in charge of that, and everything is transparent on the blockchain, payments and financial transfers can be done equally from any part of the world to another. There are no extra fees for overseas transactions. Everyone pays the same. Everyone can participate.

Cryptocurrency trading can lead to profit

As for any other field in this world, the possibility of making money using cryptocurrency is raising interest. Most people work hard for their dollars, but today’s technology makes it easier for individuals to invest, speculate or even get free money.

It’s not how hard you work, it’s how smart you work.

By learning the basics of investing, learning what newbies mistake to avoid making when trading cryptocurrency, trading cryptocurrency can lead to a profit. The internet is full of stories of how investing in cryptocurrency has changed people’s lives, but don’t get too hyped about it. You might be inspired with your investment, but don’t ever invest more than you are willing to lose and also be open to getting crypto from smaller projects.

Cryptocurrency keeps your identity private

Indeed, it’s advertised that blockchain keeps your identity private, but don’t get fooled. It mostly provides pseudo-anonymity. Because there is no bank or other central authority behind the blockchain, you get this anonymity. But it can also be traced back to you in more complicated or suspicious cases like money laundering or other criminal activity.

What makes people be interested in cryptocurrency?

Cryptocurrency is based on demand

They say that Bitcoin was created as a response to the financial crisis of 2008. It was meant to be a currency that doesn’t depend on banks and that it wouldn’t be affected by inflation.

Bitcoin is mined at a certain speed and it has a finite number. There is no way to fabricate more bitcoin, as it is the case with fiat currency. The value of Bitcoin is based on demand.

Cryptocurrency is transparent

And fraud-free. It doesn’t mean bad people can’t use it, it just means it is transparent and everything can be checked by anyone. No central authority doesn’t mean less control, but more. By using the block explorer of the blockchain, anyone can check what amounts were transferred to what addresses. And of course, you can backtrack addresses and/or amounts.

What makes people be interested in cryptocurrency?

Cryptocurrency can grow fast in value

This is where the profit can come from. That’s what makes the newspapers’ headlines. This is where all the media attention comes from.

And that’s a principal conductor of people’s interest in cryptocurrency. Based on a simple principle or demand, when someone or more individuals buy a lot, then the prices go up. If they sell, they go down. This is considered to be a risky investment, but most are in for the long run and don’t mind too much if Bitcoin or any other cryptocurrency has dropped 10%.

The best thing about this volatility is the awareness it brings and how it attracts more people, as many are attracted by the possibility of making a quick buck. But then most stick around because they learn about the blockchain technology and once it is understood, they can see how it can change the future of our financial sector.

Ready to read and discover more about Bitcoin, blockchain and cryptocurrencies? Start with the cryptocurrency beginner’s guide.