Blockchain technologies have long been associated with financial application as the main use of revolutionary technology. Cryptocurrencies strengthen this narrative as they continue to leave an impact on global financial systems today. Nonetheless, the bullish and bearish momentum of the industry in general has placed the emphasis on blockchain as a currency-based industry.
This rhetoric was however argued differently by one of the most skilled personalities of the blockchain, Vitalik Buterin, founder of Ethereum. In a series of tweets published on Monday, Vitalik he offered his point of view on the non-financial applications of blockchain technology.
The comments and responses of the equally enthusiastic blockchain stakeholders have made the discussion even more interesting.
"Non-financial applications against financial applications"
In the fifteen tweets of Vitalik Buterin coupled with some answers to comments made by other enthusiasts, one point is clarified, "Blockchain technology is more than the financial aspect." In addition to offering the user a fast, secure and economical means of transacting on a decentralized peer-to-decent system – network, blockchain offers much more.
Vitalik's Tweetstorm on the non-financial application of Blockchain
Non-financial applications on blockchain can be applied to various sectors, including health care, identity management, artificial intelligence, supply chain management and automotive industry, etc.
The founder of the first smart contract platform said that improvements in the user experience and rates play an important role in promoting the non-financial application of blockchains. He went on to say that the aspect of cryptography verification offers various sectors, particularly the guided data, with great benefits by offering valid data. He said:
"An underrated way to view blockchain is like an" extension of cryptography that does different things. "Encryption allows you to encrypt data, prove that data has been signed by someone, etc. Etc. blockchains OTOH lets you prove that a data was not * not * published. "
On the practicality of the use of the blockchain, he provided an example of an app for the verification of university degrees. On the app, a degree is only certified with a digital signature, but the revocations are put in the chain. Only with encryption is it impossible to verify that the revocation has not been signed. This problem is solved using blockchain technology, just check the entries on the chain as they are immutable.
Nonetheless, blockchains can also be useful in an auction to ensure that no late offers have been submitted.
The future of blockchain in non-financial applications
Technology is entering the years of adolescence in which exceptional growth is expected with the construction of better blockchains and improvements to existing ones. Looking at future blockchain, scalability problems will be solved using appropriate functional governance and shard systems established using Proof of Stake (PoS) according to Vitalik. He tweeted,
"The blockchains of the future with evidence of participation and sharing will be thousands of times more efficient, and therefore the sacrifices of efficiency in putting things on a chain will become more and more acceptable."
On the centralized servers and on the dangers that they place on data verification, Vitalik has offered blockchain as a ready solution claiming that the latter "have a real competitive advantage" compared to the consortia and centralization. Blockchain unchanging structure provides permanence and discourages records from being mitigated with.
2Vitalik Buterin on institutions that distribute non-financial applications on blockchain
In his final tweet, Vitalik urges blockchain enthusiasts to embrace the non-financial application of blockchain as much as financial applications.
(All images from chirping)