Blockchain technology is widely regarded as the most important breakthrough since the advent of the Internet. But what exactly is it?
Imagine a long series of data duplicated on millions of devices and updated around the clock. You no longer need to rely on banking institutions to check your account balance or wire transfers. Blockchain technology promises to make these processes faster, cheaper and more accurate than ever before.
From tech innovators in data services or supply chain experts to artists and musicians are inspired by the potential. Blockchain makes a simple promise: New ways of storing information and authenticating processes, and all this with more security than ever before.
Gig-Economy on the move
In a society in which trust in traditional sources is dwindling, new possibilities for commercial truth finding and confidence building are gaining in importance. Blockchain comes as a harbinger of a future in which truth is tangible and mechanized. As a result, new relationships between companies, employees and customers are emerging.
The possibility of smart contracts for the so-called “gig economy” promotes a “numbers-at-a-time” revolution. Freelancers only become active when their customers demand it. Why should they be tied to a single employer? They plan their daily work in the morning via a smart contract according to their core competencies.
In the last ten years, the economy based on short-term contracts and freelancers has grown worldwide, especially in the USA with a growth rate of 50% (study by L. Katz and A. Krueger, 2016). The reasons for participating in the Gig Economy are primarily flexible working hours and a better work-life balance.
The end of the intermediary’s activity
In a few years the important role of block chain technology in the data revolution will become more visible.
In the EOS operating system, founded in 2017, a variety of applications can be activated by using intelligent contracts that are directly applicable. Programmers are likely to encourage lawyers to use them. For the first time, data-driven contracts will be based more on algorithms than on personal know-how.
In a world in which one’s own activities can be documented transparently and securely, intermediaries will come under increasing pressure and have to prove the value of their activities. With the spread of block-chain technology, the verification of information by a trusted intermediary and his or her job description will become increasingly outdated. Peer-to-peer relationships will become more secure than the Internet has made possible in the past.
Steemit is a social media platform based on blockchain technology. Content providers are rewarded in the form of “symbolic” STEEMs for providing content on the network. This token structure of companies can determine the income of value drivers. Individuals can therefore earn their living in a peer-to-peer environment without commercial intermediation.
Programming is becoming an increasingly important competence for block chain based services. Codes are fed into the block chain technology as important components without the need for discussion or personal decision making processes.
Project Provenance Ltd uses Blockchain technology to create an easy to use system that guarantees the origin of products – from coffee beans to fabric bales. This transparency embedded in block chain solutions means that companies will be more accountable in the future.
This will create new corporate structures that promote a seamless transition between value drivers and the recipients of value creation. With access to token structures, people can be their own “boss” in ways never before possible. Think of Uber as a company owned and managed by its drivers.
Everledger is a fraud detection system for the diamond trade. By storing intelligent contracts in a decentralized inventory book, product origin and development are clearly documented. This type of accountability allows potential employees to make a realistic assessment of the true nature of a company – not the image presented. As a result, corporate image is becoming increasingly important in the recruitment of talent.