“Most people have heard of the blockchain, but sadly, most people don’t really understand what it is (or how it’s transforming our world). As Investopedia notes, it’s all about creating secure, global connections and getting rid of middlemen: “A blockchain is a public ledger of all Bitcoin transactions [or other cryptocurrency transactions] that have ever been executed. It is constantly growing as ‘completed’ blocks are added to it with a new set of recordings.”
This “ledger,” of sorts, acts as a direct connection between consumers and producers, eliminating the need for third-party entities like traditional banks.
Ultimately, blockchain technology and its developing applications promise a future with safer, more efficient ways to manage finances. Instead of relying on banks as a middleman to ensure the security of finances (which, as past recessions have shown, include a serious risk element), a “chain” of computers that are connected through a global network can verify a transaction. As such, blockchain could totally disrupt the financial sector.
However, blockchain has applications far beyond banking and finances…”