So far Blockchain has attracted the attention of multi-national conglomerates and enterprises. For instance, Walmart is said to have developed a supply chain system, while the technology is considered a solution for inter-bank operations.
Blockchain so far
In 2019, enterprises flocked to the blockchain. Companies like Microsoft, IBM, AWS, Oracle and more are offer blockchain services.
Similarly, in cryptocurrency space, JP Morgan, Square, Wells Fargo, Circle, and Skrill slowly moved towards offering cryptocurrency services.
Square decided to offer payment service based on blockchain and allow acceptance of Bitcoin.
The Lightning Network protocol built on top of blockchain facilitates the faster transactions.
Starbucks is accepting Bitcoin for payments. However, the company is ashamed to admit that it takes Bitcoin for payment.
In Venezuela, Burger King restaurants are accepting cryptocurrencies via a start-up called Cryptobuyer. Other retailers in the U.S including Wholefoods, Nordstroms, etc are taking cryptocurrency at point of sale provided by a start-up called Flexa
Blockchain technology is definitely on its way up the ladder inching gradually to pick up mass adoption across the globe. As can be seen from the examples above, in 2019, major global enterprises have shown an inclination towards and progressed in their ambition.
Blocking the road to future
No doubt, all the delibration point to widespread use of cryptocurrency. However, there are still challenges that hold blockchain from gaining a much wider user base.
Square, fortunately, has been successful in contemplating the solution to scale its payment service by building its payment network over the Lightning Network, which is a payment protocol built on top of a blockchain. It enables fast transactions and is often regarded as a solution to blockchain’s scalability problem.
However, blockchain is still plagued with operational problems. Scalability, speed and cost, interoperability and the decentralized-centralized battle among the private and public chains are still problems that need to be overcome.
In fact, Blockchain technology is still what the World Trade Organization calls’ a digital island, which obstructs the growth of blockchain across the industry, meaning the technology so far has dwarfed its interoperability capabilities.
Lack of interoperability is a big issue in the blockchain area. To elaborate on this point, IBM’s Hyperledger network hosts 50 companies and while other companies are using other blockchain networks. The possibility of connectivity between disparate networks is absent. While the work is on and research is taking place, there’s still need to be covered before blockchain becomes ubiquitous.
Interoperability is the key
Allowing disparate blockchain networks to talk to each other is key to the growth of blockchain in the industry. It will solve major problems prevalent in the industry. The Blockchain Alliance, Enterprise Ethereum Alliance, are two alliances working on this front. The two have progressed in the direction and efforts are still on.
An example of the synergy achieved by this collaboration is USDT. It is a stable coin pegged at the value of U.S dollars and utilizes the power of Ethereum’s transactions. If the transactions are enabled with a different network while keeping the characteristics of USDT, this will be more powerful.
Interoperability isn’t something the blockchain industry is discussing new. The case of finding solutions for interoperability goes back in 2017. No wonder the industry has seen interoperability as a roadblock in the adoption of blockchain. Back in 2017, leading companies in blockchain platform Action, ICON, and Wanchain—came together to form a new alliance aimed to develop universal standards for greater connectivity and promote interoperability.
Blockchain in 2020
Ever since Bitcoin came to play, the ability of blockchain to transform industry operations have been on top of the mind of technologists and leaders. While tech giants like Cisco, after spending 18 months in research, have already experimented and given their verdict as — it doesn’t see an immediate use of the technology, others are still relentlessly pursuing their goal to make better use of the technology.
The beginning of 2020 may not be the time to pass judgment on where the technology will lead, but we will need breakthroughs of large magnitudes to see the technology grow in adoption. Achieving the operational excellence of blockchain will stay a priority for sure.
Top comments (2)
I find it sad people are wasting electricity, time and producing PCB waste on a technology which after 11 years did not find any larger use case and justification for it's price. I mean it could have been completely free, volunteer community backed service with the same value (regarding blockchain advantages).
I'd rather run folding@home on my PC than mining crypto "things"...
A good sign to hear that supreme court in India made clear that crypto is legal.