As we mentioned in our previous post, our team in Singapore is taking on the first DBS Bank Blockchain Hack challenge as we speak. So, before we bring you updates on the event, we think it would be a good idea to revisit the story of the blockchain in two-part posts. We hope to provide an intro to the fuss surrounding the blockchain protocol, which happens to be the foundation of our project and what is believed to be the next technological revolution.
It partly began with the growing awareness of constraints imposed by self-appointing authorities in financial transactions. Issues regarding intermediaries grow to the point where people the world over start seeking for ways to exchange goods and values without the pesky third parties dictating their shady rules. That’s why more businesses and individual today find the idea of a decentralized business network increasingly appealing.
The existing financial transaction procedure is supposed to ensure safety and convenience among people. This function is upheld by numerous authorities as can be seen in the fine prints of every transaction. And for doing their job the financial authorities only ask for a tiny, inconsequential trade-offs: our privacy and freedom.
Thank god for the Internet technology, the stifling power of the third parties begin to recede. Today, free flowing information is democratizing life everywhere, in spite of resistance to change in the financial world. But, the advent of the blockchain technology makes changes inevitable.
First introduced as the backbone of the Bitcoin cryptocurrency, the versatile blockchain technology gradually takes on a life of its own. The blockchain is basically a protocol to facilitate transfers of values from one place to another. It’s enacted simultaneously by a number of computers (nodes) in a network. It’s a dispersed environment with no central, an all-powerful figure demanding compliance of the public.
The outdated system has also become too rigid for the progress that takes place in many aspects of our lives. Naturally, we are forced to bear with the sluggish financial red tape. On top of that, customers and proprietors alike remain exposed to fraud and theft.