Hello dudes, I presume that everyone of you heard of Smart Contracts. Ethereum is the king in this field. Do you think it has a future? Maybe or not. Who knows? I am searching on the issue recently and I want to share my results with you. Let's start ;
The blockchain technology that underlies the crypto currencies has long been considered by experts to be a versatile solution for various sectors. Nevertheless, so far, there has been hardly success in bringing this technology into everyday life. Even though crypto currencies are increasingly used in online trading, the potential is far from being used altogether .
#bitcoin #cryptocurrencies #ethereum #smartcontracts
As far as I search in the internet, there are some really useful fields which this technology can serve well. Say In a white paper, the Fraunhofer Institute for Applied Information Technology FIT has compiled a detailed overview of the fields in which blockchain technology can be used. Indeed, cryptocurrencies are in this respect only the most prominent example of applications based on this technology. It would be conceivable, for example:
Smart contracts, which are essentially computer programs with a fixed script, which are deposited in the blockchain and which initiate predetermined actions when a specific external event occurs. As a practical example, the authors mention the possibility of carrying out the leasing of properties in the future without physically handing over the keys.
Such contracts also form the basis for the idea of the Decentralized Autonomous Organization (DAO). As with any traditional organization, DAOs should also pursue a specific goal. Decisions are made on the basis of the corresponding source code, which is defined in the blockchain and can be viewed there by all participants concerned.
There is no such thing as a central authority that makes its decisions regardless of the individuals involved - but it is completely unclear how, under such conditions, questions of liability and accountability should be resolved. In addition, there is also the possibility of manipulation in this application, as illustrated by the example of the 2016 DAO hack.
In addition, the white paper takes up various application concepts in the field of finance, which go beyond the well-known function as a currency. For example, with the help of the blockchain, payments could eliminate the need for intermediaries - instead of settling transactions through banks, clearing houses and others, the blockchain itself could act as a payment system.
