Chances are you have may heard about a lot about it. More than likely, you don’t really know what it truly is? Here goes trying to have blockchain explained simply for you.
It is still fair to say in some respects it is still a technology in its infancy.
It is however developing more and more through the emergence of some major uses e.g decentralised finance.
There is still however quite a bit of hype about blockchain being part of a technology revolution.
It is mooted as being on par with the rise of the internet in terms of its future potential. Big call I know but one worth digging deeper into.
What ensues amongst all this is a mix of hype, excitement and opportunity – all rolled together.
Blockchain, bitcoin, Ethereum, smart contracts, automated distributed ledgers and cryptocurrencies are all words increasingly entrenched into our day to day language.
Each has its place within the blockchain eco-system.
Blockchain Explained Simply
One of best explanations I can find for what Blockchain is (in plain English), remains the one below which is on the IBM website.
Blockchain is a shared, immutable ledger that facilitates the process of recording transactions and tracking assets in a business network. An asset can be tangible (a house, car, cash, land) or intangible (intellectual property, patents, copyrights, branding). Virtually anything of value can be tracked and traded on a blockchain network, reducing risk and cutting costs for all involved.
Let’s break it down a bit more…
Shared – yes, an online ledger that is common, secured by cryptography. It is also public and can be accessed for verification by potentially anyone. It is one that is not stored in just in one central place by one entity such as a bank.
Immutable – the security given to a ledger that once blocks of information are added to it and verified as valid. These can’t be varied or altered. They can therefore be trusted as the “one true source” notwithstanding it can be viewed by everyone.
As you can see already, there are lots of potential uses for businesses to use a blockchain of this nature.
The people at Deloitte have also tried to explain Blockchain in under 100 words…and haven’t done a bad job at all…take a look for yourself here
Blockchain Explained Simply
As commercial lawyers providing technology law services, we can clearly see the benefit of blockchain as a technology that will over time transform certain businesses.
It will also clearly change into the future how people transact and record those transactions.
Watch this space we say.
Paul Ippolito, our Principal understands the new emerging technologies. He has undertaken many technology courses that means he understands their workings. As a lecturer and commercial lawyer he understands the legal issues arising from their use. He is also aware of the the implications for business trying to implement such.
Call us now to discuss your technology law needs.