How Can We Clear the Blockchain’s Technical Bottlenecks?
Originally published on: Why Security Has Become a Major Talking Point for Blockchains
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March 06, 2018
It’s crazy to think that less than ten years ago in 2011, one bitcoin traded for less than $1.
Fast forward today, in March 2018, and a single bitcoin is trading for just under $11,000. If that isn’t a good investment, then I don’t know what is.
However, Bitcoin is far from the most exciting thing about blockchain technology…
The possibilities of the blockchain are endless. However, as it stands, there are several technical bottlenecks that are preventing the technology from reaching its full potential.
By removing these bottlenecks, we can make way for a brand new era of innovation and creativity.
The Benefits of Blockchain Technology
In simple terms, we can think of the blockchain is a virtual public ledger. It records all transactions in a secure, transparent manner.
Essentially, it can be thought of as a technological “trust machine.” It eliminates the need for us to trust our counterparties, and it also eliminates the need for a third-party to act as an intermediary.
This is because, unlike banks that facilitate the transfers of fiat currency, the blockchain enables the free transfer of cryptocurrency through a decentralized environment.
The advent of the blockchain has brought many benefits to our society. And despite what many have been led to think, these benefits extend far beyond cryptocurrency.
Supply chain management, voting, accounting, and quality assurance are only some of the industries that have the potential to be completely revolutionized by the advent of the blockchain.
In many cases, steps are already being taken to give these sectors a complete overhaul.
Pushing Forward With Blockchain Technology Means Removing the Bottlenecks
Right now, the majority of today’s endeavors are focused on using blockchain technology for the purpose of enhancing the internal systems of current financial institutions. However, this severely limits the potential of crypto finance.
Blockchain technology is advancing at an extremely fast pace, and we are witnessing a shift from the “Internet of Things (IoT)” toward the “Internet of Value (IoV).”
However, as it stands, blockchain has several bottlenecks that need to be addressed before significant progression is made. Currently, interoperability, scalability, and usability are all significant issues that are hindering large-scale blockchain adoption.
Interoperability is perhaps the most pressing issue of these three. Right now, the Internet of Value has difficulty communicating values between different blockchains – not to mention off-chain values and off-chain data. This severely limits its scalability. As a result, the Internet of Value cannot support heavier projects, which decreases the usability.
How Can We Remove These Bottlenecks?
There are many different ways we can approach the solution to this problem.
FUSION is one blockchain startup that thinks they may have figured out a way to solve the problem.
The application can fulfill almost all of the functionality of traditional finance – and in a more distributed, efficient, and cheaper manner.
Of course, this is only the beginning; its true potential is far greater. Current cryptocurrencies have only achieved very limited functions of a complete crypto finance system.
FUSION aims to establish a public blockchain as an inclusive crypto finance platform that will lead us into the new era of the “Internet of Value (IoV).”
It will connect both centralized and decentralized organizations, thereby balancing authentication and anonymity, and integrating both on-chain and off-chain data. It will also integrate all cryptocurrencies, including both those that currently exist, and those that are yet to be created.
The FUSION tokens (also known as FSN) will be embedded in the public blockchain in order to sustain the project. It is predicted that these will eventually be used as the ‘gas’ of future cross-chain financial projects.
There will be a total of 81.92 million FSN tokens in circulation.
The Future of the Blockchain
As we continue to power forward towards the Internet of Value, it is becoming increasingly clear that the blockchain’s bottlenecks are something we cannot ignore.
The sooner we solve these issues, the sooner we will be able to move forward and utilize blockchain technology to its full potential.
If platforms like FUSION prove to be a success, we could be about to witness a complete overhaul of the financial system as we have come to know it.
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