Bitcoin, one of the types of cryptocurrencies.

Blockchain, cryptocurrencies, Bitcoin, Ethereum…those are major buzzwords of these recent years. Unless you have no access to the internet, it’s safe to say you’ve probably heard of these terms. But what is it, really? And how does it affect how we live our lives in the future? 

Basically, the blockchain is information stored across personal computers all over the world. The information is stored in something called blocks, and they’re connected by chains, hence the name “blockchain”. The system of all these connected computers is decentralized (so that not one person or institution controls it). The information is protected through cryptography technology.

The information stored in these blocks are information of transactions: verified, permanently recorded, and linked according to chronological order.

Seeing as how blockchain has already developed in these past years, making millionaires out of paupers (and yes, surging and crashing in very short times), we can expect yet more development to come, affecting our relationship with money, economic transactions, and technology. Let’s visit some of the ways blockchain has already changed our way of life.

First of all, with no middleman in economic transactions, exchange of money will be faster, more efficient, and more secure. Anyone who has tried to transfer large amounts of money to a family member in a different country knows how much of a hassle it can be (you’ve probably winced at the wiring fee also). With blockchain all those problems disappear.

Second, cryptography is pretty resistant to unauthorized changes and hacks. Centralized servers are much more prone to data leaks, human error, and corruption. With a decentralized and distributed system, data will be more secure against attacks.

In addition to the above, blockchain will also affect healthcare (our medical data), retail, energy management, charity work, real estate, insurance, and so much more. So, let’s keep ourselves updated and aware of all the opportunities these changes will bring!