Although Blockchain technology has widely been accepted as efficient and safe, years after its initial rise in popularity we look around and see it hasn’t exploded in growth like some had expected. This lack of popularity has left many to wonder if the initial excitement was simply overhyping it and whether the technology is turning into a fading trend. After all, isn’t the point of exciting new technology is that it changes things and attracts its users with its benefits?
However, in the technological community, there is still an overall stream of support for Blockchain. Many still claim it will have significant lasting impacts on many industries. The slow growth can be attributed to the type of technological change that is taking place. Rather than replacing existing technology, Blockchain is a new system of storage and therefore can’t simply replace the current systems in use quickly. This type of change does not transform an entire community immediately but rather grows as its worth is realized and eventually replaces the technology it competes with. Businesses are still discovering the practical ways that they can use it to improve themselves, and over time the substitution of older technology will begin to take place. Food companies can use it to track outbreaks of disease, healthcare industries can adapt their supply chains of equipment based on changing needs, and it’s even been brought up as a way to decrease voter fraud in elections.
The financial industry specifically and expect great changes from the implementation of Blockchain. When used by banks, consumers can have their transactions processed regardless of the hour of the day or if it is a bank holiday. The increased safety of the transactions can help decrease the costs of banking by saving on insurance costs and time. One financial institution focusing on the new technology is the Chinese government which created the Blockchain Service Network in 2019. Since its creation, BSN has had its systems adopted by many Chinese cities with more planning to join. Governments across the globe have shown interest, watching as one of the largest and fastest-growing economies implements a government-controlled Blockchain system across its country.
As the practicality of this technology is discovered, Blockchain will continue to grow and be used across many industries. But for now, the cheaper and less risky option for many companies is to stick with the practices they know and trust. And even though the change will be gradual, according to many researchers, it is inevitable.