Blockchain Trends 2019: In-Depth Industry & Ecosystem Analysis
Blockchain is a technology that is bound to change life as we know it. Although cryptocurrencies, such as Bitcoin and Litecoin, are some of the popular applications of blockchain, there is a much wider scope of application for this technology.
Over the years, blockchain technology has improved, with innovations to maximize its application. In 2018, for example, the introduction of regulators was a notable trend in the blockchain ecosystem.
2019 has seen several blockchain trends. These trends, which are billed to cause a long-term change in the blockchain ecosystem, are highlighted below. Blockchain trends for 2019 include those that are being uncovered and those that have been somewhat established.
Blockchain as a service (BaaS):
Blockchain as a service is a solution created to make the application of blockchain feasible for organizations and business. Blockchain as a service is offered to enable organizations to create apps and other solutions with blockchain. It is a cloud-based service that allows the seamless application and scaling of blockchain solutions.
With blockchain as a service, developers can create solutions and carry out other tasks and activities on a dependable platform. Developers also apply BaaS in adhering to the best practices in the development of solutions with blockchain technology.
The availability of BaaS is bound to increase the adoption of blockchain technology by organizations. BaaS provides the platform on which organizations and businesses can create functional and dependable solutions. Solutions that can be developed by organizations with blockchain technology include those for broad use and those for use in specific niches and purposes.
The interoperability of blockchains has been a major trend in 2019, a trend aimed at excellent interactions between blockchains. Networking solutions allows the easy sharing of data between users. These solutions also enhance the speed of data sharing.
The development of solutions to improve the interoperability of blockchains is a trend which is bound to continue over the years, to widen the scope of application of blockchain technology.
The Ethereum app is one where the application of the interoperability trend can be clearly seen. Networking solutions incorporated into the app allows the easy transfer of information between Ethereum blockchain and EOS.
The interoperability trend is bound to improve user experience and make blockchain technology more suitable for more regular applications.
Financial institutions and blockchain technology.
A particularly interesting trend as regards blockchain is the increased application by financial institutions. The enhanced interest of financial institutions on blockchain technology can be linked to the success of cryptocurrency exchange apps. Financial institutions realized the potential of blockchain for the finance sector and have been making moves to incorporate blockchain solutions in their operations.
Financial institutions have been particularly interested in applying blockchain for digital asset management solutions. The application of blockchain technology in cryptocurrency exchange apps has also continued to get a lot of attention.
As more applications of blockchain technology are unveiled, a greater need of development innovations is created. These innovations are related to scalability and UX development. Cryptocurrency exchange apps, for example, are some of the more recent applications of blockchain, and they are especially complicated.
2019 has seen a commitment to development innovations, to improve the functionality and efficiency of blockchain solutions. The development innovations that have been unveiled so far and those that are in the works include sidechains. Advanced platforms are particularly in the works. These platforms are billed to have highly impressive designs.
Federated blockchain has been more on the scene in 2019 than before. Although federated blockchain is similar to a private blockchain, several features could be described as responsible for federated blockchain being more on the scene in 2019.
These features include the fact that it can pre-select nodes. It is also noteworthy that the monitoring of federated blockchains can be effected by multiples authorities. These authorities can validate transactions after the nodes are selected.
Features of federated blockchains make them especially suitable for sectors such as financial services, supply-chain management and insurance claims.
Blockchain and IoT:
Several notable technologies are currently available. The integration of these technologies is a path towards maximizing their peculiarities. It has been pursued for blockchain and IOT, both impressive technologies of the present time.
The integration of blockchain and IoT mitigates the issues associated with the use of these technologies. The use of IoT, for example, is associated with risks such as security breaches. AI and blockchain can be applied in mitigating these risks, with AI applied in preventing hackers and malware attacks and blockchain providing further security by preventing the modification and illegal access of data.
The integration of blockchain into IoT is also aimed at reducing the costs of operation and enhancing the speed of the transaction.
In 2019, more organizations are acknowledging the benefits of combining these technologies and looking into the process.
An application of the integration of different technologies is the algorithm of Fijutsi. The algorithm was designed to assess the heat stress of workers using wearables. The integration of blockchain allowed the automation of insurance. If the sensors detect stress levels that are critical, insurance is automatically transferred to the affected worker.
Hybrid blockchain could be described to offer the best of public and private blockchains. Because of the unique features of hybrid blockchain, it is bound to be on the scene even beyond 2019.
Features for which hybrid blockchain is particularly known to include integrity, transparency, and security. The customization features of hybrid blockchain are also notable.
Organizations stand to gain a lot from the hybrid blockchain. This is because of the general flexibility of the blockchain that allows decentralization while allowing organizations to adhere to the regulations that apply to their sector. Hybrid blockchain is known for its features of the public and private blockchain.
This is because a hybrid blockchain has features of public blockchains such as Ethereum, with features of private blockchains such as Hyperledger.
In terms of the secure application of blockchain, security tokens are a noteworthy innovation. The introduction of security tokens started in 2018, and this innovation has received notable attention in 2019. There are predictions that security tokens will continue to be a hot topic in the near future.
Security tokens are a very attractive feature to organizations in the financial services sector. Cryptocurrency exchange platforms have found security tokens as a very necessary innovation, with a number of these platforms looking to introduce security token, which has taken the spotlight from hardware token.
Stable coins have become more of a thing in 2019, and this is expected to continue into the years. Stable coins are cryptocurrencies with a value that can be related to real assets. The stability of these cryptocurrencies is their main feature. A major setback of cryptocurrencies is the volatility.
The application of blockchain addresses this problem and creates a very much necessary change in the area of cryptocurrencies.
Digitalization of assets:
In 2019, blockchain has been particularly responsible for the diversification of assets, especially in favor of digital and crypto-assets. Organizations realize the availability of this class of assets which are supported by solid platforms powered by blockchain technology.
The application of blockchain technology includes the development of tools that significantly enlarge the scope of reach of organizations. For example, firms can develop tools with which their services are offered on a global scale, as digital assets. The availability of improved security measures has made the digitalization of assets applying blockchain especially feasible.
The vast capabilities of blockchain technology are based on its decentralization abilities. The peer-to-peer system, which is the basis of blockchain, is the right ingredient for ensuring transparency and decentralizing systems.
Blockchain’s decentralization abilities can be applied in different areas, including governance. Blockchain can decentralize governments and inspire the trust of leaders in their constituents. Blockchain can be applied in decentralizing governments by making information about policies readily available.
It is also noteworthy that governance can be improved when blockchain is applied in issues such as identity theft.
Blockchain and AI:
Blockchain and AI are some of the most influential technologies of 2019. The synergistic application of available technologies towards maximum benefits drives innovation.
This is currently the case between AI and blockchain.
Both forms of technologies are peculiar in that AI is concerned with the application of information for identifying trends, while blockchain is concerned with powering systems for different operations and processes. When both technologies are combined, they learn from one another and maximize their joint capabilities.
When AI and blockchain are combined, blockchain stands to gain several important qualities. These qualities include privacy, efficiency, scalability and security. On the other hand, AI stands to gain qualities such as transparency, efficiency and reduced risk from the blockchain.
These are apps that are based on decentralized technology. Blockchain has played a major role in the development and availability of decentralized apps. It is possible to build functional and effective decentralized apps. That has been the case, with more decentralized apps developed in recent times, particularly in 2019.
Decentralized apps are built by applying platforms such as Ethereum. A few of the decentralized apps include SteemIt and Basic Attention Token.
Blockchain and Social Media
The popularity of social media has grown significantly over the years. Social media is a force to reckon with. The number of social media users is expected to be about 2 billion. Even with the popularity of social media, it is not free from issues. Scandals that have rocked the different social media include those related to privacy and content relevance.
Blockchain has promising application in social media, in solving the numerous issues. The application of blockchain in solving the issues associated with the use of social media has gained notable attention in 2019.
In solving the issue of data control, blockchain can be applied in tracing data to its original source, as well as in avoiding the duplication of data. When a user deletes data from social media platforms, blockchain can also be applied in ensuring that that data is completely inaccessible by third-party sources.
As regards privacy in using social media, blockchain can be applied in ensuring data control by storing data in a decentralized form and preventing access by unauthorized parties.
Blockchain can also be applied in empowering social media users to control the content received. A lot of the existing structure leaves the content to owners of the different social media platforms, rather than the users.
Blockchain and personal identification
Blockchain provides the security that is very much necessary to curb the cybersecurity issues that have been commonplace in recent times. Personal identification is one area where blockchain can be applied.
The application of blockchain in ensuring cybersecurity is feasible in situations that range from online shopping to data collected by organizations. Organizations are required to effect the strictest measuring in ensuring the security and privacy of data. Blockchain technology can be applied in this way.
The security of personal data with blockchain technology has been achieved by Shopin, a startup that developed a tool that serves as a universal shopper profile. This shopper profile will maintain the history of shoppers and share it with organizations, with the permission of the shopper.
With the widespread application of blockchain, employment opportunities are bound to be created. This has been a trend in 2019, which is sure to continue into the future. It has been well established that more organizations are acknowledging the suitability of blockchain solutions for their operations and adopting blockchain solutions.
The increased need for blockchain developers is thus very natural. Blockchain developers, in different capacities, including as freelancers, have been sought after increasingly by organizations.
To build blockchain apps and apply blockchain for other operations, organizations need professionals versed in the technology. Employment opportunities for professionals versed in the blockchain technology should remain available in the near future because applications of blockchain are still being discovered.
Blockchain trends of 2019 range from those that affect social change to those that enhance the operations of organizations. Blockchain technology has a lot of potentials, which remains largely untapped. Thus, more trends are expected over time. The current trends are also bound to be improved and sustained.