Viewpoint | If these three technologies improve, blockchain technology will be more widely used

The big drop is not terrible, and the technology is not the most horrible.

Amazon, Wal-Mart, Facebook, IBM, Alibaba, Tencent, Huawei: These are well-known Internet companies that are all trying to change their business through blockchain. In fact, according to a recent survey by Deloitte, more than half of the companies said that the blockchain is a key development task for their company, and 83% believe that the innovative business model of the blockchain is reliable.

The era of distributed accounting (DLT) is coming, but can his expansion really meet the high expectations of the market? Consumers need real-time transactions while also ensuring security from the verification nodes. Companies also want high throughput in their global operations and never stop. But this is not the case, especially for the new technology of blockchain, where failures, errors and design flaws are unavoidable. In addition, regulators often break the organization (or network) to change the way they operate.

This also includes three key functions that the blockchain wants to be widely used.

speed

Fast speed is critical to helping companies do their daily practical use. We have only upgraded from Blockchain 1.0 to Blockchain 2.0 in 7 years since 2009, but from the beginning of 2018 to the end of 2018, we quickly experienced a 2.0 to 4.0 transition. The technology to be promoted by these public chain sharing is the transmission speed.

In fact, for peak speed, neither a centralized control network nor a distributed network has a very good solution. The demand for peak networks is much larger than the daily supply. However, the distributed network of blockchain lags behind the network with centralized control. On the shopping street we are most familiar with, Tmall double eleven peaks sell 491,000 copies per second. But Bitcoin can only process 9 transactions per second. If you put the Tmall peak transaction on the Bitcoin network, the 1 second amount will need 15 hours on the Bitcoin network. This is a very large The gap can make the Bitcoin network instantly embarrassing. At the beginning of 2018, the Ethereum was all the rage, and everyone’s crazy transactions blocked the Ethereum network, causing the experience to plummet, from the peak of January 2018 to the bottom of the present. The speed experience is absolutely just needed, and the speed you want to improve can only be achieved through innovation.

sustainable development

The blockchain is now widely used worldwide. Wal-Mart uses the traceability of blockchain technology to determine food safety. FaceBook wants to introduce digital token Libra, and pharmaceutical giant Merck is creating a pilot program to fight counterfeit drugs. But at this stage, these distributed technologies are still uncertain and still in trial.

What happens when unchangeable data accumulates to a certain extent? Can a network maintain stability after a large number of partners, users, regulators, and other stakeholders join the network? Many people believe that in the future, some distributed systems will see problems from the so-called "blockchain expansion 1". This happens when trillions of blocks are permanently stored on the chain, which causes the wallet to spend a very long time downloading data and making the system unreliable.

Fragmentation technology is the next popular solution, but many public chain systems, including Ethereum, have not been piloted. Fragmentation refers to layering a database. Different data is recorded in different areas and then broadcast. If the blockchain technology is mature, as the time increases, the size of the permanently stored data will become larger and larger, and the fragmentation technology will become more critical.

In combination with distributed books and other innovative technologies, this is also the key to mainstream companies' attempts. Artificial intelligence technology has penetrated into every aspect of our lives, mobile devices, smart home devices, vehicles, wearable devices, etc., and the data generated by these devices can be stored through blockchain technology. If AI is used to adjust the idle storage and computing power of enterprises and individuals, this method can increase network speed and reduce costs to prevent network congestion. But there are very few companies that currently use idle resources.

privacy

The term privacy is rare in today's society, and data leakage is not uncommon. Many people have been optimistic about the public letter treasure, and finally because of data problems, was shut down by the relevant departments. Blockchain selling points include privacy, data security, and anonymous networks. Considering the user's strong awareness of privacy and the fact that the government does not allow each company to be responsible for user data, the blockchain has become reliable.

In order to achieve a wider range of applications, blockchain networks also require significant economic advantages. Financial institutions have invested heavily in infrastructure, and the blockchain lacks a compelling case for consumers to pass fast, simple and cheap transactions. Blockchain has very practical advantages in terms of cost efficiency, data security, smart contracts, cross-border payment, etc. Due to the increasing efficiency and scale of use, blockchain enterprises must solve the scalability problem before they can finally Achieve a wider range of applications.

However, the impossible triangle of the blockchain has always existed. Who is the short-board who restricts development, and only better infrastructure can achieve the impossible triangle processing capacity and rise at the same time. So the most important thing is the improvement of the foundation.

1 blockchain expansion: The information recorded by the blockchain, in addition to the accounting information, there will be a lot of invalid information, some people think that this is a waste of resources, and many of the early information will become useless.

Author: Hubox Institute