Viewpoint | Say goodbye to traffic and funds, is there still value in digital currency?

The development of the blockchain after the capital's ebb tide is indeed returning to calm, but the story about the blockchain is no less than before. Say goodbye to the development model with capital as the main driving force, and now the development of blockchain is mostly concentrated in the scope of technology and application. For an emerging technology, this development of blockchain may be the most desirable.

Whether it is based on the computational power of blockchain technology itself, the continuous improvement of encryption technology, or the increasing number of patents based on blockchain landing and application, in fact, the development model based on blockchain is beginning to receive more and more. Multi-player attention. These new developments may be just the beginning. With the gradual maturity and improvement of blockchain development, it is perhaps the ultimate goal of blockchain development to say goodbye to the development model with digital currency as the ultimate goal.

Of course, bidding farewell to the digital currency-based development model is not to completely separate the blockchain from the digital currency, but to use digital currency to optimize and upgrade the traditional operating system and improve the efficiency of the industry, rather than using It comes as a tool for draining and collecting money. One of the fundamental reasons why Facebook's Libra is in trouble is that it still does not understand the role that digital currency should play as a new currency in the development of the industry.

Although the development of the current blockchain industry is increasingly focused on technology and applications, if we are still confused about the role and role of digital currency in its specific presentation, the so-called blockchain landing And the application is bound to still fall into the strange circle of digital currency. When digital currency is no longer a tool to improve the efficiency of the industry, but a tool to collect money, the development of blockchain will still face new difficulties.

Blockchain opens a new generation, clarifying the role of digital currency is key

In the early days of blockchain development, capital played a very important role. It can be said that it is precisely because of the banner of capital that people have begun to pay attention to the blockchain industry. However, while the capital raises the development momentum of the blockchain industry, it also makes its development begin to break away from the original channels. Many blockchain projects have either become tools for collecting money, or have become tools for obtaining traffic. In the end , a blockchain project on the surface is really undercurrent.

Observing these blockchain projects, we found that almost all projects have never escaped the cycle of digital currency, and clarifying the relationship between blockchain and digital currency has become the key to determining the development of blockchain. After a series of baptisms such as policy supervision and capital ebb, the development of blockchain is entering a new stage of development. At this time, clarifying its relationship with digital currency is also an unavoidable topic.

Different from the current role of digital currency in collecting money and acquiring traffic, the biggest function and function of digital currency is to reduce barriers between different industries, different regions and different companies, and to make the industry rely on the huge power of blockchain. It runs more efficiently and efficiently. At least from the current development situation, we have not seen any function or role of a so-called blockchain company that can truly locate digital currency.

The root cause of this situation is that we have not found a way and means for digital currency to coexist with the existing monetary system. Facebook's Libra is also subject to regulation because it does not find ways and means to parallel the current monetary system. Therefore, when clarifying the perspective and positioning of digital currency, the first thing we need to do is to parallel the existing monetary system.

In fact, at this time, what really should work is the blockchain. Through the blockchain approach, we can add almost all individuals and institutions that are related to digital currency, and realize the transparency and openness through the trust system and consensus mechanism constructed by these people. From this point of view, the real ability to build a meaningful and accessible public chain system with the help of blockchain, rather than the private chain system, may be the key to truly maximizing the role of digital currency.

When the development of the blockchain starts a new phase, what we need is to give the digital currency a clear positioning. In this process, we still need to rely on the power of the blockchain technology itself to add more people to the digital currency-related system. Among them, how to construct a community of interests that covers all parties, how to reduce the barriers encountered in the operation of the industry by activating the vitality of individuals, and become the key to whether digital currency can truly play its role.

After all, what we still have to do is still to improve and improve the blockchain technology. Only when the blockchain technology develops to a certain stage, only the blockchain is truly closed, single, open, and diversified, and the positioning and function of digital currency can be truly mature and perfect. At this time, the role of the blockchain can be externalized through digital currency, which will eventually bring positive promotion to the development of the industry.

From this point of view, the most fundamental reason for the dilemma and supervision of digital currency is the development of blockchain technology is not mature enough and perfect, and the key to clarifying the role of digital currency is the need for blockchain technology. Rich and mature. When the blockchain technology continues to mature and improve, and finally a large blockchain technology can truly integrate the blockchain technology between different industries, the development of the blockchain industry can truly bid farewell to the present. Single and isolated, truly enter a multi-dimensional and complex era.

Say goodbye to traffic and funds, what are the roles of digital currency?

As a new form of money for peer-to-peer payments, the role of digital currency is not just about getting traffic and money. This has been confirmed in the practice of the first half of the blockchain. With the gradual maturity and improvement of the blockchain technology, more roles of digital currency will be re-recognized and explored. When the development of blockchain opens a new generation, especially when the development of blockchain technology enters a new phase, what role of digital currency will be explored?

Point-to-point payments built on private-chain technology are by no means all the functions of digital currency. The release of the Libra white paper has given the digital currency in the cold winter a ray of sunshine, but we have to see that Libra is still only playing the role and role of digital currency in paying for peer-to-peer. Although this method can effectively alleviate the transaction costs of people in different industries, different regions and different time zones, it is only under the ecology built by Libra that this application still has certain risks.

In the final analysis, Libra's intrinsic blockchain technology is only built under Facebook's private chain, rather than a large ecosystem that encompasses all stakeholders. The underlying private chain technology determines that Libra can increase the efficiency of payment through peer-to-peer payment. However, if it is built on a private chain technology and lacks all-round elements, Libra is still only a construction. The technology in the private chain will eventually escape the fate of being supervised.

Therefore, the point-to-point payment constructed on the private chain technology is not just the full application of digital currency. Only by using the public chain technology to add more elements, the new peer-to-peer payment system created by the truly constructed consensus mechanism and trust system of various stakeholders can truly make the digital currency's payment advantage come into play. Just like Libra, digital currency built on private-chain technology is bound to be a tool for obtaining traffic and money.

A digital currency ecosystem based on a larger public chain and more individuals will play a greater role. One of the bigger reasons why digital currency is subject to regulation is that the systems and technologies it constructs are limited, single and isolated. In the future, digital currencies want to play a bigger role, and it is necessary to construct a more The big public chain, more individuals, the only way, the role of digital currency can really play out.

To build a larger public chain, we need to continuously improve the computing power of the blockchain and the ability to transmit data. To cover more individuals, we need to apply blockchain technology to more than enough industries. The industry that applies blockchain technology can be threaded into a circle. At this time, the advantages and effects of digital currency in the entire payment process can be truly realized, not just in a certain field or in certain fields, but not only certain types of users, but all user.

From this logic, the greater role of the future digital currency is based on a larger public chain and more individuals. As the blockchain is gradually spread in different industries and regions, its role of agglomeration will be brought into play more quickly, bringing more new functions to its own development.

The role of digital currency is reflected in reaching a consensus, not just paying. Bitcoin's positioning for itself ultimately allows almost all blockchain players to position the function of the digital currency on payment. actually not. The greater function of digital currency is to reach a consensus and a trust mechanism formed through this consensus. Therefore, the greater application of digital currency is to reach a consensus.

Based on internal consensus, consensus based on industry, consensus based on different industries, consensus based on unified industries in different regions, consensus based on different industries in different regions… These development methods with "consensus" as the ultimate goal, It can truly eliminate barriers and contradictions between industries and regions, so that the development of the industry can be brought to a new stage of development.

Therefore, the greater application of digital currency is not just a payment, but a consensus. Through the consensus of digital currency construction, we can achieve the elimination of barriers between industries and regions, and truly bring the development of the industry to a new stage of development. The constant enrichment and improvement based on this consensus, rather than isolation and closure, is the key to ensuring the long-term development of digital currency.

As the development of the blockchain industry opens a new generation, we are seeing more and more participants starting to focus their attention on technology and applications. From the early barbaric growth to the intensive cultivation of today, this development has undoubtedly opened up a new era of blockchain development. However, as a form of externalization, even if it enters a new stage, the development of blockchain still cannot escape the strange circle of digital currency. Finding the true role of digital currency and completely abandoning the simple routines of getting traffic and money may really bring the development of blockchain to the new generation.

Text: Meng Yonghui

Source: Tencent News

Editor's Note: The original title is "The New Generation of Blockchain, Clarifying the New Beginning of Digital Currency Positioning"