Advantages of Blockchain
1. Technology that no one has control over
One of the most attractive features for many blockchain technology backers is the decentralized system. The decentralized system here means that this technology is not owned by anyone but is owned by its users. Its users are the ones who maintain order, and they are the ones who guarantee everyone’s rights.
Supporters of Blockchain technology in general and supporters of digital currencies in particular believe that governments or banks do not have the right to control people’s money and that everyone has the right to send and receive money without an intermediary, which greatly reduces money transfer fees or even eliminates them completely.
Many supporters of expanding the use of blockchain believe that this technology promotes personal freedoms and reduces dictatorial governments’ ability to control their people.
2. Technology belongs to everyone.
Blockchain technology is an open source technology, so it belongs to all mankind, and everyone can copy, reuse, and apply it in many fields.
It is worth noting that open-source applications have a greater chance of developing and solving problems compared to closed-source applications.
Therefore, we can say that blockchain, being open source, has a wonderful opportunity to develop and enter different fields, and it will be available for everyone to participate in it, solve its problems, and work to make it more sophisticated and developed.
3. The level of safety and protection is very high.
Although the traditional financial systems owned by banks and governments are systems with varying levels of security and protection, they are systems that are in some way or another subject to penetration.
As for the decentralized system of blockchain technology, the idea of hacking the system is almost impossible. In order to hack a blockchain technology system, you must change the data on thousands of devices distributed around the world.
4. Technology that guarantees a high level of privacy and confidentiality for its users
In systems based on blockchain technology, such as cryptocurrencies, users are just codes encrypted in the system, and no user can know any personal data about another user.
Of course, because it is a decentralized technology, no body or organization can know the users’ data either. (We shall see shortly how this is, from another perspective, a serious drawback.)
Disadvantages of Blockchain
1. It represents an opportunity for many to work in the dark.
There is no doubt that the absence of oversight represents, in one way or another, an opportunity and a workspace for the birds of darkness. There are many who reject blockchain and believe that the emergence of this technology and the currencies that it brought without any censorship led to the existence of channels for exchanging and transferring funds to support illegal activities and trade. In fact, with the existence of the dark web, this drawback has to be taken into account.
2. You need expensive hardware and a lot of energy.
Those who maintain order to record transactions need computers with special specifications, which are very expensive, and these devices require a very large amount of energy.
It is worth noting that this big energy idea represents a big problem and an obstacle in the way of the development and growth of the blockchain, especially at the present time when all countries are interested in solving the problem of climate change, one of the causes of which is the increase in the planet’s energy needs, many of which lead to emissions that harm the planet.
3. The great fluctuation in the prices of digital currencies generated by the blockchain
Not long ago, the price of one bitcoin exceeded $19,000, its highest price since its appearance, and after a few weeks, a major collapse occurred in the price of bitcoin, which led to huge losses and profits for the users of this currency, each according to his luck.
In fact, this great price fluctuation has made bitcoin an arena for betting and speculation rather than a stable currency that can be trusted and relied upon.
The future of blockchain technology
In fact, even the world’s most powerful economists cannot predict the future of the firstborn child of blockchain technology, cryptocurrency.
However, no one can deny that blockchain technology in general is a technology that deserves attention. In one way or another, it imposes itself on the global arena, and it cannot be ignored under any circumstances.
But what is the future of this technology? In fact, the scene is not completely blurry regarding the future of blockchain technology, as there are many signs through which we can clarify the picture, including these things:
1. Many countries recognize digital currencies, especially Bitcoin.
There are many large countries in the world that have begun to adopt Bitcoin as a recognized currency, and among these countries are the United States of America, Australia, and the Netherlands. In these countries, you will find shops that accept bitcoin, and you will find ATM machines that you can withdraw from as well.
2. Facebook, in cooperation with many other companies, announces the launch of its digital currency, Libra.
Libra is not a traditional digital currency like other digital currencies, but it is a digital currency of a special nature, as it is a digital currency behind which many large companies and institutions (more than a hundred entities and global companies) stand.
Will Libra represent a new generation of digital currencies but lack absolute decentralization, or is it an attempt by whales to ride the Blockchain wave and adapt it to their own interests?
Update: Due to the emergence of some legal problems and challenges related to the new Libra currency, Facebook has announced the cessation of the project!
3. Many of the things we depend on today were suspect yesterday.
Let us take, for example, the Internet itself. In the past, it was a symbol of immorality, porn sites, and hackers. However, with the passage of time and the increasing awareness of its users, it has become an essential element that we rely on in many basic aspects of life.
Humans are by nature afraid of new things, but over time they accept them, then get used to them, and in the end they become an essential part of their lives and they cannot live without them, and this is what I personally think will happen with the blockchain and currencies.
How to benefit from the blockchain
This is one of the questions that many young people have begun to ask recently, and if you are one of them, let me congratulate you on asking this question. In fact, everything new that happens in the world of technology and technology brings with it a plethora of opportunities for smart people to improve their lives.And when we talk about the blockchain in particular, it holds a lot of opportunities in different directions and aspects. Here are some points on how you can benefit from the world of blockchain:
1. Learn this technology and open yourself up to career opportunities and prospects.
Blockchain is a new technology, and it is in its infancy, but according to what we see and hear every day, it seems that this world is expanding and growing every day. This, of course, will open tremendous horizons and opportunities for many young people in the field of programming and developing this technology.
Many companies in the future will need programmers to program programs and applications with Blockchain technology, so if you learn and master this technology, you will guarantee yourself an excellent business opportunity.
2. Take advantage of the available methods to make a profit from cryptocurrencies.
There are a lot of ways now available through which you can make a profit from digital currencies, and here are the most important of them:
a) Investing in cryptocurrencies
In short, this is done by buying digital currencies at a time when their prices are low, waiting for their price to rise, and then selling and making a profit margin. Investing in new digital currencies is one of the best and cheapest ways to invest.
b) Cryptocurrency trading
Trading is a little different from investing, as investing is mostly long-term, and it is done in a calculated manner by buying currencies and waiting for their price to rise, then selling (this is similar to real estate trading, for example).
As for trading, it is a quick process in digital currencies to achieve quick profits as a result of the daily fluctuation that occurs in the digital currency market, and it is possible for a trader to perform dozens of buying and selling operations during one day.
c) Cryptocurrency mining
Cryptocurrency mining is one of the very profitable fields, and there are thousands around the world who are making huge profits from it. Mining digital currencies, in short, is tantamount to participating in preserving and maintaining the currency system and solving its mathematical equations in return for obtaining new digital currencies generated from the system for the participants.
Mining digital currencies necessitates the use of special computers and a large amount of electricity, and competition has recently become fierce, both because many have entered mining and because the digital currencies generated and granted to miners are limited, so the greater their number, the smaller the share of each one of them.
It is worth noting that there is a type of mining called cloud mining, through which you can participate in the mining process and make profits by renting remote mining devices and paying fees to the company that owns the devices.
3. Create your own project based on blockchain technology.
I’ve told you before that cryptocurrencies are the firstborn of blockchain technology, but they’re only the beginning.In the future, experts expect the entire world of the Internet to turn into blockchain, and by the way, they call it Web3, the third generation of the World Wide Web.
There are opportunities here we can talk about in books and volumes, as applications will appear in everything you can imagine built on blockchain technology, and this includes social networking applications, learning applications, applications for smart contracts, economic transactions, etc. Why not learn block chain programming and develop your own application through it?
4. Using blockchain technology in your existing company or project
This way to benefit from the blockchain is for the owners of companies or large projects who want to benefit from the applications of the blockchain in their business.
Blockchain can give your company a more secure, protected, and speedy system and database, and it can give you facilities in financial transactions, contracts, deals, and many other things. Whether it is a company in the health, financial, technological, or anything else field, you will find applications for blockchain technology that can take you to another level of development and growth.
Read also: What is blockchain technology?
