What Is Blockchain?
By Richard Schooley
Inspired entrepreneurs and large corporations alike are increasingly turning toward a new disruptive technology known as blockchain. Blockchain began as the underlying database to track cryptocurrency movement. First invented in 2008, the platform uses blocks of information on transactions which are then linked together through a complex verification process and formed to make a chain.
At its heart, blockchain is a digital ledger that can record transactions of any size and can be used to exchange anything of value from a tangible asset like a house or car to intangible assets like music. The technology is rapidly evolving and is causing business leaders across every sector to learn more or risk being left behind as their competitors successfully innovate.
In a recent Forbes article, James Harrington, founder and executive director of the Ugandan Water Project noted, “It’s good to see how blockchain is creeping towards solutions beyond currency and finance.” For the second year now, the publication is highlighting the top 50 companies who have embraced blockchain technology.
On this year’s list is IBM who created a Food Trust designed to move complicated food supply chains to one shared, distributed ledger. Imagine being able to trace when and where, down to the second, the blueberries that went into a breakfast bar were picked, shipped and eventually processed. Access to insights from this data is beneficial to everyone from the growers, shippers, suppliers and ultimately, the consumer. If someone is able to say the romaine in their salad is sustainably grown, safe to eat and fresh, there is a trust built into the purchase.
Blockchain technology will continue to be a phenomenon transforming key sectors like healthcare, media, and consumer staples, to name a few. “You should be taking this technology as seriously as you should have been taking the development of the Internet in the early 1990’s,” according to Blythe Masters, former CFO JPMorgan and current CEO Digital Asset Holdings.
We at Potentia Wealth have been watching the advancement and efficiencies that are being created in our financial markets, allowing for faster and more secure transactions. Understanding that Blockchain is not a physical asset that can be purchased, many investors are turning to other ways of getting exposure to the blockchain space. If you’re curious to learn more about this disruptive technology, we are here as a resource and happy to have a conversation.
Any company names noted herein are for educational purposes only and not an indication of trading intent or a solicitation of their products or services. The opinions and statements presented herein are general information only and are not intended to provide specific investment advice or recommendations for any individual.