Blockchain Trends Everyone Must Know About in 2021 — Latest Updated
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Blockchain is the biggest opportunity set we can think of over the next decade or so.
We have elected to put our money and faith in a mathematical framework that is free of politics and human error. …
Have a look at the market share of blockchain in the US market from 2015 to 2025:
Have a look at more stats and facts about the blockchain:
9 out of 10 people who are engaged in Bitcoin (cryptocurrency built using the blockchain technology) are men. (source)
Banks and financial institutions that use blockchain technology could reduce their costs on infrastructure up to 30%. (source)
20+ countries have researched the concept of a national cryptocurrency. (source)
9 out of 10 banks in North America and Europe were exploring trends of blockchain in 2018. (source)
The market capitalization of Bitcoin is expanded from nearly $1.02 billion in Q1 of the year 2013 to approximately $72.37 billion in Q1 of the year 2019. (source)
By the year 2025, more than half of various healthcare administrations will have made use of blockchain for various business operations. (source)
No doubt, blockchain is one of the most promising technologies these days. There are many people looking for Blockchain Trends In 2021.
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1. The Adoption of Blockchain is likely to grow in 2021
Blockchain technology is already being used outside of cryptocurrency. It has been successfully used for food safety, voting, and shipping, for example, and various big brands such as IBM, Walmart, and Amazon are exploring a plethora of ways to capitalize on this technology. Various small as well as big Industries are looking to this technology in order to streamline processes in fields such as medical data, supply chain, and administration.
For instance, in the space of 3D printing, blockchain makes it possible for the organizations to apply provenance, data governance, and ensure validation and auditability. The gemstone industry uses this technology in order to ensure transparency, tracing a stone back to its origins so as to ensure the defined stone is real and not the product of conflict mining.
In addition to this, blockchain technology is being also used to address various climate change issues, including food waste and carbon emissions. Those are only a few instances that demonstrate how wide-ranging the usage of the Blockchain technology will be in the year 2021.
2. There will be more numbers of Blockchain Jobs in 2021
By looking at a wide array of blockchain applications, it’s quite obvious that demand for blockchain developers will explode in the year 2021, as the increasing numbers of organizations- small or big- see the advantages of blockchain adoption. In addition to this, many software development companies have started adopting this technology and building apps on it.
As per the article at TechCrunch, blockchain-related jobs are the second-fastest growing in the labor market. Furthermore, the article also states that upwork shows an increment of more than 35,000 percent for blockchain technology freelancers, making this technology the fastest-growing skill out of above 5,000 skills in terms of billings of freelancers.
3. The Importance of Federated Blockchain Will be More evident
In this type of blockchain, rather than being organized, various powers can control the predefined blockchain node. These multi-node settings will now be verified, so the transaction can be processed later. By the year 2021, there’ll be an exponential increase in the use of blockchain standards as they provide a private blockchain network, which is a more customized perspective.
4. The implementation of Blockchain as a Service by Enterprises
Some blockchain-based companies that provide BaaS services are Microsoft and Amazon, thus shaping the future of blockchain applications. Therefore, many businesses are opting for blockchain app development services in their process.
5. The Usage of Stablecoins Will Be More Visible
Using Bitcoin as an instance of the cryptocurrencies that it is highly volatile in nature. In order to avoid this volatility stablecoin came into the picture strongly with stable value linked with each coin. As of now, stablecoins as a technology are in their initial phase and it is also predicted that the year 2021 will be the year when blockchain stablecoins will achieve their all-time high value.
The driving force behind the usage of a well-known stablecoins currency is the introduction of cryptocurrency on Facebook “The Balance” in 2020, despite all the challenges posed by the new cryptocurrency by Facebook and its growing partners at libra.org.
6. Social Networking Problems Can be Resolved with Blockchain Solution
There are approximately 2.77 billion social media users around the world by the year 2019. This is one of the future trends of blockchain technology. Blockchain applications on social media will be able to resolve issues related to known scandals, privacy violations, data control, and content interest. As such, blockchain integration in social media is another trend for new technologies to emerge in 2021.
With blockchain applications, all data transmitted on social media will remain undetected and non-duplicate, even after deletion. In addition, users will be able to store data more securely and maintain their ownership. Blockchain also ensures that the power to match content is in the hands of the creator, not the platform owner.
This makes the user feel more secure because he or she can control what he or she wants to see. The daunting task is to persuade social media platforms to do so, this could be voluntary or due to the result of various privacy laws similar to the GDP.
7. Blockchain Networks & Interoperability
Blockchain interoperability is one of the most crucial trends that share data and other information across multiple blockchain systems and networks. This feature makes it easy for people to view and access data on a plethora of blockchain networks. For instance, you can easily send your precious data from an Ethereum blocker to another specific blockchain network. Interoperability is a challenge, but its benefits are enormous.
8. Finance & Economy Will Lead Blockchain Applications
Unlike other traditional businesses, the banking and financial sectors do not need to transform their operations to adopt blockchain technology radically. As soon as they successfully applied for a cryptocurrency, financial institutions began to consider the use of blockchain in traditional banking seriously.
According to PWC, 77% of financial institutions are expected to adopt blockchain technology as part of a production system or process by 2021. Blockchain technology will allow banks to reduce redundant bureaucracy, carry out faster transactions at lower costs, and increase confidentiality. One of Gartner’s blockchain predictions is that the banking sector will generate $1 billion in business from blockchain-based cryptocurrency by the year 2021.
In addition to this, blockchain can be used to launch new cryptocurrencies that are controlled or affected by monetary policy. In this way, banks want to independently reduce the cryptocurrency’s competitive advantage and gain more control over its monetary policy.
9. The Integration of Blockchain Into Government Agencies
The idea behind the distributed ledger is very interesting to government officials who need to manage large amounts of data. Currently, each agency has a separate database, so it always needs information about each other’s population. However, the implementation of blockchain technology for effective data management will increase the agency’s functionality.
According to Gartner, in the year 2022, more than a billion people will have some data stored in blocks, but they may not realize it. In addition, the cryptocurrency will appear in the country, and the government will inevitably need to determine the benefits of the downgraded currency. It is widely said that digital money is the future of the payment system, and nothing will stop.
10. The Amalgamation of Blockchain With IoT
The IoT technology market will see a renewed focus on security as complex security challenges arise. All these complexities in the system stem from the diverse and distributed nature of the latest technology. The number of various devices connected to the internet has broken the 26 billion mark. The penetration of the device network and the Internet of Things will become popular in 2021. Network operators must be enabled to prevent hackers from doing their jobs.
One of the main reasons for weak IoT networks is the current core IoT architecture. With billions of devices connected and added, IoT is a prime target for cyberattacks, making security so crucial at this moment.
Blockchain also offers new hope for IoT security for various reasons. First, the blockchain in general, and everyone involved in the network of blockchain can view and approve the blocks and stored transactions, although users may still have private keys to monitor transactions. Second, the blockchain is decentralized, so no single authority can agree to transactions that eliminate SPOF. Third, and most importantly, it is secure — only the database can be extended, and previous records cannot be changed.
Many IoT development companies rely on blockchain technology for their business solutions. The International Data Corporation (IDC) predicts that 20% of IoT deployments will enable blockchain services.
11. Blockchain Will Transform Supply Chain Industry in 2021
If you are reading blockchain technology trends 2021, you cannot miss the role of blockchain in the supply chain industry. Supply Chain has become extraordinarily complicated. In addition to this, it takes several days to make a payment between a retailer and a customer, or a manufacturer and a supplier.
Moreover, it is quite difficult to investigate supply chains in case of a suspicion of illicit practices. Contractual deals require services of lawyers and bankers that adds extra cost and hold-up. When we go back in the past, somewhat around 100 years ago, supply chains were comparatively simpler. The main reason was that eCommerce was local at that time.
But today, the supply chain has become globalized and complex. According to marketing charts, around 44% of US shoppers are using both online and in-store purchase and pickup options simultaneously. A big problem with the supply chain is conflict. There are so many middlemen leading to so much back and forth. An increase in uncertainty is a big hurdle in front of the good performance of supply chains.
Suppliers, distributors, and clients should not directly interact. There should be a third-party organization in between so as to make the communication more feasible. Otherwise, all the simple transactions would keep turning into lengthy and multi-step procedures.
Blockchain is a distributed digital ledger — a ledger that records transactions in a series of blocks. It exists in several copies spread across various computer systems that are called nodes. Since it is decentralized, this ledger does not depend on any single entity for safety.
Furthermore, whenever a new transaction takes place, nodes connected to the blockchain network get updated versions of the hyperledger. These multiple copies are proof for every transaction that took place in the blockchain. Any illicit attempt will require interfering with all the copies and that too at the same instant of time. And to perform such tampering is almost impossible. According to marketing charts, blockchain potential is yet to be visualized.
Bitcoin is a recently developed cryptocurrency that is separate from any state-controlled mechanism. One can buy Bitcoin from Bitcoin exchanges. Moreover, one can use Bitcoin as the currency over the internet for receiving and making payments.
Each payment transaction is incorporated into the ledger and can be consulted at any instant of time by anyone. Information such as time, date and amount of payment is visible but identities of participating parties are not visible.
Bitcoin uses mining for recording the identities of participating parties. In other words, mining is an impactful way of extending and updating the ledger.
Blockchain for Supply Chain can be a reliable solution to uncertainty issues, so, if we compare Bitcoin with the supply chain. We see that key blockchain features of Bitcoin align with the basic requirements for reliability and trustworthiness in a supply chain. There are many blockchain software development companies that are using blockchain for creating supply chain management solutions.
Let’s Wrap Up:
So in this blog, you read the top latest trends in blockchain technology 2021. I hope you enjoyed the blog. No doubt, blockchain is one of the leading and promising technologies for the year 2021 and it has many uses in the different industries. The finance industry is one of them.
