It’s highly unlikely to estimate how often do we hear about Blockchain every day. Sometimes it seems like most of the articles, blog posts, surveys, foresight we see on the internet and press is about it. How much truth hides in truism like „Blockchain is the future of technology”? How can it work for IT project run by a software house? Let’s find out.
From a programming point of view, the vast majority of processes can be written with well-known code languages and frameworks. However, from extreme wide shot to a close-up, Blockchain is a game changer.
Naive trust vs technological certainty
Let’s start with the financial side of this phenomenon. We got so much used to rely on bank institutions. For our self-comfort, we have to trust them as far as our money transactions are concerned. We don’t have a clue about their IT systems. We have no idea how they share our data with other banks, for instance, if we do a SEPA/SWIFT transfer. It’s scary. At the end of the day, we have absolutely no idea how the cost and time of our international transfer will look like. Database and software are hidden deep inside those financial hegemons. Our trust is based on a few factors:
- the size of the bank
- the brand recognition
- the social proof – our relatives’ and friends’ endorsements
- our own beliefs
- or because we got hooked up by the investment offer
In each case, we don’t make the rules, banks do. And all we have to do is follow them. What if it was different? What if our transactions were transparent for all users, with equal control over it, and with a minimal commision, or even lack of commission at all? What if the entire banking structure was working without a central headquarters, that can deprive us of all money resources, just like that? What if our financial decisions weren’t based just on marketing, but on easily accessible figures, that weren’t in the hands of one institution?
This is what Blockchain is all about. It emancipates us from the chains of naive trust and releases a new approach. We can be certain that the data entered to Blockchain will not be modified, because the technological architecture ensures it. This the Blockchain foundation – all the data changes have to be confirmed by all the network’s users.
From finance to IT
Since we are able to make the most of Blockchain technology in the financial universe, why don’t we use analogical mechanisms in other processes that are based on data and trust? Of course, we can do it, and in GMI Group we make it happen. Getting Ethereum on board we are able not only to store and process information about financial transactions in a „sender-recipient-amount” model, which refers to Bitcoin solution, but we also can build smart contracts, which are paramount algorithms.
That was the reason why we decided to use the Blockchain technology to build a system for logistics and transport case. Blockchain seems an ideal solution in a market packed with hundreds of thousands companies that all operate on identical variables:
Connecting all those companies in one agile network, we can deal with enormous possibilities of signing new contracts, reducing costs through getting rid of the middle-man, solving confilcts, or automating the transport settlement process.
Package shipping process will serve us as a good example here. Transport payment can be settled with a help of Internet of Things. We analyze factors such as the number of kilometers traveled, the video footage from the route or the QR code. With Blockchain as our powerful tool, we minimize the risk of fraud, because anything written in Blockchain, stays in Blockchain forever.
Embracing the Blockchain enormous possibilities and visions GMI Group will take part in a project hublock.io. With strict cooperation with our partners, we decided to launch this product in the nearest future. Stay tuned!