Distributed Technology Changed the World!

2 min reading
Distributed Technology Changed the World!

In the course of human history, blockchain became a breakthrough technology. Since the creation of bitcoin, people have been looking for a different use for a distributed ledger apart from it just creating new crypts. The invention of the Bitcoin-independent blockchain network - Ethereum network turned out to be a breakthrough in the so-called distributed technology

The beginning of the distributed technology

When bitcoin was created, a large part of society either treated the cryptocurrency concept with caution or gave the majority of the technology existing at that time a wide berth. BTC aroused interest mainly among the programmers' society. One of them was Joe Lubin - electronics engineer and programmer. Interest in the cryptocurrency encouraged Lubin to visit Toronto, where meeting of cryptocurrency enthusiasts was taking place. There he met 19-year-old then Vitalik Buterin, who worked on a new application of distributed databases. He wanted to create a transaction platform for the so-called "smart contracts". Thanks to it, users would be able to build applications or create scripts. Sounds familiar, doesn't it?

Where did Blockchain come from?

Buterin's project mentioned earlier is now commonly referred to as Ethereum. The solution allows, within a fraction of a second, to check whether a given person, a sum of money or a debt really exists. What is more, the solution eliminates agents (bankers, accountants, notaries, public servants, etc.) from the transaction process. Buterin's concept was the first practical implementation of cryptocurrency in the business world. Lubin knew it. A year after the meeting in Toronto, Buterin's idea turned into a global currency and transaction platform.
Distributed ledgers in business
As of today, the use of blockchain technology usually involves simple goals, but it quickly takes over new business areas: IBM believes that blockchain technology will solve the continually recurring commercial disputes - problems related to payment transfers, undelivered orders, etc. IBM's vice president of distributed databases initiated the development of his own DLT (distributed ledger technology) - Hyperleger. Last year, IBM launched also the Food Trust platform which facilitates the monitoring of the food supply chain. It allows quick identification of harmful products and their efficient withdrawal. Well-known companies such as Wlmart, Carrefour or Nestle use the platform nowadays. The R3 (company) implemented its own, IBM independent, DLT project. The idea is patronized by 300 of the world's largest companies from the investment, insurance, medical and exchange industries (such as UBS, State Street, Credit Suisse or JPMorgan).
The changes will be epic
Lubin became the main strategist and CEO of Ethereum Switzerland GmbH (EthSuisse). In the summer of 2014, the premiere of Ether (ETH) cryptocurrency took place. The currency, with an 11% market share, gained the status of the second most popular cryptocurrency. Observing the increasing acceptance and assimilation of distributed technology, it may be assumed that blockchain is only at the beginning of its revolutionary activity. To quote John Wolpert, the former head of blockchain projects at IBM:
"We have a long way to go, but the changes will be truly epic."