The Blockchain companies are working toward providing a reliable ecosystem for currency exchange among independent participants in a decentralized or non-trustable environment. The main concern is educating the public on what blockchain companies are trying to do and who are their competitors. Well, it’s not the government. A blockchain system is more secure than any financial system in place. Although, the banks are still responsible for you to get a bank account, have access to blockchain and cryptocurrencies fit in?
Emerging new models in blockchain emphasizes the underlying issues that financial sectors face and contribute towards building a more secure ecosystem rather than seeing them as a contender. Companies like Ethereum have developed such platforms on blockchain to facilitate secure transaction mediums which are scalable to banking and finance industries. The modern use of digital currencies is at its peak and the only industry that proposes new innovative solutions are these new emerging blockchain companies like Ethereum. This is the right time for the financial industry to make use of these new emerging models in blockchain to see an advancement since it’s been not so long since we moved from cheques to a digital currency.
Top 3 Blockchain Models
CRO -
Cryptocurrencies(CRO) are a form of more secure digital currency rather than being a currency on its own. Cryptography revolves around encryption and decryption. Cryptocurrencies are built on blocks of encryptions and decryptions making them impossible to steal. Cryptocurrencies have become a medium of exchange with no central authority to manage or maintain their value as they are secure and autonomous. New emerging models are being developed to make cryptocurrencies available to almost anyone for exchange, trading and even to buy and sell commodities.
CBDC-
Central Bank digital currency (CBDCs) are said to be developed by central governments across the world using blockchain models such as the distributed ledger. CBDCs are not a new currency like cryptocurrencies but adopt blockchain technology models like a distributed ledger to make use of their digital infrastructure and protocols that allow access, validation, and continuity across vast networks. These currencies are issued and regulated by central banks rather than by commercial banks. just like how cryptocurrencies are a form of more secure digital currency the CBDCs or Central bank digital currency would be a virtual form of a certain fiat currency. The virtual form represents electronic records or digital tokens of how currency is spent, held, and moved. hence, they aren’t a new kind of money, it just changes the way we track transactions. with over 81 countries exploring CBDCs and China developing its new digital Yan CBDCs are becoming a reality.
DEFI and DEX -
Decentralized finance (Defi) decentralized Exchange (DEX) Decentralized apps (Dapps) are currently some of the platforms where there is tremendous growth in new emerging blockchain models for digital currencies. New emerging models in this platform allow interoperability solutions enabling digital currencies, cryptocurrencies, and fiat currency accessible on a single platform. Other blockchain models that are new and being developed under these Decentralized platforms are games, social media platforms, online shopping, and even a virtual world that is as same as the real world.
