Blockchain technology has got to be one of the most important innovations of the past decade – it’s had a ripple effect on several important sectors, from manufacturing to Fintech and education. Blockchain tech is poised to rework the character of transactions and trade across the planet, also transforming several online services we use. we’ve tried to require a glance at the highest emerging blockchain development trends in 2021. From stable coins to interoperability, here are the newest blockchain trends that we’re likely to ascertain this year.
1. An Expected Rise of Federated Blockchains
Federated Blockchain is actually one of the simplest blockchain trends within the industry today. it’s nothing but only an upgraded sort of essential blockchain model, which makes it perfect for any specific use cases. The federated blockchain functions under different authorities rather than following one secure, trusted node.
Experts are of the opinion that in 2021 there’ll be a rise within the usage of federated blockchain because it provides private blockchain – a more customizable outlook. Conceptually federated blockchain is almost like a personal blockchain, with a couple of added features.
Unlike private blockchain, which is controlled by one organization, multiple authorities can control the pre-selected nodes of federated blockchain. This selected group from various nodes can validate the block so as to process the transactions further.
2. Stable Coins Are getting to Dominate the Crypto Space
Cryptocurrencies are possible due to blockchain technology. Cryptocurrencies like Bitcoin run on top of their own blockchain platforms. Many cryptocurrency prices are more subject to volatility than traditional asset prices. Though stable coins are in their initial phase and it’s predicted that by 2019-20 blockchain stable coins will achieve their all-time high. This high value of the stable coin will make them the second most looked forward to emerging tech trends within the industry.
As the name suggests, these high valued stable coins are more steady and don’t fluctuate that always , preventing users from worrying about frequent currency crashes. This stability factor allows users to take a position in additional cryptocurrencies.
3. Microsoft and Amazon Using Blockchain as a Service (BaaS)
Another emerging blockchain trend is BaaS or Blockchain As A Service. BaaS may be a new blockchain trend that’s currently integrated with a variety of enterprises also as startups.
BaaS may be a sort of cloud-based service that permits users to develop their own digital products by working with blockchain. Most of those digital products are smart contracts or applications which will work with none setup requirements of the entire blockchain-based infrastructure. Microsoft and Amazon are a couple of the known companies developing blockchain applications that provide BaaS service.
4. Blockchain is predicted to rework Social Networking
Social networking has become an integral part of our daily lives. consistent with Statista, it has been estimated that in 2019, there’ll be quite 2.77 billion social media users worldwide.
The introduction of blockchain in social media is going to be ready to solve inherent problems associated with privacy violations, notorious scandals, data control and content relevance. Hence the blending of blockchain within the social media domain is another emerging technology trend.
Implementation of blockchain in social media will make sure that all the published data within the social media domain remain untraceable and can’t be duplicated, even after its deletion. Moreover, users will get to store data more securely and maintain their ownership. Blockchain technology ensures that the facility of content relevance lies within the hands of those who created it, rather than the platform owners – thus making users feel safer.
5. Interoperability Among Blockchain Networks
Blockchain interoperability makes it convenient for users to transact from one blockchain network to a different one. In other words, blockchain interoperability is the ability to share data and other information across multiple blockchain systems also as networks. This function makes it simple for the users to ascertain and access the info across different blockchain networks. For instance, users can send their data from one EOS blockchain to a different specific Ethereum blockchain. This function also offers a variety of diverse functionalities, for instance, cross-chain transactions and also enhances multi-token transactions.
6. The increase of Ricardian Contracts
A Ricardian contract is really a human-readable legal agreement that’s also agreed and signed upon by both the parties involved within the contract. Thereafter, it gets converted into a machine-readable contract that clearly defines the listed intentions of both the involved parties.
The flow of this Ricardian contract can easily automate the operations on various blockchain applications that support this technology. The Ricardian contract is often stated as a sensible contract and is both machine and human-readable.
7. Hybrid Blockchains
Hybrid blockchain is an emerging concept within the blockchain domain. It is often defined as the blockchain that attempts to use the foremost appropriate part of the general public also as private blockchain solutions. Hybrid blockchain operates during a closed ecosystem, hence each piece of data on the network remains secure.
Transaction costs are said to be much lower in hybrid blockchains because the influential nodes within the network make the method simple and quick to verify transactions. Another added advantage being, it protects from quite 50% of attacks as hackers are unable to realize access to the blockchain network.
8. Content Streaming to be safer With Blockchain
Content Streaming is one of the emerging blockchain technology trends of 2021 which will be highly popular within the near future. Popular movie streaming services like Netflix and Hulu can incorporate blockchain technology to store user data in a safer and simply accessible manner.
Video, music and social media streaming companies also can choose blockchain technology which will enable third parties to not only read but even write information on the respective blockchain. The Blockchain promises to supply smart-contract technology, providing numerous benefits for video content to be stored and shared under a heavily encrypted and secure system.
9. Covid 19 Will still Accelerate Enterprise Blockchain Adoption
Every business has been suffering from the lockdowns and restrictions triggered by the Covid-19 pandemic. One advantage of the pandemic has been that it’s forced organizations to revamp their processes and digitize their operations so as to continue their day to day functions. Managers have realized the worth of adopting technologies and integrating them in their operations earlier, instead of lagging behind and are late. Organizations have recognized the necessity for security, smart contracts, instant auditability and trust. Blockchain technology will help deliver solutions that will establish trust and transparency. Organizations will still use blockchain databases and features within the solutions they create.
10. NFT’s will Revolutionize Digital Assets & Digital Art
Non-Fungible Tokens are on the increase and quickly gaining popularity across games, digital asset exchanges and blockchain platforms. NFTs enable digital scarcity. Meaning one copy of a singular digital asset is often stored within an NFT and can’t be replicated. NFTs were originally popularized by the sport Crypto Kitties but since then several digital art projects and startups have established themselves online. In-game assets are often digitized and exchanged using NFTs. Digital rights management is another space that’s set for disruption using non-fungible tokens.
11. Blockchains Will Establish Secure Digital Identity
We leave extensive digital footprints once we transact across the web. Digital identity solutions will help secure our online presence and drastically reduce online fraud and fraud. Blockchain technology stores data in a decentralized, trusted and immutable manner. Blockchains can make sure that a user’s single digital identity is stored in a secure and incorruptible manner. This single digital identity can always be up-to-date with the newest user information. Several digital identity solutions are being developed and integrated by online platforms. This trend is about to grow this year.
Looking at these latest blockchain technology trends, one can guess that the year 2021 is going to be a big-time for this emerging technology in various industries. The main advantages of blockchain technology include lower transaction costs, protection from cyber-attacks, the choice to vary the principles, help maintain confidentiality and operate during a closed ecosystem. Hence there’s no denying the very fact that the technology of blockchain is probably going to impact many various industry verticals differently.