Bitcoin and blockchain have received widespread attention over
the past year, and many people are considering the possible breadth
of application of these new technologies. Blockchain consists of a
multitude of technologies, which work together to create a ledger
of records arranged in data objects called blocks. Linked together
through encryption, these blocks provide a framework for digital
currencies, like bitcoin, to conduct secure online
transactions.
Over the last 3 years, over $1 billion has been invested in
blockchain technologies. According to a
report by Magister Advisors, blockchain investment will
increase by another $1 billion in 2017.
Blockchain is best suited for environments where there is shared
information and distrust or a need for validation between two
parties. Bearing this in mind, set out below are some thoughts on
aspects of financial services likely to be impacted by the
development of blockchain technology.
