Why Blockchain Holds Vast Promise in Developing Countries
Every once in a while, a revolutionary technology comes along that changes everything. From the invention of ecommerce, mobile payment, social media and now blockchain. Over the course of this article, we will see why blockchain could revolutionize many industries – from financial services to digital registry and how it holds vast promise to the developing countries.
A simple explanation of Blockchain.
Blockchain is the underlying technology behind cryptocurrencies like Bitcoin. It is a continuously updated record (distributed ledgers) of who holds what and are linked using cryptography.
‘Block’ is digital information, for example, Bitcoin block holds information like Transactional data, timestamp and cryptographic hash of the previous block while chain is the public database that stores these blocks.
Why Blockchain holds a vast promise in Developing countries:
Democratization of wealth creation by engaging more people in the economy will transform Africa and other developing nations. Here is how this would be done:
There are many cases where people buy properties later on to realize they were conned and the land titles they were given were fraudulent. Some have lost their property to powerful business people in the government. This has happened in many developing nations like Kenya. Blockchain will protect the rights of land owners through immutable records. Land titles will be put on a blockchain network and people will no longer worry about losing their properties to anyone.
In the next article, I will describe how blockchain could curb corruption to save immense amount of tax payers money siphoned by those in power. Read the article below to understand corruption in Kenya.