Building For Blockchain

How this emerging technology is changing the face of government, business and consumer life

- Colin Thornton

In October 2017, blockchain start-up Digital Asset raised R480 million in funding bringing the total backing it has received from some of the world’s largest banks to R1.3 billion. Not bad, considering cynics believe the value of blockchain is grossly overrated. But is it worth pursuing this technology? The short answer is yes.

Don and Alex Tapscott, authors of Blockchain Revolution, define blockchain as an incorruptible ledger of economic transactions that can be programmed to record not just financial transactions, but virtually anything of value. So, even though blockchain has mainly been used to verify transactions, the possibilities are virtually limitless. You can, in theory, insert any document, data and file into blockchain and have an indelible record that cannot be changed.

While many uses for the technology are yet to be defined, organisations and individual users in South Africa and the rest of the continent should get excited by its potential. Think of it as the fundamental building blocks needed to create real digital assets. Already, businesses are getting to grips with how it provides an effective way of dealing directly with the end user, minimising the potential for fraud and speeding up transactions.