With the rapid development of the Internet, the financial industry is undergoing tremendous change from the original centralized model became more flat and decentralized. At the same time, the development of the block chain technology in the ascendant. From the birth of Bitcoin to a variety of dazzling fake coins, coins and model aviation coins, which provoked a huge market for trillions of finance.
First, the development of the main block chain to solve the centralized organization does not fully trusted, low efficiency, high threshold for participation in the state.
P2P networks hoping to fast, secure encryption algorithms, efficient consultation mechanism and universal participation, to bring more people can enjoy the world of network security and convenience. On the basis of Bitcoin script based on the proposed square Ethernet intelligent step forward contracts. By contract coding and automatic enforcement mechanisms, the development of the block chain safer and more effective. Various public chain, chain alliance and private chains everywhere, the entire virtual network system through incentives for ongoing maintenance of tokens to be. At the same time, various types of wallet applications have emerged, tokens model has become a means of speculation block chain.
Facebook plans to release one of the league's Libra chain. Facebook want to use digital currency http://www.gendan5.com/digitalcurrency/btc.html event in the world caused extensive discussions. It is hoped that people can enjoy affordable financial services within the scope of readily available through the issuance of a stable currency and Facebook applications around the world. For example, cross-border and cross-regional remittances, as many as 100 in the central node (all major financial institution or organization in the world) in the help, it can quickly confirm the relevant consensus, efficient, low-cost money transfer service. However, it concerns the United States hearings encountered enough to remind everyone. Products and services for the 2 billion people has become a financial service, enough to subvert the efforts of traditional financial institutions, enough to destroy a tiny sovereign currency. This is the virtual power of the Internet giant, enough to match the reality of the rough seas.
Second, the development of the first block chain to solve the problem of trust between people. Participants only need to care about ordinary transactions they can reach, regardless of the central institutions.
It is similar to cash transactions (almost the same time, the counterparty payment and delivery of the goods at the same time). They do not need to open an account at the bank branches, registration and opening a range of services, and then receive deposits. Mutual trust algorithms can be verified by computer automation. Existing centralized organization should be bold to accept new things, to re-find the location of their organizations in the development of new things in, and adapt to social development. In this way, between ordinary users can quickly reach mutual trust, organizations can quickly reach a consensus by chain form part of Union (faster, more stable, cheaper consensus mechanism), give yourself more opportunities and benefits (deepening customer needs).
Third, the block chain to solve the low efficiency of existing financial transactions.
For example, for remote transfer, ordinary users need to open a bank account, also needs to know the other's bank account. Then traded through the network within the bank or clearing organization. For cross-border transfers, transactions between banks require agreement by Swift, time-consuming, high cost, poor experience results to the user. For the public chain, the consensus of the entire network can be significantly improved by improving the speed of the algorithm can solve the problem by optimizing the high TPS consensus mechanisms and security protocols, and ultimately the two transactions are entirely possible.
Fourth, the block chain to resolve the threshold of participation.
When complete network infrastructure, whether you want to participate in financial activities, you still need to open an account in the network, the opening of a number of authentication and Internet services. For those who do not want to go downstairs, it is also a burden. Through more extensive link (network access may be achieved by some devices anywhere) and wide participation (e.g. lightweight consensus node), the transaction costs of the entire network may be in the form of byte length of the transaction is settled, this of course also includes the need to reach consensus nodes bytes costs.
Block chain development will bring more opportunities. Currently, it has been applied to electronic invoices, legal documents judgment, traceability of agricultural products, intellectual property protection, cross-border remittance and other fields. We still have a vast future exploration of space.