Business is built on trends.
Businesses that cash in on fast-rising trends tend to make copious amounts of cash rapidly. Those who ignore hot trends end up being completely forgotten.
These days, businesses are starting to catch on to the potential uses of peer-to-peer decentralized apps and blockchain technology. A recent blog post on the Wall Street Journal illustrates the concepts that are attracting startups to this new frontier of business.
Decentralization will attract investment capital for the simple reason that companies that want to compete with established, centralized companies will need a unique selling point in their quest to convert customers to their side. Almost every app that people commonly use now is a traditional, centralized app run from centralized servers by monolithic, centralized corporations. Alternatives to these companies and their offerings can use the inherent advantages of decentralization to compete.
This includes massive cost savings.
In business, low cost almost always wins the day. It stands to reason that decentralized apps will enter their respective business sectors with much lower fixed costs that their traditional competitors. With a lower cost-basis they can take the game to those in power. Lower cost is not the only benefit they bring to the table. Decentralized apps also offer a plethora of other advantages to users.
Many of the concepts making up the world of next generation cryptocurrency are new, but they are hardening daily in the field. Decentralized apps have enormous potential. It seems very likely that a decentralized social network where users own and earn revenue from their own content will do very, very well. Every app you can currently think of can benefit from decentralization. It’s only a matter of time until these apps come to dominate the current landscape.
Centralized companies are doing their best to jump on board the cryptocurrency movement, even though the concepts are in many cases completely foreign to them. Their whole bread and butter comes from centralization. Still, modern business people are well aware that fighting against major trends will only end in their demise.
In the next few years we can expect to see more and more companies and governments get in on the cryptocurrency act. This will be both bad and good news for enthusiasts. The good news is these organizations have the marketing bulk to help push adoption. The bad news is they will do everything in their power to exert control. At this point the fact there is a large, diverse ecosystem of competing alternative cryptocurrencies will come in handy. At least a few of the cryptocurrencies that exist will hold onto the tenets and principles of decentralization that make cryptocurrency great, even if newer participants seek to gain control.
These are interesting times indeed.
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