The most recent buzzword is undoubtedly "blockchain." Whether you're having a meal or just chatting with friends, it seems like everyone is talking about blockchain. However, many people are still curious about what it really is, and most of them are at the stage of speculation and arbitrage.
Recently, I've been diving deeper into blockchain research and have spoken to several insiders. Based on my limited understanding, I want to share this information with you. If you come across any high-finger (high-profile) projects, I would be grateful if you could let me know.
1. An Unexpected Revolution
Starting in 2018, blockchain rapidly became a hot topic, sparking interest among investors. It was seen as the new "window" for innovation, accompanied by bold predictions. One such statement claimed, "Twenty years from now, people will talk about Bitcoin as they do about the Internet today, and 100% of transactions will occur on the blockchain."
These optimistic forecasts spread like wildfire in the investment community, creating an unexpected frenzy. Some even called blockchain the "ninth wonder of the world," highlighting its potential to reshape society. The capital market couldn't resist the hype.
In the U.S. stock market, companies like Kodak, which had been quiet for years, saw their stock prices surge by over 245% after announcing blockchain initiatives. Similarly, companies such as Thunder, Ninth City, Renren.com, and ChinaNet Online also experienced massive jumps. In Hong Kong, there was even a humorous case where a company named “Pingshan Tea†rebranded itself as a blockchain group and saw a 23% increase in stock price.
However, this speculative boom isn't entirely baseless. According to McKinsey's blockchain utility roadmap, 2017–2020 marked the shaping phase of blockchain technology infrastructure. Major banks and tech companies are accelerating their blockchain investments.
The mainstream view suggests that the core of the blockchain economy lies not in the technology itself, but in the reconstruction of business models. This is not just a technological revolution, but also a shift in how we think.
2. Blockchain Is Not a New Concept
The concept of blockchain can be traced back to late 2008 when a mysterious figure known as "Satoshi Nakamoto" published a paper titled "Bitcoin: A Peer-to-Peer Electronic Cash System." This introduced the idea of blockchain.
On January 3, 2009, the first block of the blockchain was created, known as the "Genesis Block." Bitcoin quickly gained popularity, and in 2017, its explosive market rise brought blockchain into the spotlight.
3. The Essence of Blockchain: Everyone Is a "Database"
At its core, a blockchain is a decentralized public ledger that links blocks together in a chain. It’s a system that allows a network of computers to securely maintain a shared record without needing a central authority.
Therefore, blockchain is not a specific software, but rather a design concept. Just like how most people don’t need to understand TCP/IP to use the internet, the average person doesn’t need to know the intricacies of blockchain unless they’re directly involved in the industry.
4. Three Key Features of Blockchain
Compared to traditional centralized systems, blockchain has three main characteristics:
- Decentralization: In a blockchain system, all nodes are equal. Each node has voting power based on computational resources, ensuring that decisions reflect the majority. Even if some nodes are hacked, as long as the majority remains intact, the system continues to function.
- Trust Building: Blockchain has the potential to eliminate the need for intermediaries like WeChat Pay or Alipay. As The Economist puts it, blockchain is "a machine that creates trust," enabling collaboration without mutual trust.
- Cost Efficiency: In a centralized system, maintenance costs are high. With blockchain, anyone can participate as a node, reducing costs and improving efficiency through collective verification.
In short, blockchain touches on money, trust, and power — the fundamental pillars of human society.
5. Its Development Has Gone Through Three Stages
- The Brewing Period (2009–2012): Dominated by Bitcoin and its ecosystem.
- The Budding Period (2012–2015): Blockchain entered the public eye, with new payment and remittance platforms emerging. Financial applications began to grow.
- The Development Period (2016–Present): Blockchain started exploring industry applications, leading to a wave of startups. The 2017 ICO boom brought it unprecedented attention.
6. The "Blockchain 2.0 Era" Is Coming
Blockchain applications are moving beyond Bitcoin (Blockhain 1.0) into more advanced stages:
- Blockchain 1.0: Programmable Currency (e.g., Bitcoin).
- Blockchain 2.0: Programmable Finance (e.g., smart contracts, equity transfers, financial contracts).
- Blockchain 3.0: Programmable Society (e.g., identity authentication, logistics, medical records).
Currently, we're transitioning from 1.0 to 2.0, with blockchain entering the financial sector. In the next few years, it may expand into social notary, smart contracts, and other areas, potentially becoming the foundation of the "Internet of Everything."
7. Disadvantages of Blockchain
Despite its promise, blockchain also faces challenges:
- Low Efficiency: Transactions take time due to synchronization across all nodes. Bitcoin, for example, requires around 10 minutes per transaction and 6 confirmations for full validity.
- High Energy Consumption: Mining requires significant computational power, leading to concerns about environmental impact.
- Privacy Concerns: Public blockchains make all transactions transparent, raising issues about data privacy.
- Regulatory Challenges: Decentralization makes it harder to regulate, increasing risks of misuse.
8. Five "Big Pits" in Blockchain Investment
Investing in blockchain can be risky. Here are five major pitfalls:
1. **ICO Scams**: Many projects prioritize marketing over real value. Investors should be cautious and avoid jumping on every trend.
2. **Buying the Wrong Coins**: Don’t follow the crowd. Understand the project behind the token before investing.
3. **Cottage Exchanges**: These exchanges pose security risks. Stick to reputable platforms.
4. **Following "Brick Houses"**: Avoid blindly following influencers. Educate yourself and make informed decisions.
5. **Emotional Investing**: Fear and greed can lead to poor choices. Keep a cool head and focus on long-term goals.
9. Conclusion
Blockchain is still in its early stages. While it holds great promise, it also faces many challenges. Rationality and caution are essential. Technology itself is neutral, but its future depends on how we choose to use it.
Only through steady progress and respect for growth can blockchain mature and fulfill its potential.
Paste Type Rotor,Dc Variable Frequency Motor Rotor,Dc Motor Rotor,Adhesive Dc Variable Frequency Rotor
Suzhou Mountain Industrial Control Equipment Co., Ltd , https://www.szmountain.com