A new finance paradigm

After the appearance of the bitcoin a new paradigm of decentralized transactions was born. Bitcoin not only introduce a new concept of virtual currency, but also the concept of the blockchain. The blockchain is the hearth of the bitcoin, the database of all the transaction done from the beginning of the bitcoin time. This database introduced the concept of a secure and distributed database that all the nodes can trust.

When the bitcoin started to became popular, not only it price surge but a lot of new forks of the original source code started to appear. Most of the times these new coins were dead projects since the fork owners couldn’t maintain the code and in some cases indirectly helping the bitcoin to add more features.

It is interesting that when a new coin appears we could think that we are actually buying or investing in the idea behind that coin. Think about the Storj or Filecoin were people could earn money by renting disk space and all those new coins are using a fork of the blockchain.Ethereum is another example were the idea of smart contracts was used with the blockchain concept.

So when a new coin appears it looks like when a normal company issues and sells stock to raise money. Suppose that you have an idea (like doing a cloud storage) and you have some infrastructure but not enough to support todays requirements, you could try to do a blockchain project to use your infrastructure and allow third party to join and merge into one to solve the problem with you.

These projects are creating their own economic ecosystems and some people are calling it “decentralized business model”. In these models the role of the central company controlling company disappears (in some cases probably not) and has shared ownership.

There is more, this kind of model allows more people to build new things more easily. If they are successful with the coin idea, then the price of the coin will go up in value over the time.

Imagine if this had been the original model from the start for projects like Facebook, Twitter or even google.

We are in front of a new technology that will be the future. Be smart and invest your time learning the blockchain.

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