Blockchain will be the next big technology that will be the driver of economic growth. Steve Chiavarone, VP of Federate Investors, a financial service firm, spoke about blockchain in his interview with CNBC. He believes that Blockchain technology will be an “Economic Growth Driver” and will “Drive the next Industrial Revolution.” Many call it the 4th Industrial Revolution.
Blockchain: Economic Growth Driver
Steve Chiavarone mentioned that the high efficiency and increased automatization are the two factors that will drive businesses to adopt this technology. He said
“When you think about it from an enterprise perspective, it has the ability to replace reconciliation — which is expensive and requires back office, and time, and paperwork — with more instantaneous verification.”
He further said that the companies could cut their cost by adopting Blockchain technology, he also said
“Companies can have more efficient supply chains and can cut their back and middle office costs.” That, Chiavarone says, “will allow business to flow more efficiently, and will allow costs to be cut and that saving to be passed along.”
Blockchain Technology: Industrial Revolution 2.0
Chiavarone mentioned that there are five different technologies that will drive the next Industrial Revolution and blockchain is one among them. The other four are Automation, Robotics, AI and Internet of Things (IoT).
He further explained that many people first invested in Bitcoin to enter into Blockchain technology and then they were betting on Mining GPU manufacturing companies like Nvidia and Intel and supported the technology.
He also notes that the banks have recently taken an interest in Blockchain technology and are slowly starting to invest in them. For example, Bank of America (BoA) has filed 45 crypto related patents recently. This shows their interest in this technology and Chiavarone said that BoA started to invest heavily in this technology.
Fred Wilson vs. Warren Buffet
Fred Wilson, a Venture Capitalist and co-founder of Union Square Capital, spoke against Warren Buffet’s recent remarks on cryptocurrency. He explains how Bitcoin and other Cryptocurrencies produce a truly global decentralized infrastructure that can be used serve the humanity better. He further said
“They are the fuel that powers a new form of technology infrastructure that is being built on top of the foundational internet protocols.”
Fred Wilson believes that the smart contracts are the most significant innovation to date, and it will help create many more utilities, thus better humanity in a decentralized manner.
We cannot deny the fact Bitcoin and Blockchain will drive the next Industrial revolution, and they are so disruptive that the traditional methods will either become extinct or irrelevant in the future.