Finance and Economics are certainly the main areas of interest for most investors on the Blockchain.
Only 2% of dollars in circulation is in the form of banknotes and coins while the remaining 98% is in "digital" form (and the same applies to euro, pounds, etc.).
This very curious fact can lead to some reflections: why can we not keep a totally control of our dollars? Why we are forced to keep our digital dollars away from someone else, normally a bank, on his server? The reason is simple: digital data, and so also digital dollars, are by their nature duplicable. In fact, with a "copy and paste" we can duplicate a pleasure any data or file that we have on our PC and therefore the need to have an intermediary (XY Bank, PayPal, Visa ...) that manages and stores him on his single and central server the accounting and accounting balances of all its customers.
With Blockchain you can solve this problem. Let’s make an example with a centralized system like the current ones: if Alice had to pay a sum of money she would have to "ask" her bank to pay her money to Carlo; the bank should then verify that Alice's balance is sufficient and in that case she would make the payment. Instead, through the use of Blockchain, Alice and Carlo could eliminate the need for an intermediary, as if it was a payment in cash. Moreover, it is not enough to think of additional costs: Blockchain would reduce the costs of bank fees, save savings, speed and reliability. Not only money, but also stocks, bonds and securities could be managed and traded through this technology.
Bitcoin is a digital currency that is exchanged by internet directly between two people, so it happens without the need of an intermediary bank. These coins are stored in virtual wallets and they can be used to make payments to stores or companies that accept them (not a lot yet, but there are some), to transfer money to other users, or simply for long term investments. The Blockchain system ensures the security and independence of transactions by making Bitcoin a reliable, efficient and globally scalable payment tool for various categories of potential users. In fact, transactions take place on a planetary and low-cost scale, making it finally possible to access payment and banking services to that huge part of the world population currently excluded or under the control of oppressive political-economic regimes. Just think about the impact that this technology could have on the half of our planet, that is still not covered by banking institutions or on the flow of remittances from migrants to Africa, where the commissions of financial institutions often surpass 13%. Anyone in the world can open an account and access the 24/7 service. The only tools you need are a computer and an Internet connection. The transfer of funds takes only a few minutes even if two people are on opposite parts of the world.
