Blockchain technology is not just for cryptocurrency anymore

Larry Thompson is an expert on blockchain technology.

TAP Financial Partners is a privately held, boutique commercial bank that provides advisory, restructuring, debt and equity raising services, fulfillment and listing advice to a select group of small and mid-sized businesses.

Blockchain has revolutionized fintech, making business more accessible and affordable for consumers and businesses, but that is not the only effect it is having.

MIAMI, FLA., USA, Sept. 7, 2022 /EINPresswire.com/ — These are volatile times for cryptocurrency, a commodity like many others whose prices rise and fall based on demand. While consumer behavior during the covid-19 lockdown in 2020 drove the value of digital currency sky high, there has been a significant decline since the beginning of this year. Such is life for those who choose to invest and trade for speculative purposes.

What cannot be changed, however, is the impact blockchain technology has and will continue to have on industries large and small. Blockchain, the electronic information storage system that provides a secure and reliable record of transactions for Bitcoin and other cryptocurrencies, has revolutionized fintech, making business more accessible and affordable for consumers and businesses, largely by cutting out the middleman (i.e. traditional banks). . .

With its data already secure and a decentralized, easily searchable record of transactions, blockchain eliminates the need to give a bank a “piece of the action” solely to unify the finances of those doing business together. A simple example is the individual seeking an equity loan who can go directly to an online lender who does not need and does not have the overhead traditionally associated with a physical bank.

In addition to potential cost savings for the end user, blockchain-based systems are more convenient and secure for those using them, with the ability to transfer value online no further than an app on a smartphone. In addition, since the data is constantly verified, the new(er) system is more secure than debit and credit card transactions, where the user has to provide sensitive financial information that can be compromised or stolen, as it is in identity theft.

The future of blockchain technology is almost as limitless as the innovative minds that use it – with health record keeping, research and streamlining of supply chains particularly active – and while it will always be the foundation of cryptocurrency, it’s clear that it has grown beyond that.

None of this, by the way, should make you fear for the future of the traditional financial industry, should you be one to mess with Goliath. They are already adapting, adopting best practices, in some cases replacing employees and operating more efficiently.

The ones I worry about are the Davids, the individuals and companies who are drawn to blockchain technology for all of the aforementioned reasons, but don’t have the financial savvy to use the variety of tools without getting ripped off. In my opinion, the educational aspect is the key to greater global acceptance and use by the multitude who can benefit from the progress without being exploited by the unscrupulous.
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Larry E. Thompson chairs the Board of Advisors for TAP Financial Partners.

Now semi-retired, Thompson spent most of his professional career as an executive at the Depository Trust & Clearing Corporation (DTCC), a provider of post-trade market infrastructure for the global financial services industry. His focus during that time was automating, centralizing and standardizing processes involved in financial transactions, reducing risk, increasing transparency and driving efficiency for thousands of broker/dealers, custodians and asset managers worldwide.

Stu Opperman
TAP Financial Partners
+1 954-815-2303
[email protected]
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