Open Blockchain Networks & Cryptocurrencies

Open blockchain networks are a catalyst for change in digital services, including financial services and applications, because they enable the direct transfer of value on the internet. Cryptocurrencies are the fuel that powers these networks.

Open blockchain networks eliminate the need for middlemen

Financial and data middlemen are necessary intermediaries for financial transactions and online services

Users can conduct financial transactions and share data directly

Open blockchain networks decentralize infrastructure

  1. Company runs digital services using a central server and proprietary software
  1. Network of connected computers runs digital service using open-source software

Open blockchain networks address shortcomings of centralized systems

SECURITY PRIVACY COMPETITION Single point of failure makes the system vulnerable to attack Business model often based on collecting and selling consumer data Economies of scale and massive proprietary data sets encourage monopoly power
shortcomings-decentralized SECURITY PRIVACY COMPETITION Encryption and decentralization of data makes cyber attacks extremely difficult Allows for individual control and ownership of personal data Personal ownership of data allows for portability between services and encourages competition

Cryptocurrencies fuel open blockchain networks

Service Integrity

Cryptocurrencies interact with network software to ensure that the service is correctly administered

Enhanced Payments

Cryptocurrencies enable fast, programmable, and always accessible payments

Incentive

Cryptocurrencies reward individuals and businesses for contributing to the operation of the network

©2022 Blockchain Association. The Blockchain Association is a 501c6 registered in Washington, DC.

BACK TO TOP