Wednesday, September 30

Why Interoperability Is the Key to Future Innovation and Adoption?

Tribalism has been the bone of contention in the blockchain industry for many years now. Many developers are seen defending various technologies for specific protocols, even when they are clearly aware of its limitations. It is these divisions that are limiting the growth of the blockchain technology as well as proving to be a major stumbling block in the way of innovation. The enterprise market has slowly realized the potential of blockchain technology. Still, it is not possible to reap its benefits comprehensively until the blockchains can grow, communicate, and cooperate with each other. 

The blockchain technology has the power to offer innovative incentive models, security, transparency, and data ownership to the fore during the time when the world desperately needs it. The ongoing Covid-19 pandemic has clearly showcased how brittle and disorganized the world’s major supply chains are and how difficult it would be for the industry to act quickly based on the incentives it gets during such crisis time. The World Economic Forum recently noted that the problem is not only the technology but also governance, business models, and data ownership. 

These challenges can be easily solved by blockchain as it is scalable, measurable, reliable, transparent, and auditable. More than 11 years have passed since the Bitcoin white papers are published, but its potential is yet to be fully realized. Why do you think it is? It is because there are many artificial barriers that are placed on the way, such as tribalism and application lock-in. Such issues caused unwanted friction to the movement and made it difficult for the blockchain movement to gain the momentum or attention it deserved. 

If there is one thing that the year 2020 teaches us is that the world needs to work together, forgetting personal differences and goals. Working towards common goals would help solve the issues faster and ensure that the common enemy is beaten much sooner. Even though certain blockchain-powered solutions have surfaced during this pandemic, can we say that its full potential is being used? Absolutely not! 

The world needs to talk about the interoperability of blockchain soon to realize its full potential because we can be sure that the world would face severe crisis again in the future. Rather than worrying about the solutions tomorrow, we should better prepare ourselves today to face whatever problems we come across. Interoperability is defined as the ability of many different blockchains to work closely together and communicate with each other seamlessly. The developers would be able to feed data to one blockchain while causing an effect on the other. Even though blockchain technology is still evolving and developing, it is important for the leading blockchain companies and developers to work together to develop platforms and solutions that transform the world.