Blockchain technology has made and delivered several promises for reinventing business processes. However, it is still a developing technology with few production systems in place, not to mention governance issues and vulnerabilities that must be understood. These have presented some challenges. Computer World brought this topic to our attention in their article, “The top 8 problems with blockchain.”
No one is arguing that blockchain technology holds tremendous potential for creating new financial, supply chain and digital identity systems. But it isn’t the messiah for the cyber security and information technology world.
Sometimes a tried and true technology like a relational database can perform the task much more efficiently than a distributed ledger based on peer-to-peer technology that will require complex governance and rules.
Part of problem has to do with the funding of blockchain projects. When blockchains involve partner companies working together on an open ledger, the partners must agree on complex rules and how the project is funded. Communication is still needed, even in a digital identity-free world.
Melody K. Smith
Sponsored by Data Harmony, a unit of Access Innovations, the world leader in indexing and making content findable.