{"id":8706,"date":"2018-02-10T07:08:57","date_gmt":"2018-02-10T06:08:57","guid":{"rendered":"https:\/\/www.smolio.ch\/wissen\/blockchain-and-bitcoin-how-to-prepare-for-the-financial-market-of-tomorrow\/"},"modified":"2024-09-17T08:34:48","modified_gmt":"2024-09-17T06:34:48","slug":"blockchain-and-bitcoin-how-to-prepare-for-the-financial-market-of-tomorrow","status":"publish","type":"post","link":"https:\/\/www.smolio.ch\/en\/wissen\/blockchain-and-bitcoin-how-to-prepare-for-the-financial-market-of-tomorrow\/","title":{"rendered":"Blockchain and Bitcoin: how to prepare for the financial market of tomorrow"},"content":{"rendered":"Lesedauer<\/span> 3<\/span> Minuten<\/span><\/span>\n

Smart contracts form the basis for cryptocurrencies and P2P (peer-to-peer) or person-to-person direct transactions between sellers and buyers \u2013 without intermediary financial institutions.\nThe financial market is under pressure because the blockchain offers countless alternatives \u2013 and investors are looking for guidance.\nWe explain the financial market of tomorrow. <\/p>\n\n\n\n

The multitude of new forms of investment and offers does not necessarily make it any easier.\nHere is a coin, a digital currency designed to make the exchange of value more transparent.\nThen there\u2019s a credit solution or insurance for everyone without a bank or insurance company.\nLet\u2019s take a closer look at the special features of blockchain solutions. <\/span><\/p>\n\n

Cryptocurrencies: Bitcoins and other non-cash coins<\/h2><\/div>\n\n

Since last year at the latest, when the price of Bitcoin, the most prominent cryptocurrency, went through the roof, almost everyone has heard the buzzwords such as coin, crypto or ICO.\nAnd perhaps even considered whether they should get involved\u2026 But how, where and what exactly?\nCryptocurrencies are possible thanks to the Blockchain technology that stores contracts directly with the contracting parties \u2013 without anyone in between.\nBlockchain wants to revolutionize the market <\/strong> and eliminate intermediaries.\nIn concrete terms, this means that thanks to blockchain, we no longer need banks to process financial transactions, but trade directly via our computers.\nAs information about transactions is stored in several places and no longer centrally, no one can make changes on their own, the system notices this and makes fraud practically impossible.\nThe system is unhackable \u2013 until now. <\/span><\/p>\n\n

Bitcoin, Ethereum, Ripple and other digital currencies consist of a code<\/h2><\/div>\n\n

This code cannot be cracked \u2013 at least not yet.\nA virtual currency is also limited by natural resources: They require a lot of computing power.\nWhat\u2019s more, cryptocurrencies are currently virtually unregulated.\nNobody knows what restrictions are still to come and how this will affect the value.\nSome say it will become established; after all, you can already pay with it in some places \u2013 in other words, it\u2019s very real.\nOthers speak of a hype, a bubble that will burst the day after tomorrow at 09:20 \u2013 or at some point soon.\nIn any case, there are more and more trading platforms for it and there are already ETFs invested in cryptocurrencies.\nInvestors as well as banks and insurance companies will not be able to avoid further involvement with digital currencies. <\/span><\/p>\n\n

\"Blockchain<\/span><\/figure><\/div>\n\n

Peer-to-peer: from person to person without a central intermediary<\/h2><\/div>\n\n

Crowdlending, crowdfunding, crowdinvesting, peer lending or similar are the names of offers where you can \u201clend\u201d or invest<\/strong> your money directly and receive interest or benefits in return.<\/strong> Whether for insurance or loans.\nThe money flows directly between depositors and recipients, the contract is in the blockchain and no longer with the credit or insurance institution.\nThe possible applications are endless: whether for local SMEs that do not (want to) obtain a loan from a bank, for projects or new products. <\/span><\/p>\n\n

Wherever money flows, a smart contract can bring the contracting parties together.\nThe special feature is the elimination of traditional intermediaries (such as a bank or insurance company).\nNevertheless, a blockchain solution is needed, usually a technology company that offers the service. Here too, transaction fees are usually charged.<\/strong> However, they are generally lower, more transparent and more directly linked to performance.<\/span><\/p>\n\n

Risk hedging also takes place via the blockchain participants.<\/strong> This is because the SME receiving the money can go bankrupt and the project or new product simply does not work.\nIn most cases, the money is then completely gone. The Swiss crowdfunding scene is being monitored at Lucerne University of Applied Sciences and Arts<\/a> \u2013 regardless of whether it is based on sophisticated blockchain technology or a simple platform.\nThere has been a boom<\/strong> here in recent years.<\/strong> It is also noticeable that many platforms emphasize a social idea.\nThe money \u201cpromotes\u201d creativity.\nThe risk remains or must be assessed by the investor on a case-by-case basis, which is why you need to take a close look when investing in corresponding financial products and also be able to cope with a total loss. <\/span><\/p>\n\n