The noticeable recent rise in bitcoin prices has rekindled the imagination of many investors, but Blockchain technology is not just about money. In this article, we will look at how much impact this revolutionary technology will have on classic web hosting services.
The concept of cryptocurrency is not rocket science. In fact, this medium of exchange is no more complicated than the traditional currency. However, he still needs a safe and reliable environment in which he can work, and this is ensured by Blockchain.
What is Blockchain? There are many misunderstandings about this, but, for the purposes of this article, we will simply define it as a distributed table. We’re all familiar with Excel or Open Office spreadsheets, but what makes Blockchain so appealing is the way it’s distributed.
Just like the files in Torrent, Blockchain is a peer-to-peer network where there is no need to ensure trust between the parties. Thanks to modern cryptography, trust is instead maintained at the level of a single record, not the party hosting it.
Okay, now we understand the basics of the cryptocurrency revolution, but how, we might ask, does it affect web hosting services? In essence, in its simplest form, this would suggest selling not only your services in your local currency, but also Bitcoin and other cryptocurrencies.
However, this is not the end of the revolution. Bitcoin and other digital currencies need electronic wallets to work, and therefore there is huge potential for traditional web hosting providers. If you have the trust of your customers and host their site, then why not host their electronic servants?
Every cryptocurrency transaction is a de facto transaction between two electronic lodgers. Each exchange is maintained through a wallet, and you can also provide an interface for your clients to access. This factor is key to fully understanding the impact of Blockchain on your web hosting business.
This, Blockchain says, is not just about money. The latest versions of its protocols also provide the possibility of adopting any form of agreement between the parties, whether it is a subscription to cable television or any other type of account. They all need to be stored somewhere, and there is a place to include web hosting companies.
The wallet is therefore the key to fully exploiting the potential of Blockchain. Once you understand this, then what should be your next steps?