The spectacular recent rise in Bitcoin prices has rekindled the imagination of many investors, but Blockchain technology is not only about money. In this article, we will see how important the impact of this revolutionary technology is on classic web hosting services.
The concept of cryptocurrency is not rocket science. In fact, this medium of exchange is not more complicated than traditional money. However, this however requires a secure and reliable environment in which it can operate, and that is provided by Blockchain.
What is Blockchain? There are many misunderstandings related to this, but, for the purposes of this article, we will define it as a distributed spreadsheet. We are all familiar with Excel or Open Office spreadsheets, but what makes Blockchain so attractive is its distributed approach.
Like Torrent files, Blockchain is a peer-to-peer network where trust between parties does not need to be ensured. Thanks to modern cryptography, trust is maintained at the level of a record rather than the party hosting it.
Okay, so we now know the basics of the cryptocurrency revolution, but how, we may ask, has it affected web hosting services? In fact, in its simplest form, it will suggest not only selling your services in your local currency, but also in Bitcoin and other cryptocurrencies.
However, this was not the end of the revolution. Bitcoin and other digital currencies require electronic wallets to operate, and thus have great potential for traditional web hosting vendors. If you trust your customers and host their sites, then why not host their electronic valets?
Every cryptocurrency operation is a de facto transaction between two electronic valets. Each exchange is maintained through the wallet and you can also provide an interface for your customers to access it. This factor is essential to fully understand the impact of Blockchain on your web hosting business.
This said, Blockchain is not only about money. The latest versions of its protocols also provide the opportunity to create any form of contract between the parties, whether it is a subscription to cable television or any other type of bill. They all need to be stored in one place, and there is a place for web hosting companies to be involved.
The wallet is the key to fully utilize the potential of Blockchain. Once you understand this, what are your next steps?