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Blockchain: Solving Scalability With A Cellphone And A Chip

04 October 2018 16:20, UTC
Daniil Danchenko

In the modern economic world blockchain is a not just tech, but a future tech with a bright road in front of it. And statistics agree with this - if today’s speed of the growth will stay the same, in 2021 the size of the industry will reach 2.3 billion USD (and it’s quite possible that it will grow). This is very impressive, considering the fact that the concept of the blockchain appeared only 10 years ago, back in 2008.

And the thing is that "das wundertech" has a severe and very uncomfortable issue that people in the industry tend to downplay a lot, very few experts on the subject admit: it’s very restrictive, and mostly used by enthusiasts and people that initially benefit from the crypto. This is is not helping the technology to develop. Especially when people are trying to apply it to everything. This leads to the growing disappointment among the entrepreneurs that either expected unrealistic results or simply feeling that blockchain is nothing but an overhyped database with bells and whistles.

In this situation, one person came up with an idea how to solves those questions without inventing the wheel. The key to solving this problem - smartphones. Times, when cellphone was just a thing to make calls, are gone long ago; a relatively modern cellphone is a camera, personal entertainment station, and even a credit card and portable TV all in all.

Joseph TOH, Founder of FinTech Association Singapore, told Bitnewstoday.com that he had an idea that phone could become something more than it is already. And you don’t need to invent anything - the basis of the platform is in the hands of more than 2 billion people already. And to the end of 2019 - more than 5 billion of people will have mobiles. Due to this fact, his idea can be seen as a potential breakthrough in the context of the Blockchain distribution, that is pretty much revolutionary. Having it no one will be forced to buy a 100 US USB token wallets since with it people will not need to buy anything but get access to the whole new world of services.

Let me put it in a very simple way, right now, you heard about hardware rooted, private key storage units that work like “cold” wallets: Ledger, Trezor, and others. But think of that - would you carry one right now? No! Because you have no reason to do so. But you do carry your phone right now. What if told you that I can bring the same level of security to the truly unified platform built on 1,5 billion devices?”, - said Joseph TOH.

And the key thing is - blockchain gives them access to the unbelievably vast amount of services, albeit a bit hypothetical, since a significant part of them is highly dependable on the legal status of the blockchain and crypto in the country. For example, hardware-based solutions like this, are perfect for the creation of the digital passport.

If take this, we will see that it’s based on a physical object, a chip that is MOD certified which means the unprecedented level of the protection. Basically, if take analog passports - that's pretty much Swedish passport printed with dozens of protection measures and Afghanistan, that is primitive as it is.

But overall - perspectives of blockchain based ID are not that clear since even the most blockchain and crypto verse savvy countries are not ready for that. But what is quite real right now is a possibility of creating a new type of crypto wallet, that stands out because of its nature. Traditional wallets are okay, but overall, they are not functional in any manner. While this solution, based around a smartphone can also double like corporate ID.

There are software solutions like that but they have a lot of significant flaws, not that obvious though. The issue is - sometimes fraudulent apps get through the apple app store, approval service that is famous for its high standards. For example, recently a couple of famous YouTubers lost their coins after they downloaded and used EOSIO digital wallet through the Apple's app store. And Play Market, their android’s counterpart that is much laxer when it comes to security, is just riddled with fake apps that steal users payment info or ID.

As we already mentioned - issues of the specialized crypto wallets are their lack of other ways to use them. But that does not serve the main project purpose, to function as a solution to the issues of the distribution and usage of the crypto. Simply put - there are way too many steps in between. And by combining the technology of the digital solution and unified hardware components will allow combining safety and GUI on a singular, user-friendly platform.  

The future is not scary for the Toh’s project as Joseph's team has been working on making their project future proof. This is a quite often and fatal mistake of their rivalries - their projects tend to get outdated while still being in R&D. And in their case - the system will grow and develop as long as technology and shape of the mobile networking won’t become a subject to the drastic changes.

Is this an ideal solution? By any means - no. Physical attacks or an outright theft will always stay a threat, plus a lot of potential customers are not ready to use crypto alongside with their personal data. But this is a big deal for the technology that gives a real solution to the looming question of the scalability and distribution.