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      "body": "![IMG_0986.jpg](https://steemitimages.com/DQmbW542P6TPdJrh5E1K8efAosPfveMsw2jUsHAhL87uhQV/IMG_0986.jpg)\n\nUntil recently, Internet was not suitable for transfering money or any other type of digital asset directly between parties. Sure we could use Internet to transfer money and pay bills, but we did it using one or more intermediary entities, instead of doing it directly between parties. These intermediary entities assured that we did not use the same money twice, i.e., they assured that our money was \"not duplicable in the digital world\".\n\nThat changed in 2009 with the advent of Bitcoin and Blockchain. Today, we can use Internet to transfer money directly between parties. We no longer need intermediary entities to exchange digital assets in a way that prevents duplication. Blockchain assures that. Or doesn´t it, yet?\n\nTake digital collectibles on a public blockchain, as an example. They're supposed to be unique, right? That gives them rarity properties and value for that reason. And Blockchain prevents them to be duplicated because that is one of Blockchain's value proposition, right?\n\nWell, that is not garanteed in a public blockchain like Bitcoin or Ethereum. Not when everyone can hard fork the network, duplicating instantly all preexisting digital assets. Sorry, your rare digital collectible is not that rare anymore.\n\nSecond example. How can one efectively use a public blockchain to deal with real-world assets represented by digital tokens if one can't prevent the uniqueness of those tokens by preventing hard forking of the underlying blockhain?\n\nSo, should we prevent public Blockchains from hard forking to fix this problem? Should we use private/permissioned Blockchains instead, where that problem is non existent by definition, because whoever governes that network prevents the existence of hard forked derived networks?\n\nAs Andreas Antonopoulos states in one of his \"The Internet of Money\" books, it's not on intranets that you find inovative ideas, albeit they use the same technology as the Internet. It is the openess and permissionless character of the Internet that makes it a fertile ground for inovation. You do not have that in the arid soils of intranets.\n\nSo, here's the Blockchain innovation conundrum.\n\nShould public blockchain governance become more centralised in order to be compatible with use cases as the ones stated above, but at the cost of innovation? Probably not. But, if not, what kind of governance of public blockchains should we have, one that can be simultaneously innovative friendly and effectively real world use case digital assets compatible?",
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      "body": "![pic-2.jpg](https://steemitimages.com/DQmXoaiuEypAS6LE8MdbbHMG6JXiaXWf4udtsxnTbPW8u6X/pic-2.jpg)\n\nBlockchain technology was invented in 2008 and its first practical application was in the construction of Bitcoin, an invention that is both a decentralized payment network and a virtual currency. The applicability of Blockchain technology is, however, not restricted to the field of payments or the financial sector. On the contrary, this innovative technology has wide fields of application in the most diverse sectors of activity.\n\nBlockchain is a technology that allows multiple participants with a common interest in a given end result, but without necessarily trusting each other, agreeing and relying on a common view of events, without having to resort to an entity but replacing mechanisms provided by technology itself to establish this trust in a common, shared and unchanging memory of these events. These events may correspond to transfers of value made between virtual currency participants such as bitcoin, or any other changes in ownership of other assets represented digitally.\n\nBy replacing intermediaries with technology itself in the process of establishing trust, Blockchain reduces friction in business processes and simplifies value chains, theoretically allowing for dramatic cost reductions and significant operational performance gains.\n\nBlockchain not also allows for the creation of new forms of value, such as virtual currencies like bitcoin, but also for the execution of smart contracts that may automatically integrate supply chains, and for the creation of new mechanisms of behavioral incentive that reward participants, like steemit.\n\nFor all these reasons Blockchain technology could lead us to a new economic, social and political era. But why is this new age slow to come?\n\nThere are several factors that help to explain the still low level of adoption of Blockchain technology by the general public and the practically nonexistence in established organisations.\n\n\n1 - Technological factors\nBlockchain is recent and still an experimental technology. There are yet few technological standards to facilitate interoperability between Blockchain networks, their interoperability with legacy systems, and thus facilitate their rapid implementation and adoption. Existing platforms are not yet robust enough or sufficiently performing to withstand massive use, and have a low energy efficiency.\n\n\n2 - Organizational Factors\nThere are still not enough technically trained people to support Blockchain's adoption in all organizations and in all sectors of economic activity, and those that exist are mostly focused on start-ups.\n\n\n3 - Regulatory, political and risk factors\nThe use of Blockchain is not regulated which tends to discourage traditional economic agents. The existence of regulation would bring greater legitimacy to technology, reduce uncertainty, and foster its adoption. The political reaction to the unanticipated emergence of Blockchain and its penetration into systemic areas has been to make it difficult to expand, giving time to building mechanisms for monitoring and controlling the phenomenon.\n\n\n4 - Illiteracy and usability factors\nThe technology and its capabilities are still unknown to the general public and the existing user interfaces are still very complex, very technical, not very ergonomic and do not offer a good user experience for the average user.\n\n\n5 - Cultural Factors and Resistance to Change\nBlockchain promises to change the current technological, economic, social and political paradigms. It is natural that resistance to change arises from those who wish to protect situations of comfort and / or privilege.\n\n\n6 - Network effect factor\nThe number and diversity of participants in a network determines the value of the network. Absurdly, a social network with a single participant has no value. Despite their growing popularity, Blockchain-type networks are still under-invested. It will be necessary to bring more participants to the Blockchain networks so that their users can benefit from the network effect.\n\n\n7 - There is no Killer App yet\nUnlike the Internet and its use for e-mail, there has not yet been a Killer App that will drag the crowds into this new technology space.\n\n\nBut, while there are many and varied reasons why Blockchain has not yet become a mainstream technology, many people are committed to solving each of these problems. Blockchain technology is a technology with high potential and very promising. It will, therefore, surely be part of our lives in a very short time.",
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      "body": "@@ -20,13 +20,8 @@\n our \n-nice \n comm\n@@ -136,8 +136,262 @@\n ectures.\n+ Speed and resilience are two important advantages. Another important advantage, mentioned in the post, is the elimination of counter-party risk, and that changes de economics of payments. That, in my opinion, is the game changer, not technical benefits.\n",
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      "body": "<html>\n<p>Congratulations <a href=\"/@freeblock\" target=\"_blank\">@freeblock</a>, you have decided to take the next big step with your first post! The Steem Network Team wishes you a great time among this awesome community.</p>\n<hr>\n<div class=\"pull-left\"><img src=\"https://steemitimages.com/DQmaAdLUJ3yaSkmcmWECWyPGPWcjfbCoZ8Tu4RM6H4DbjCi/steem-network-thumbs-up.gif\" alt=\"Thumbs up for Steem Network´s strategy\" title=\"I suggest Steem Network´s strategy\" width=\"320\" height=\"222\"></div>\n<h1>The proven road to boost your personal success in this amazing Steem Network</h1>\n<p>Do you already know that awesome content will get great profits by following these <a href=\"/steem-network/@steem-network/spread-your-posts-through-this-proven-strategy-and-get-great-profits-in-return--for-posts-created-at-2018-01-19\" target=\"_blank\" alt=\"Steem Network\" title=\"Follow Steem Network´s suggestions to boost your success\">simple steps</a>, that have been worked out by experts?</p>\n</html>",
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      "author": "muselew",
      "body": "Nice post, long but nice.\nTo me blockchain is a structural architecture, thinking this way the current world of cryto-currences or chain don't matter too much.\n\nAbout the subject of this post, blockchain architecture if you think that 100% of nodes has a copy of the entire chain is really good to stay in 100% of uptime (considering that you have a good amount of nodes), this is more game changer than speed of transaction. The current network has lot of 0.00x cents of transaction lost each transaction, sure that 2 sides validation and faster is good. However never lost transactions or the shop say that the card machine system is off is really marvelous.",
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      "body": "@@ -1,8 +1,252 @@\n+!%5BAAIA_wDGAAAAAQAAAAAAAAwKAAAAJGUyYmYyZjdhLTFkYWItNDVlZi1iZmY0LTZhODVkMmQ0ZjJlNw.png%5D(https://steemitimages.com/DQmQb5B7zfs1WvbaA3a5Jc6M75mZXH7EPNKmGvRRzMun5Qk/AAIA_wDGAAAAAQAAAAAAAAwKAAAAJGUyYmYyZjdhLTFkYWItNDVlZi1iZmY0LTZhODVkMmQ0ZjJlNw.png)%0A\n We all m\n",
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      "body": "We all make payments. We do it usually in cash or using payment instruments such as debit and credit cards or electronic transfers. These forms of payment, looking similar, have, however, different characteristics.\n\nWhen we make the payment in cash, there are two operations, the clearing and the settlement, that usually take place simultaneously and instantaneously. The clearing of a payment transaction corresponds to the increase of funds of the receiver and the decrease of funds of the one who pays. The settlement corresponds to the operation of moving the funds themselves.\n\nThere is no doubt that in a payment transaction made in cash in the presence of the parties involved, clearing and settlement take place simultaneously and instantaneously, since money is exchanged simultaneously and, at the same time, the payer ends with less funds and the recipient with more.\n\nThis form of payment is not practical, however, when it comes to payments of large sums or when the payer and the recipient are not in each other's presence or when the payment is subject to verification of some kind of payment condition, and can therefore be deferred over time.\n\nThis type of payment generally involves payment systems that facilitate the movement of money, and instruments such as debit or credit cards, electronic bank transfers, or, more recently, mobile payments.\n\nIn traditional payment systems, the time it takes for money to circulate prevents settlement of the payment to be made instantaneously, so clearing is not simultaneous either, ie, in general, the recipient does not receive the money the moment the payer makes the payment. For this reason, in the time period that elapses between the moment of the transaction and the time of its clearing, money becomes credit and the payment transaction becomes a risky transaction, the so-called counterparty risk.\n\nPayment systems therefore exist not only to provide the technical infrastructure necessary for the movement of money but also to hedge the counterparty risk, that is, to ensure confidence in the successful completion of the transaction. The need to cover counterparty risk justifies part of the costs inherent in traditional payment systems.\n\nBlockchain technology may introduce a fundamental change in payment systems. Traditionally, instant clearing of an operation required the simultaneous presence of the parties involved, but with Blockchain technology this requirement disappears. For the first time in financial history it is possible to carry out any type of payment by simultaneously and instantaneously clearing and settlement, regardless of the circumstances of payment.\n\nIn a payment system based on Blockchain technology the counterparty risk disappears, just as if it were a cash payment in the presence of the parties., but with the innovation of being a global and scalable system.\n\nDisappearing the counterparty risk, the presence of an intermediate entity that covers the risk becomes unnecessary. In addition, since Blockchain technology is a decentralized point-to-point technology, the presence of a centralized payment infrastructure is also unnecessary from a technical point of view.\n\nFor these two reasons, a payment system based on Blockchain technology, which dispenses with the presence of intermediaries, can be an instant payment system and a more cost-efficient one.\n\nBecause it can be more efficient, Blockchain technology may reduce the cost of access to financial services, and therefore it has another advantage over traditional payment systems, that is, to reach segments of the public whose access was hitherto closed for cost reasons.\n\nBecause it can be more cost efficient, Blockchain technology allows, for example, for very low value payments, allowing the exploration of new markets of micro payments, markets that can not be explored with the payment system due to cost reasons.\n\nThere are many and varied advantages of using Blockchain technology in payment systems.\nHowever, in addition to the comparative advantages that enhance the use of Blockchain technology in payment systems, there are unique characteristics of this technology that can determine its future preponderance over traditional technologies, even the reason for the complete replacement of the latter.\n\nBlockchain technology allows the creation of so-called virtual currencies, or crypto-coins. This new form of money is a form of money that is native to the Internet in the sense that it uses the Internet as a communication and payment network in a totally decentralized way. Should this new form of money become the future form of money, Blockchain technology-based payment networks will replace payment networks based on traditional technologies.\n\nThis possibility is real not only because governments and central banks are beginning to realize the advantages of their use over current forms of money but also because this is the form of money that most easily allows the development of the so-called Machine-to -Machine (M2M) economy and Thing Commerce that we start to observe in phenomena such as Amazon Alexa.\n\nThe advantages of using Blockchain technology in payments and its potential for disruption over traditional business models have not gone unnoticed by the major players in the market. Large incumbent companies such as VISA, MasterCard, American Express and SWIFT are actively working to incorporate Blockchain technology into their networks, either through their own development or through the association with Fintechs and Ripple, for example.\n\nSimilar moves are also taking place with big Banks, of which the R3 consortium is just one example. It is very likely that in the medium term (3-5 years) we will begin to see the introduction of the first commercial solutions based entirely on Blockchain technology and a deep transformation in the payment industry.",
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      "title": "Why does it make sense to use Blockchain tecnology to process payments?"
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