With blockchain playing a key role of multiple businesses it is key to see why the investment has been made to expand it. Although this is not yet a replacement for traditional currency, blockchain is helping to keep finances in order, however, many would rather opt for same day loans when faced with a financial emergency as they feel this is a recognized currency that will be in your bank account quickly but could this be about to change? In this article, we are going to look at how blockchain is playing a big part in the UK economy in 2019 and beyond.
The Relationship With Banks
When looking at the role of blockchain technology in the British economy there is a large number of restaurants and even banks that are adopting the technology. With Banks such as Virgin Money, Barclays and the Bank of England all adopting the technology this is a decentralized way of trading and storing currency without influence from the banks. This is beneficial for the banks to adopt as many are opting for this due to lack of corruption as well as the minimal impact from inflation.
Investment From The Government
Another key role of blockchain in the UK economy is the investment that it is receiving from the government. With as much as 10 million pounds in the year 2019. It is said that the digital sector contributed a total of almost 120 million pounds in 2016 and generated up to around 1.5 million jobs. This is the second fastest growing sector in the British economy and therefore it is beneficial for the government to invest as this return of investment is far greater as a result thus helping the economy to grow.
Though blockchain is highly popular in the UK already, there is a vast increase in the number of people opting to use the technology post Brexit. With the impact of Brexit said to affect the great British pound by as much as 35 until 2020 many are looking to blockchain technology to help boost the economy should we find ourselves in financial trouble. Though there is no official plan in place, the investment from the British government suggests that this technology could be enhanced on a much larger scale to fund projects and boost the economy over the course of the year.
Another way that blockchain has helped the UK economy is through the lack of corruption. This is beneficial for those using technology as the money does not get taken away on taxes. This is great for those businesses that use the technology as these businesses are much more likely to thrive. This is due to all income being stored in a personalized wallet with a customized key. This, therefore, ensures that the wallet cannot be hacked and that every transaction cannot be tampered with. This is beneficial for the economy also as there is nothing hidden. Every transaction can be traced back to the individual key and the coin be traced to the original owner.
With all this in mind, there are a number of ways that cryptocurrencies such as bitcoin have affected the UK economy for the better and will continue to do so throughout the current and future political uncertainty and economy.