Digital Transformation - Next Gen

 
Financial Transactions - decentralized
A new breed of business and financial transactions are at the frontier of this decentralized concept of transactions and are being tested and under much scrutiny by peers, competitors, governments, regulatory agencies and others. 
This concept supports the buyer/seller transaction whereby the new digitization of the transaction is meant to reduce the number of intermediaries involved in the transaction. As such, the overall cost of the transaction is less to both the buyer and the seller and the centralization of the record is less subject to fraud or repudiation.

The argument is that multiple computing resource agents participate in holding copies of a transaction via a concept called the public ledger thereby preventing it from being corruptible, makes it immutable, indisputable, and even transparent but anonymous.  Additionally, as the transaction is created in real-time, the data is assembled using an algorithm that forms what is referred to as a block chain.  The block chain is therefore a sequence of records linked together using an encryption algorithm that relates these component records to each other.  Supposedly, even if a portion or a component chain of a record is missing or becomes corrupted or lost, the complete record cannot be lost due to the decentralized-distributed nature of the original record.  The concept is based on an original paper titled Bitcoin: A Peer-to-Peer Electronic Cash System (Bitcoin.org).

The first known implementation of the block chain concept is the development of what is called bitcoin back in about 2009.  The bitcoin concept entails that a software-like token holds a value within the network.  Willing participants agree to buy and sell these tokens thereby creating a trend in the price of the token much like the way a currency or stock has a volatility trend.

Since the entire process entails strong cryptography with use of the public/private keys, the bitcoin is referred to as a crypto-currency.  For a quick summary of this new form of financial transaction and currency that some believe is still in an experimental stage:  

  • A global financial network
  • Scores of crypto-currencies exist today
  • Another type is called Ethereum
  • Removes third-parties from a transaction
  • Not controlled by a bank or government
  • Highly speculative

Decision-making questions for you
  • Has any aspect of this new system, network, or participating player been subjected to fraud or hacking?
  • Has this form of crypto-currency become stable enough as a secure investment?
  • Are you confident of all the risks inherent in the investment of such a currency?
  • Have you read each and every point of the Terms and Agreements pertaining to any component use of these systems?

References
Bitcoin.org., A Peer-to-Peer Electronic Cash System. Retrieved from https://bitcoin.org/bitcoin.pdf
Status
  • Much research is still underway
Organizations involved in collaborations and studies
  • Accenture
  • IBM
 
1.  Register to receive a complimentary one week consultation Support
2. Anytime, anywhere your business or an employee experiences a crisis or difficult decision-making situation or event immediately email, call or text for on-the-spot support from Management Forensics Institute
3. Management Forensics Institute will review the situation and advise you on the next smart course of action not leaving anything to chance
4. Let us help you identify serious liabilities and prevent the next Enron, Water Treatment, Airlines, or Auto crisis so that you protect customer satisfaction, business value, investment value and personal, professional, organizational and brand reputations
5. Complete the registration form below and "proactively" start receiving valuable protection and support
Request Management Support

We advice on business, science, and technology-related management needs for smarter decision-making.  Contact us for any of the following:
  • Problem-solving
  • Project Management Office support
  • Agile product and service management support
  • Idea generation and innovation
  • Tips, techniques and strategies for improving decision-making
  • Submit a description and we will provide you a preliminarily assessment and timely response.
    Max file size: 20MB