As 2015 came to a close and the new year began, many thought leaders in the financial technology space made their predictions on the trends and innovations that will get us excited in 2016.
One of the most prominent technologies that repeatedly appeared on these lists was the blockchain. More familiarly known as the technology behind the bitcoin digital currency, blockchain has emerged from the shadows of bitcoin with a new, solo image.
In an age when companies are looking for innovative ways to optimize internal processes, make and verify transactions and increase data management and security practices, the blockchain stands out as the candidate to solve their problems.
Simply put, blockchain is a public ledger of transactions distributed among a large network of computers without a central authority. Bitcoin still remains the largest example of the blockchain technology, but there have been other examples of distributed ledgers springing up around the world.
In bitcoin’s early years, using the blockchain on a large scale was just as strong a technology as a philosophy and belief in a new decentralized economy that would serve the masses. Hence, it’s no surprise that many startups in the space see that blockchain has a fitting case for financial inclusion to provide better, faster and cheaper financial services to those who are outside or heavily burdened by their local formal financial systems.
At Accion Venture Lab , we have reviewed and spoken to a multitude of early-stage companies looking to use both bitcoin currency and the underlying blockchain technology to expand financial services throughout different emerging markets.
Companies — like BigPagos, Bitex.la, Bitso, Volabit, Wayniloans and Blinktrade in Latin America; BitPesa, Atlas and Switchless in Africa; Coins.ph in Asia; and Abra and Allaire in the U.S. — are trying to tackle real problems and inefficiencies in the market, whether […]
