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Blockchain is developing like the internet: who will be the “crypto hotmail”?

June 15, 2020

The Internet started its life more than 30 years ago and has since permeated almost every aspect of our lives. Today it supports practically everything we do. Actually, It is difficult to imagine our life without it. Technological progress continues and we have reached a crossroads. Another technological development that I predict is likely to have a similar impact on our entire life is the blockchain. If you haven’t recognized their potential, don’t look closely.

Skeptics keep asking the same questions about blockchain technology: Why is nobody using it? What do people do with digital assets? When will people buy Bitcoin (BTC) products? These questions have become so common that they are quickly becoming a cure for insomnia.

We are looking in the wrong place. If we believe that we will soon be able to buy Bitcoin products directly from Amazon, we will not – although Amazon allows the purchase of gift cards using Cryptoactive.

Blockchain is developing like the internet: who will be the “crypto hotmail”?Blockchain is developing like the internet: who will be the “crypto hotmail”?

If we think we’ll be using Bitcoin to pay for gasoline, we won’t. All innovation cycles take time, and most of them jump through the same tires and go through the same shifts before becoming a mass market product or service. To understand the evolution of blockchain technology and the potential it has to pervade every aspect of our lives, we need to step back and consider how the internet has gone from a cool niche idea to one of the most ubiquitous forces on the planet.

We had our first experience with the Internet when companies like AOL started putting CDs in our mailbox. Those of us who were old enough to remember had these cheap 9,600 baud or 28.8K modems. We were sitting there listening to the sweet tones of these modems trying to connect to the internet. These service providers were called ISPs – Internet service providers, in Spanish Internet service providers – and without them we would not have had the World Wide Web. It was fun to play with our new toys. At this point in history, the web use case was nothing. But we still connect. It sparked our interest and we were all fascinated.

So we didn’t need a “use case” for the Internet or wondered why it existed. Not once did we ask: Will the scope of the Internet expand? We did not complain that we were unable to send a film through the film or that the information it was providing was too slow. Still, no one suggested we turn it off and go home. Instead, we suffered countless hours of failed connection attempts just because we could and because – some of us – didn’t have a social life.

This development of the Internet is progressing rapidly and finally we come to electronic commerce. Contrary to what seems now, e-commerce was slowly but surely coming. We didn’t have to “go online”. Instead, we always end up online. We start buying. We start buying and selling. Before we knew it, we had a massive use case.

What did everyone need before they could buy from Amazon or create accounts on social networks like ICQ? Email address. Without the modest email address, almost no service was available on the Internet.

The path of blockchain evolution

So the key here is: How is this development path related to blockchain technology and cryptocurrencies? In cryptocurrencies, we first need cryptocurrencies. With the internet we needed the connection. In order to access or purchase this cryptocurrency, it must be sold to us by the exchanges. This is similar to the ISPs in the Internet example. These exchanges will continue to grow and, like ISPs, will eventually become commodities. As with internet access, the first stage of blockchain technology has already been completed. The second wave, similar to broadband, is coming.

The first wave of email addresses was provided by the ISP, and then we had independent email providers. They all needed desktop apps and we downloaded our emails – a huge pain in the back. Then came Hotmail, a game changer. It changed the user interface and made it easy for everyone to get an email address and read their emails from anywhere. Suddenly we were able to use this information to build relationships with every company on the Internet. You could talk to us.

This raises the question: what is the blockchain equivalent of email addresses? In a nutshell, the wallets. What do we have to have before using cryptocurrencies? Purses. Without a place where we can send and receive cryptocurrencies and where others can receive them, we cannot use cryptocurrencies.

The first wave of wallets, like the first wave of e-mails, was provided by the stock exchanges. The second wave will be independent. There won’t be one winner, there will be several, like the race for the email address.

It depends on the utility. Currently, the user interface for a cryptocurrency wallet is not easy. Wallets are also much more complicated than email. Each blockchain currently has its own wallet. We need some kind of interoperability between them – a master wallet or even sub wallets. We need different wallets for blockchain. How do we do it Possibly a master wallet or a container in which, like you have multiple email addresses that send the email to an account, you have sub-wallets.

The key to the next phase in the development of cryptocurrencies and blockchain technology are wallets. Breaking through this challenge could be a key architect of our future. I would bet on it, but unfortunately I don’t know who it will be. Let us experience it together.

The views, thoughts and opinions expressed here are only those of the author and do not necessarily reflect or represent the views and opinions of Cointelegraph.