The remarkable recent rise in Bitcoin prices has revived the imagination of many investors, but Blockchain technology isn’t just about money. In this article, we will analyze the impact that this revolutionary technology will have on classic web hosting services.
The concept of cryptocurrency is not a rocket science. In fact, this means of exchange is no more complicated than traditional currency. However, it needs a secure and reliable environment in which to operate, and this is provided by Blockchain.
What is Blockchain? There are many misunderstandings related to this, but for the purposes of this article, we will simply define it as a distributed spreadsheet. We all know Excel or Open Office spreadsheets, but what makes Blockchain so appealing is the way it is distributed.
Like Torrent files, Blockchain is a peer-to-peer network where there is no need to guarantee trust between the parties. Thanks to modern cryptography, trust is maintained at the level of a single registry rather than the party that hosts it.
Okay, now we understand the basics of the cryptocurrency revolution, but how can we ask ourselves, how does it affect web hosting services? Essentially, in its simplest form, this would suggest not only selling your services in your local currency, but also in Bitcoin and other cryptocurrencies.
However, this is not the end of the revolution. Bitcoin and other digital currencies need wallets to function and therefore there is huge potential for traditional web hosting providers. If you trust your customers and host their sites, why not host their e-valet?
Each cryptocurrency transaction is a de facto transaction between two electronic wallets. All exchanges are maintained through the portfolio and you can also provide an interface for your customers to access. This factor is critical to fully understanding the impact that Blockchain can have on your web hosting business.
That said, Blockchain isn’t just about money. The latest versions of its protocols also offer the opportunity to enact any form of contract between the parties, whether it is a cable TV subscription or, in fact, any other type of bill. They all need to be stored somewhere and there is a place where web hosting companies can participate.
The portfolio is therefore the key to making the most of Blockchain’s potential. Once you understand this, what should be your next steps?