Blockchain technology is all set to revolutionize a number of online services we use. The tech is also expected to transform the nature of transactions and trade across the world.

Let's throw some light on few emerging blockchain development trends in 2021. 

1. An Expected Rise of Federated Blockchains

Federated Blockchain is in fact one of the best blockchain trends in the industry today. It is nothing but only an upgraded form of the basic blockchain model, which makes it perfect for many specific use cases. The federated blockchain functions under different authorities instead of following a single secure, trusted node.

Experts are of the opinion that in 2021 there will be an increase in the usage of federated blockchain as it provides private blockchain – a more customizable outlook. Conceptually federated blockchain is are quite similar to private blockchain, with a few added features.

2. Stable Coins Are Going to Dominate the Crypto Space

Cryptocurrencies are possible because of blockchain technology. 

Cryptocurrencies like Bitcoin run on top of their own blockchain platforms. Many cryptocurrency prices are subject to volatility than traditional asset prices. Though stable coins are in their initial phase and it is predicted that by 2019-20 blockchain stable coins will achieve their all-time high. This high value of the stable coin will make them the second most looked forward emerging tech trends in the industry.

3. Blockchain as a Service (BaaS)

Another emerging blockchain trend is BaaS or Blockchain As A Service. BaaS is a new blockchain trend that is currently integrated with a number of enterprises as well as startups.

BaaS is a type of cloud-based service that enables users to develop their own digital products by working with blockchain. 

Most of these digital products are smart contracts or applications that can work without any setup requirements of the complete blockchain-based infrastructure. Microsoft and Amazon are few of the known companies developing a blockchain applications that provide BaaS service.

4. Blockchain is Expected to Transform Social Networking

The introduction of blockchain in social media will be able to solve inherent problems related to privacy violations, notorious scandals, data control and content relevance. Hence the blending of blockchain in the social media domain is another emerging technology trend.

Implementation of blockchain in social media will ensure that all the published data in the social media domain remain untraceable and cannot be duplicated, even after its deletion. 

5. Interoperability Among Blockchain Networks

Blockchain interoperability makes it convenient for users to transact from one blockchain network to others. 

In other words, blockchain interoperability is the ability to share data and other information across multiple blockchain systems as well as networks. This function makes it simple for the users to see and access the data across different blockchain networks. 

6. The Rise of Ricardian Contracts

A Ricardian contract is actually a human-readable legal agreement that is also agreed and signed upon by both the parties involved in the contract. Thereafter, it gets converted into a machine-readable contract that clearly defines the listed intentions of both the involved parties.

The flow of this Ricardian contract can easily automate the operations on various blockchain applications that are based on this technology. Ricardian contract can be stated as a smart contract and is both machines and human-readable.

7. Hybrid Blockchains

Hybrid blockchain is an emerging concept in the blockchain domain. It can be defined as the blockchain that attempts to use the most appropriate part of the public as well as private blockchain solutions. Hybrid blockchain operates in a closed ecosystem, hence every piece of information on the network remains secure.

Transaction costs are said to be much lower in hybrid blockchains as the influential nodes in the network make the process simple and quick to verify transactions. 

8. Content Streaming to be More Secure With Blockchain

Content Streaming is one of the emerging blockchain technology trends of 2021 that will be highly popular in the near future. Popular movie streaming services like Netflix and Hulu can incorporate blockchain technology to store user data in a more secure and easily accessible manner.

Video, music and social media streaming companies can also opt for blockchain technology that will enable third parties to not only read, but even write information on the respective blockchain. 

9. Covid 19 Will Continue to Accelerate Enterprise Blockchain Adoption

Every business has been affected by the lockdowns and restrictions triggered by the Covid-19 pandemic. 

One benefit of the pandemic has been that it has forced organizations to revamp their processes and digitize their operations in order to continue their day to day functions. 

Blockchain technology will help deliver solutions which will establish trust and transparency. Organizations will continue to use blockchain databases and features in the solutions they create.

10. Blockchains Will Establish Secure Digital Identity

We leave extensive digital footprints when we transact across the internet. Digital identiy solutions will help secure our online presence and drastically reduce online fraud and identity theft. 

Blockchain technology stores data in a decentralized, trusted and immutable manner. Blockchains can ensure that a user’s single digital identity is stored in a secure and incorruptible manner. 

Source: Analytics Insight