8 most common misunderstandings in blockchain discussion (part 1/2)

Blockchain has the potential to be a powerful technology. Utilized in the right places it can save costs, streamline processes, and erase human errors. However, if misused the technology can also become an efficiency killer, a useless technology that contributes nothing beyond being a gimmick. At Kepler Lab, we design practical use cases for blockchain. However, even more frequently our job becomes to point out why our client’s solution doesn’t need blockchain technology. I am going to list the 8 most common misunderstandings in blockchain application, and then offer a glimpse into how blockchain can work in practical use cases.

When we talk about blockchain, we often hear two extreme responses, either that blockchain is everything or blockchain is nothing (e.g., Nouriel Roubini). People have these extreme conclusions because we fail to understand the appropriate application of the technology. Below are eight misunderstandings that commonly arise in blockchain discussions.

1. “Blockchain achieves data authenticity”

“A blockchain is an immutable database. Therefore all information on a blockchain must be correct.” The first sentence of this statement is partly correct, while the second sentence is simply incorrect. While data stored on a blockchain is typically immutable, we…