How Blockchain Will Change the Sharing Economy

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The blockchain technology is about to revolutionize the sharing economy the same way the sharing economy changed the global economy.

Imagine Uber without any corporate employees or direction. The drivers would be the ones who get the whole price of the run. This is a true sharing economy, unlike what we consider it today. Uber and Air BnB are not really sharing, this is why they are profitable companies, they are taking a portion of every run or rental that they sell.

The money that would otherwise be taken by the company would be redistributed and shared between everyone providing a service, which would reduce inequalities. Uber and Air BnB are centralized company that are worth billions of dollars and a blockchain could do the same work their platform does but in a decentralized way, which would re-inject a lot of money into the society instead of having it all in the shareholder’s hands.

A blockchain can help unlock the sharing economy by reducing the cost to operate or create an online platform. Instead of storing all the information in one centralized database, a blockchain keeps record of a normalized set of information, makes multiple copies and spreads them among all the nodes of a network. This is unique to the blockchain technology because it is possible to know every owner of these nodes, so this technology could help the sharing economy by a lot.

Anything that has an internet connection can have a perfect record of who owns what. For example, if someone rents your house, with a blockchain technology, he will not have to use Air BnB because you could program your front door to open only when someone rents your house and locking the door and paying you once he checks out.

The blockchain technology can change many industries such as the sharing economy, which would benefit to everyone by redistributing money to the workers instead of boards of director. It also reduces the risks of corruption and inequalities, as all the transactions of the cooperative companies would be stored publicly in the ledger.

 

 

Credits:

https://www.forbes.com/sites/omribarzilay/2017/08/14/why-blockchain-is-the-future-of-the-sharing-economy/#535643473342

https://bitcoinmagazine.com/articles/decentralizing-sharing-economy-blockchain-technology/

 

 

 

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