CRYPTONAIRE
WEEKLY CRYPTO investment journal
BLOCKCHAIN INSURANCE THE FUTURE – ATROMG8 NEW DEFI SOLUTION
Blockchain insurance has been widely spoken about and with the insurance sector always looking to embrace new technologies, open networks, and innovative information systems. Given the above scenario, Smart Contracts and Blockchain are fully capable of automating the insurance markets, through locking as well as unlocking of funds. As far as the blockchain technology is concerned, it has created ripples in the market, especially with the massive success of Bitcoin as well as other cryptocurrencies. Blockchain offers a simple yet effective premise for resolving logistical and financial problems. It is highly useful in cases where several parties are involved in completing transactions. Blockchain is also used where confidential data requires sharing, costs of transactions are high, as well as transparency is of paramount importance, such as in the insurance sector. Read on to find out how more about the future of blockchain in the insurance sector and how
BLOCKCHAIN INSURANCE – WHY BLOCKCHAIN? Blockchain, in essence, functions as the distributed ledger system. It works as a single database of encrypted and validated transactions adhering to a defined protocol. It permits a validated, central data repository comprising of all the rules and transactions instead of each participant such as the insurer, customer, or the intermediary, managing their database-which may or might not be fully upto-date and coordinated. Thus, blockchain entails a range of data as well as transactional validations by different parties in the chain. These parties are the ones that participate in an insurance contract and at times who aren’t, like the insurance tech firms included within the insurance ecosystem. Cryptonaire Weekly | October 27th 2020
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