The Blockchain Revolution and Economic Changes
Gilbert Verdian and The Blockchain
Gilbert Verdian, CEO and Founder of Quant Network, has been a believer in blockchain technology since he first read Satoshi’s Whitepaper on Bitcoin. An expert in cybersecurity, Verdian knew there were problems with security and major inefficiencies with the first versions of the mainstream internet. Blockchain technology could solve most of them. He joined Santiago Velez to discuss how his Overledger project and other blockchains will soon become a major part of our everyday lives.
Problems With Today’s Internet and The Blockchain Solution
Online banking seems like a major convenience. However, it is only set up for core banking, not e-commerce. Added to that, the hundreds of millions each bank spends yearly for cybersecurity, amounts to a huge expenditure. Even with all of that effort, “you still have people clicking on links, and data breaches happen,” Verdian explains. Blockchains will expand capabilities and significantly reduce costs.
“We can actually trust the network because we have the security embedded within the protocols of the network,” Verdian continued. “When you are transacting something from A to B, you do not have to have SSL tunnels and IDS, IPS systems to make sure it happens. Then all this stuff on one end and reconciliation on the other end to make sure the transaction was settled and completed, you just send it to the network, and the network handles that for you.”
The Blockchain and The Financial System
The current financial system was designed in the 1950’s & 1960’s. It has largely worked in the time since it was developed and evolved from paper to electronic then digital. However, it is now antiquated as it stares down decentralization.
The problem many old systems face is they are made to sound more complex than they really are. They keep out competition and inflate costs to the consumer.
Blockchain technology is inevitable. China has made the first steps towards implementing its own Central Bank Digital Currency. Raoul Pal recently outlined why central banks around the world will begin adopting Digital Currencies.
Verdian’s Overledger project aims to decentralize many of the friction points that plague online banking and e-commerce. It is a project open to developers and customers.
“We have got this huge ecosystem of resources that people can transact and access between each other,” Verdian said. “You can pay for that within the ecosystem using QNT (The Overledger token).”
This ecosystem should open up pathways to both consumers and companies. Consumers who would not have access to current products and services will now be able to participate. Companies who could not reach those consumers will now be able to expand their client base. Complexity and risk controls will now be built into the very systems that enable that communication and will save costs.
Collaboration of The Current System and Blockchain
“It is a bit dystopian to think that we are going to turn everything that we have ever done off because it is centralized, and then go into a complete decentralized model with complete decentralized governance, and it is going to work,” Verdian stated.
He did not mince words regarding the ideals that think we can simply change the entire world with blockchain technology. Many systems including health, finance and economic institutions are integral to countries and cannot be turned off.
“We need to take those existing systems and compliment them, Verdian said.”
The complex and inefficient institutions will be improved by blockchains. This is an area where Verdian sees the upstart DeFi projects finding a home. On their own they are too small to make a noticeable impact. They can be a bridge, open doors and increase value.
For more on Blockchain technology, Real Vision’s Ash Bennington conducted a deep dive in 2018. (Free to watch) Discover more about why blockchains are designed to be honest and trusted in our interview with Yin Wu from 2019.
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