“Blockchain 3.0” Uses Cloud Computing To Create An Ecosystem For Building and Deploying Decentralized Applications

The Blockchain 1.0 and 2.0 generations have been focused primarily around Bitcoin, emerging cryptocurrencies and impressive ICOs (initial coin offerings). Now, Blockchain 3.0 is coming into play and will target real-world use cases to encourage the mass adoption of blockchain technology.

One key aspect the blockchain 3.0 generation focuses on is the development of “Dapps” - decentralized applications. Unlike today’s common apps, such as Uber or Gmail, dapps do not require “middlemen” to function. Dapps are revolutionary in that they connect users and providers—customers and businesses—directly.

One of the first companies to target the development of Dapp growth is ArcBlock. ArcBlock serves as the world’s first blockchain ecosystem for building and deploying decentralized applications. ArcBlock is aiming to seamlessly connect between the existing system and services, and blockchain networks, throughout dynamic industries. This will further empower blockchain technology to be implemented into the real world for long-term use.

“When people talk about blockchain today, they only see crypto currencies represented by Bitcoin,” ArcBlock’s Founder and Lead Architect, Robert Mao said. “Now, blockchain is evolving to a stage with decentralized applications at the core. In the future, the value decentralized apps will create will exceed what cryptocurrencies have created today. We founded ArcBlock and built a global team with the purpose to create the next-generation blockchain ecosystem for building and deploying decentralized applications. We are extremely excited about the bright future of blockchain.”

Why Blockchain Technology Isn’t Being Used

Since 2014, Mao had been focused on the application of blockchain technology in non-financial fields. His observations, along with those from his colleagues, have revealed five challenges blockchain technology poses for developers and business owners:

#1) Underperformed Functionality

The blockchain that Bitcoin is built on is designed to handle just seven transactions per second. Ethereum can only handle a few more, which was demonstrated during December of last year with the traffic jams on the Ethereum blockchain due to the CryptoKitties application. This is a clear example of the limitations facing blockchain technology in terms of handling large amounts of concurrent users. As a result, blockchain technology is less competitive in comparison to non-blockchain alternatives.

#2) None Consumer Friendly

Nearly all blockchain applications currently require users to either run a blockchain node or install a “light node”. This requires users to have an understanding of blockchain technology, which is also preventing its expansion for wider use cases.

#3) Expensive

The extremely high cost of using blockchain technology is also a major barrier to mainstream adoption. This limits developers who need the flexibility to build free services. Similar to the Internet, blockchain technology should be able to support free applications. Developers and businesses should only charge users for their innovations and development of the app, instead of charging transaction fees, etc.

#4) Locked-In Platform

Most of the time developers have to decide which blockchain to support from the beginning to the end. Infrastructural design and code are usually secured within the blockchain platform and are irreplaceable once applied. Many blockchain platforms cannot provide optimal user experience without support on various blockchain technologies.