The Societal Implications of Blockchain Proliferation

TL;DR

This paper explores the broad societal impacts of blockchain technology, highlighting its potential to improve financial inclusion and trust, while also addressing its negative uses and environmental concerns.

Contribution

It provides a comprehensive analysis of blockchain's societal implications, balancing its benefits in remittances and development against its risks and environmental impact.

Findings

Blockchain can improve remittance efficiency in developing countries.

Cryptocurrencies are linked to illegal activities like money laundering.

Environmental concerns are significant with current cryptocurrency practices.

Abstract

Blockchain and its distributed ledger technology have far-reaching implications for consumers across the world. Cryptocurrencies like XRP work to solve key issues in the remittance industry, targeting corridors like Mexico where foreign remittance fuels economies. Blockchain's libertarian principles have the potential to change lives in the third world, replacing corrupt infrastructure with trust-based solutions. While this technology can be used to significantly improve lives, it has a wealth of destructive applications. Bitcoin's blockchain and nefarious websites like the Silk Road have fueled an underground market of drugs, money laundering, and terrorism, complicating digital currency legislation. The negative environmental effects of cryptocurrency may also contribute significantly to global climate change. Negatives aside, cryptocurrency still proves to be a valuable commodity in technological development.