Alexander Borodich: ‘All statistical data will be moved to blockchain sooner or later.’

The new generation blockchain can provide business with the same transaction speed as Visa or MasterCard, Blockchain platform Universa founder Alexander Borodich said in the Kommersant FM interview.

https://www.kommersant.ru/doc/3638029

- How is the blockchain business currently developing, both globally and in Russia? And what is the connection between the cryptocurrencies’ exchange rate dynamics and the business development?

- The thing is that blockchain technology, which cannot be seen, marks the beginning of a technological revolution coming to replace the internet-wave technologies. All future decentralization technologies will be based on what we call today blockchain.

- Even the oil deals are registered on blockchain.

- Futures contracts. Diamonds are marked with a special code that is stored on the blockchain, medical history, medical records and anything else. All statistical data will be sooner or later moved to blockchain.

- I know that there is a certain issue associated with the traffic capacity, as blockchain is a decentralized system, and many are left unsatisfied with the transaction speed. Speaking of the financial transactions, as far as I know, a few banks carried out their own tests, analyzed the results and came to the conclusion that a centralized system serves better, as it can deal with them faster. So is there anything else besides registering of certain data?

- Well, yes and no. These banks tried to use the blockchain technology, applying the first generation blockchain, which could not boast about the high speeds of transactions. For instance, Universa public blockchain can complete 20,000 transactions per second. This is almost as good as what Visa has (they claim 50,000 transactions per second). At the same time, we’ve promised to reach the same figures next year, and we are very likely to do so, which will make Universa blockchain suitable for financial transactions.

- Are banks interested?

- Yes, they are. Even at the Forum we are currently discussing the possibility of trial tests with a few banks to see if the new generation blockchain can handle financial transactions. The advantage of blockchain is that this technology allows not only storing information in the Internet and register certain data, but also money transferring, which under the smart contract the party should do first. Here in Russia there is quite a problem — for example, under the contract provisions one party promised to transfer money to the other, but after that CEO asks the accounting department to linger as long as possible, which happens simply because the company needs this money right now. And that is exactly what smart-contracts are meant to eliminate.