Facebook ongoing data issue and blockchain (Could this be the beginning of a "BIG" bull run?)
So not sure if many of you have been watching the news about Facebook and its data issues?
I've been following it mainly because it's share price has been tanking for a few days now, which has led me to follow with whats going on. For those who doesn't know whats been happening or wants to know more heres a link:
In short its basically saying that users' data are being extracted by 3rd party for their own usage. The "most serious" one is that it released 50million users' data to an analytical firm that apparently helped President Trump's election.
Now I must admit I don't know the exact details of how this works...but from what I've gathered is 3rd parties can connect to Facebook to their apps (like when you can sign up to something just by clicking on the FB link rather than having to enter all your personal details etc) and, from what I remember when I personally have done it myself in the past, you then tick a box consenting for the company to use your FB data. But don't quote me on this please.
By now you might be thinking whats this got to do with blockchain? Well from my very limited knowledge blockchain is meant to be a lot more secure and private. Again...I'm still new to cryptos and blockchain and I'm not very tech-savy and so I'm not going to pretend to be an expert on how this works. And rather than me making up things heres a link that explains how it works.
https://www.acronis.com/en-us/articles/data-protection/
With this ongoing data issue FB will have to do something...or perhaps it already has given that a few months ago Mark Zuckerberg announced that it would explore blockchain. This could very well speed up given the growing attention of FB's data problem.
For those of you who don't know...FB's market cap is currently just under half a trillion USD ($500Bn) and thats about 40% more than the entire crypto market cap at the moment. It is currently ranked 8th biggest in the entire planet. Now of course data issues doesn't just concern FB, what about Google? Amazon? various retail and investment banks etc etc If all these companies start having to address their data issues or making them even more secure then blockchain/crytos should rise in demand/popularity.
My personal guess/prediction is that these companies are new to this industry and probably lacks the time to explore every single crypto to find the "best" one to adopt. So what could happen is they'd go for the more "popular" one or a selected few and start exploring and all. The basic start will always be to look at the top 5-10 currencies. Then the next logical criteria's would be price, security and process speed. I'm always going to be a bit more biased towards ETH as thats my main investment but what makes me think ETH will have a good chance to be selected are:
There is the Enterprise Ethereum Alliance where there are numerous big corporations thats already part of the group. The likes of J.P Morgan, Intel, Santander, Microsoft, BP, CME Group etc etc)
It's actively addressing their issues; Casper (improving speed and security) and Loom network/Sharding/Plasma (improving scalability)
It has a "leader", unlike say Bitcoin, so these firms actually has someone to discuss with if needed.
But having listed these points I do think that cryptocurrencies can co-exist. What I mean by that is say ETH could be used for smart contracts, Bitcoin for store of value, Ripple for banking transactions, Litecoin for customer payments...so each specializing in their own area...just like Amazon for shopping, Google for searching and FB for social networking.
Lets see how this all plays out! Please note THIS IS NOT TRADING ADVICE!