Refer to governing a network in a distributed fashion, which means that no single authority has absolute rights to exert power in the network, whereas data is copied and spread across a network of computers.
Published in Chapter:
Revealing the Disintermediation Concept of Blockchain Technology: How Intermediaries Gain From Blockchain Adoption in a New Business Model
Teck Ming Tan (University of Oulu, Finland), Jari Salo (Unversity of Helsinki, Finland), Petri Ahokangas (Unversity of Oulu, Finland), Veikko Seppänen (Unversity of Oulu, Finland), and Philipp Sandner (Frankfurt School Blockchain Center, Germany)
Copyright: © 2021
|Pages: 15
DOI: 10.4018/978-1-7998-7603-8.ch006
Abstract
Typically, people have a misconception about blockchain as they associate this technology with cryptocurrency. This chapter does not focus, however, on bitcoin or cryptocurrencies that pertain to its intrinsic value. Rather, the authors focus on the disintermediation feature of blockchain technology by providing insights into how this technology could substitute for the functions and roles of the intermediary. The findings show that blockchain technology is not equipped with financing and physical distribution functions. The current research further demonstrates that most of the blockchain service providers that are listed in the Liechtenstein Blockchain Act are required to perform the traditional roles of an intermediary. Thus, blockchain technology is not found to support a full concept of disintermediation. This chapter is vital in order for existing intermediaries to gain a deeper understanding of how to analyze and optimize their existing functions and roles while adjusting their business model in the token-based economy.