A key factor to its rapid growth is the backdrop against which it has launched. Financial institutions and infrastructures are under pressure both to comply with regulation and to reduce cost. That pressure coincided with this technology coming into existence. It’s the intersection of requirement and opportunity that’s causing the rapid growth.
The technology will make moves from “proof-of-concept” technology into production, especially in cross-border payments and trade finance. In this book, we will examine the development life cycle that is emerging with the blockchain. Having been developers for over 30 years, we have witnessed lots of changes in technology starting from the IBM Assembler/COBOL days. We like to kid our colleagues with the fact that we may have worked on the first blockchain. Back in 1974, no Wall Street firm had its own computer. All processing was done by the famous payroll firm Automatic Data Processing (ADP), located a few blocks away from the heart of Wall Street. The licensed securities exchange firms would drop their stack of punch cards containing the transactions into a designated dropbox.
They also dropped off one of their master data magnetic tapes containing the sort of “blockchain”—that is, all transactions to date for that particular organization in sequential order stored in IBM’s QSAM format.