Bitcoin's design allows developers to encode small pieces of information into each transaction. Using a predefined protocol, developers are able to build an entirely new alt-coin on top of the existing Bitcoin blockchain.

Several examples of blockchain protocols exist, each with different characteristics. Using these protocols, the developers can define various types of units of accounts, create assets and tokens, and transfer them using standard Bitcoin addresses.

This opens up the blockchain to many useful applications within the business world. As a real world example, the NASDAQ was the first public company to issue private equity using the Colored Coins protocol. With a high level of transparency, the ability to easily audit and resist corruption and manipulation and easily exchange assets using blockchain technology may bring immense value and creditability to the financial world.