10 Things You Should Know About Blockchain

10 Things You Should Know About Blockchain

Blockchain, cryptocurrency is becoming more and more pertinent to our financial future. Concepts like Blockchain continue to revolutionize how we live and transact. Banks and financial institutions are speaking about cryptocurrencies (often referred to as Stablecoin) using Blockchain. They are beginning to utilize and pilot blockchain technology that may drive the transactions of the future. 

Blockchain term is becoming a buzzword in circles around the world for its capability to change the market of value as it is currently realized by us. Blockchain technology itself is complicated for non-techies to understand and is still in its early stages and still evolving. Entrepreneurs and businesses around the world are looking at ways to utilize blockchain technology as it starts to become the big innovation of the century.

It is, for this reason, essential to understanding what is blockchain technology?

In brief, the blockchain network is a peer-to-peer technology to simplify any transactions of value attached. Consider Blockchain as a program such as Uber - except rather than taking taxicab out from your equation to get you out of place A to place B, you might take out any 3rd party body, if it is banks, authorities, or streaming solutions, to be able to acquire anything from cash to land titles to audio royalties from individual A to individual B. The blockchain technology's real advantage and benefits to the end-user side are - all the really technical, complex nuts and bolts of a blockchain process checking performed behind the scenes.

Transfer of assets of value between peers is already sending the chill down the spine of financial institutions globally. This is a huge blow as well as the biggest opportunity to all existing financial institutions and system providers.

It is obvious that with so much push and hype around blockchain-based systems and implementations, it is the financial future of the world. Below are 10 things one should know about Blockchain.
  1. Blockchain is an algorithm that enables transactions to be split into 'blocks'
  2. These blocks are then added to a 'chain' of blocks with the use of a cryptographic signature. Hence called Blockchain.
  3. First implemented in 2009 as a core component of the digital currency bitcoin. Blockchain helps bitcoin serve as the public ledger for all transactions.
  4. Blockchain implementation in bitcoin is described in a paper published by Satoshi Nakamoto,
  5. There would not be Bitcoin or Etherum without a blockchain algorithm
  6. The Blockchain is a shared public ledger (distributed) on which the entire Bitcoin network relies.
  7. All confirmed transactions are included in the Blockchain or blockchain.
  8. Blockchain transactions are broadcast in nature
  9. Blockchain is an open ledger with all decentralized and immutable transactions. There are private Blockchain networks often called permissioned Blockchain network where transactions are visible to only permitted entities. There are also public Blockchain networks that are visible to everyone on the network.
  10. Blockchain can be used to exchange or transact any assets of value viz. money (Bitcoin), smart contracts and it helps ensure trust between two peers without involving any third party.
  11. Blockchain is now often referred to as a transactional layer, backbone, for the internet. 
We have covered a comparison of the hottest blockchain-based implementations. Below is the list
Side by side differences,
What's your opinion about Blockchain? Do tell us in the comments below.

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Mandar is a seasoned software professional for more than a decade. He is Cloud, AI, IoT, Blockchain and Fintech enthusiast. He writes to benefit others from his experiences. His overall goal is to help people learn about the Cloud, AI, IoT, Blockchain and Fintech and the effects they will have economically and socially in the future.

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