BlockChain, in the simplest terms, it can be described as a data structure that holds transactional records and while ensuring security, transparency, and decentralization.
What is BlockChain?
First born in 2008, blockchain’s claim to fame comes from its role as the underpinning technology for Bitcoin, but it has evolved to be used for much more than cryptocurrencies. While it is many things, it is a decentralized, independently verifiable, and immutable ledger at its core.
A BlockChain is a decentralized digital ledger that saves transactions on thousands of computers around the globe. These are registered in a way that inhibits their subsequent modification. BlockChain technology increases the security and speeds up the exchange of information in a way that is cost-effective and more transparent.
Why BlockChain?
BlockChain Currently, most people use a trusted middleman such as a bank to make a transaction. But BlockChain allows consumers and suppliers to connect directly, removing the need for a third party.
How a BlockChain works?
The BlockChain is basically a distributed database. Simply put, the BlockChain is a shared single version of the truth of anything digital. It’s open source, so anyone can change the underlying code, and they can see what’s going on. It is a database technology, a distributed ledger that maintains and ever growing list of data records, which are decentralised and impossible to tamper with. It’s truly peer to peer; it doesn’t require powerful intermediaries to authenticate or to settle transactions.
It uses state-of-the-art cryptography, so if we have a global, distributed database that can record the fact that we’ve done this transaction, In the case of the Internet of Things, we’re going to need a BlockChain-settlement system underneath. Banks won’t be able to settle trillions of real-time transactions between things.
In order to add these blocks to the distributed ledger, the data needs to be validated by 51% of all the computers within the network that have access to the BlockChain.
Why are BlockChains secure?
With blockchain technologies, truth can also be measured and consumers and producers can prove data is authentic and uncompromised.
Why BlockChain technologies will transform the world?
BlockChain technologies will improve trust in industries where information (assets) is transferred, including these:
- Accounting
- Aerospace
- Energy
- Healthcare
- Finance
- Real-estate
- Education
BlockChain technologies will change everything. BlockChain technology can fundamentally change how we exchange value and perhaps that’s why this has caught everyone’s fancy.