- 1 What is Blockchain
- 2 What is Blockchain Technology
- 3 Let’s Understand Blockchain in Easy Way
- 4 Who Invent Blockchain Technology
- 5 Why we have to know about the Blockchain
- 6 How Secure is Blockchain
- 7 Internet Technology VS Blockchain Technology
- 8 Behind Blockchain Technology
- 9 Why Do We Need Blockchain Technology
- 10 Real-life Applications of Blockchain
- 11 Difference between Public and Private Blockchain
- 12 Opportunities and advantages of Blockchain Technology
What is Blockchain
The first question arises that what is Bitcoin because there is the big contribution of Blockchain in Bitcoin. If you want to know about Bitcoin then read this post- What is Bitcoin. In this post, we will know about what is Blockchain. We know that the price of Bitcoin increases day by day but do you see the technology behind the Bitcoin. If no then you will love this post that what is Blockchain because Blockchain is related to the Bitcoin. So first you have to know about the Bitcoin. In this post, we will study that what is Blockchain and how it works.
So a new question arises that, Is it essential to know about the Blockchain. Blockchain Technology is going to change our IT industry in such a way that the open source software had altered many decades ago and the way Linux has been the core of modern application development for nearly a decade. The blockchain is going to be an excellent way in the future.
Information sharing, and which will be low cost and can be easily implemented by open and private networks. However, there has been much hype in people about blockchain technology because people think that it can change our feature technology completely. It is indeed correct in some manner but not entirely because we can’t understand it by only talking to each other. We have to understand all the aspects of this technology.
It is true that the speed of adopting Blockchain is very slow, but experts say that it will increase slowly-slowly in the upcoming time. Which is good news for us? It can change the feature technology. So today we decide that we will tell you everything about this technology. So not wasting too much time let’s start our topic.
What is Blockchain Technology
The blockchain is a digital ledger. However, do you know that what is Ledger? Ledger is a book that holds a zodiac account where debits and credits posted. We can say that it is a blockchain digitized, decentralized, public accounting.
Let’s Understand Blockchain in Easy Way
Let’s understand that you have a file of transactions (a “node”) which is in your computer. It works with two govt. Accounts (which we say “miners”) also have the same file in their computer (It called “distributed”). As when you make a transaction, then your computer sends an e-mail to both of the accounts to inform them. Every account wants to check quickly that can you afford it or not (which means that “Can you buy Bitcoin in this price or not”). The first of which validate, it presses the “REPLY ALL,” and then it attaches its logic also. The verification of the transaction is called “Proof of work.”In the meantime, if the second account is also validated, then they update their file. This complete process is called “Blockchain technology.”
So the blockchain is an incorruptible digital ledger of transactions. Which programmed in such a way that we can record the practical things. All the list which is in the record of blockchain is called “block.” So blockchain is always is a continuously growing list of files which is linked and secured.
Who Invent Blockchain Technology
Blockchain Technology invented by Satoshi Nakamoto in 2008. So that, it could do it in cryptocurrency Bitcoin, according to his public ledger. The primary purpose of Satoshi Nakamoto was to do all this that they want to make decentralized Bitcoin ledger-the blockchain, which helps people to control their money that no other third party or any government cannot access or monitor this money.
You don’t know that the creator of Bitcoin is suddenly disappeared in 2011 and leave behind this open source software, which is being used by bitcoin users and they update and improve it. Many people say that there is no such person whose name is Satoshi Nakamoto. It is only a visualization character. However, to prove this, there is no evidence.
The Blockchain invention for the Bitcoin is one such initiative currency which can solve the double spending problem without any trusted central authority or central server.
So that’s why Blockchain Technology is inspirational for the other application.
Why we have to know about the Blockchain
There is three main reason for which we have to know about it.
1. There is no need for publicly exist for the Blockchain Technology. We can also exit it privately- Where nodes will only have simple points in one private network and Blockchain will act as a distributed ledger. Financial institutions are very pressurized because of regulatory compliance demonstrate. So that’s why many institutions are implementations the Blockchain. We know that Blockchain can become an essential building block to decrease the compliance costs.
2. Blockchain technology is more important to than the finance. It applied in the multi-step transaction where we need the traceability and visibility. Supply Chain is such a notable case where the use of Blockchain in the leverage, manage and also to audit the sign contracts and product provenance. It also used invocation platforms, titles and deed management. The digital and physical worlds converge then the Blockchain technology increase slowly-slowly in the practical applications.
3. The exponential and disruptive growth of Blockchain can come only when public and private blockchains simultaneously converge in an ecosystem where firms, customers and suppliers together can collaborate in a secure, auditable and virtual way.
How Secure is Blockchain
There is nothing safe on the internet. If we talk about Blockchain technology then it is “unhackable” to the comparison of other technology because in this technology all the nodes in the entire network will have to agree to make any transaction in Blockchain, then only that transaction will be valid.
No single entity here can say that the transaction is coming or not. You will not be able to hack just one system like- bank; you have to hack all the networks. So hacking is not such a simple thing.
The computing resources of all the blockchains are just tremendous (here) that there is no computer here and all the computers connected to the network.
Internet Technology VS Blockchain Technology
If we talk about both the technology, then Internet computers allow exchanging the information whereas the Blockchain technology allows recording the data. Both the technology use lots of machines.
Let’s know something about the Internet and Blockchain
The first generation of Digital Revolution brought us Internet of Information. The second generation – which is powered by blockchain technology, presented the Internet of value to us: This is a new platform that will reshape the world of the business and make the old order of human affairs even better.
The blockchain is such a vast, global distributor accouter and database that is running continuously in millions of devices and it is also open for anyone, not just information here but anything that has some value like money, titles, deeds, identities. Even so, the votes can be moved, stored and managed safely and privately. Here, mass collaboration should be established to establish trust, and some original codes are used to implement powerful intermediaries such as governments and banks in the old ways.
That is why we can say that Blockchain technology made by us, works for us and we control it only, which makes it safe and trusted.
Behind Blockchain Technology
The technology behind the blockchain defined in the three main points-
1. Private Key Cryptography
2. P2P Network (Peer-2-Peer)
3. Program (the blockchain’s protocol)
Why Do We Need Blockchain Technology
The blockchain is that mechanism which helps us to provide the highest degree of accountability. Now there is no missed transaction. It decreases the mistakes of machines and humans and the main there is no need for any third party and government.
The critical area where Blockchain helps us is that it provides us security that it records the validity of a transaction not only in the central register but also all the distributed system which connect in the network. The transaction is only valid when all the records passed it.
The application of Blockchain Technology in the following are:
1. Smart Contracts-
Any industry which depends on massively contracts like- insurance, financial institutions, real estate, construction, entertainment and law. These all industries benefitted to this technology. All your contracts of any controversy made with the help of this technology can be updated, managed, tracked and protected. Smart arrangements, those who are embedded, if / then by the statements and do not involve involvement of the intermediary party to execution.
2. Supply Chain Management-
When we change any value or change any asset than to manage all the process Blockchain is an excellent option.
3. Asset Protection-
Either you are a singer, or you want the royalties or your songs, or you are a property owner, If you’re going to protect your asset, then blockchain technology helps too much. It makes the accurate record for your real-time ownership.
4. Personal Identification-
Governments usually manage lots of data like- own data birth, death record, marriage certificates, passports and census data and so forth. Blockchain technology manages all the data efficiently.
5. Payment Processing-
The main benefit of Blockchain is that it can handle the payment processing of any big company. It eliminates intermediaries which shown in the payment processing.
Blockchain powered crowdfunding is more secure compared to Traditional crowdfunding.
Real-life Applications of Blockchain
Now you guys have understood the basic concept of this technology, let’s now know where the real-life applications used.
1. Follow My Vote- It wants to change the way we vote and want to be the first open-source online voting solution in the world.
2. Arcade City- This is an accurate decentralized ride-sharing service, also known as ‘Uber Killer.’
3. Sheard- This stores your identity. Bitcoins blockchain makes you easy to verify.
4. Symbiont- This Blockchain provides better smart securities.
5. Bitnation- This is a “Governance 2.0” initiative that works with a collaborative platform and wants to establish the DO IT Yourself governance.
Difference between Public and Private Blockchain
As there are lots of variety of Blockchain but all are considered mainly in two categories. One is public, and another one is private.
Public blockchains give the opportunity to anyone to see and send transactions as long as they are of this consensus process. These are also consortium blockchains where only some pre-selected number of nodes authorized. To use the ledger, for example, a group of banks and their clearinghouse blockchain implies that by becoming a single of trade-clearing, where the green node associated with any step in the verification process.
In Private Blockchain, Conversely, it puts some restriction in writing any distributive ledger and also an employee who works in any organization is too set the limit.
Along with blockchain, Due to the self-policing security- it eliminates the record which is keeping an insignificant amount.
Opportunities and advantages of Blockchain Technology
- This blockchain helps our smart devices to communicate with each other so that they can deliver better
- Blockchain solves the problem of Blockchain manipulation. It brings all the things in their highest degree of accountability.
- It makes decentralized of the online identity and reputation, such that we can access itself our data.
- Cryptocurrencies distribute the capacity to control the currency to the ordinary people from the hands of the government. So no one can increase the value of the money.
- Blockchain helps in the informal economy with the middleman, due to which you can easily exchange the asset.
- With the help of blockchain technology, it solves lots of issues like-jurisdiction, censorship and regulation.
I hope guys today you understand about the blockchain technology. You have any doubt on the above points, then you can ask me or comment the points which you like the most. If you want this post, then share it with your friends and relatives. If you found any mistakes in this article, then you can also suggest us to correct it. Share it as much as you can.