It cannot be denied that blockchain is one of the resourceful inventions. However, it turns into something much better and can give you greater opportunities. So, if you are asking yourself, “what is blockchain?” then this article is perfect for you.
By enabling the digital details to be transferred with no copying, the blockchain invented the latest framework of the internet. Blockchain technology was developed for Bitcoin, one of the digital currencies, the community of the technology, has discovered other possible utilization of the technology.
In this post, you will learn what blockchain technology is and the properties that make it differ with the other technologies. So, I hope that you will enjoy reading this guide. If you want to learn something about blockchain technology, then keep on reading and enjoy it!
According to the writers of Blockchain Revolution (2016), Alex and Don Tapscott, they stated that “The blockchain is an incorruptible digital ledger of economic transactions that can be programmed to record not just financial transactions but virtually everything of value.”
In the simplest explanation, blockchain technology is a chronological order of incontrovertible data records that are being controlled by the various computers that are not being owned by anyone. Every block of data is protected and guaranteed to each other with the use of the cryptographic principles, such as a chain.
So, what makes it so unique and special and why some people are claiming that it has an industry-disrupting ability?
Since blockchain technology has an immutable and shared ledger, the data that was stored in it is not private. It only means that all of the individuals who use blockchain technology can see the data. However, everything that is established on the technology is transparent and all the individuals included in it have their responsibilities in every action they made or will make.
The blockchain technology is working with no transaction fee. As I said a while ago, blockchain technology is an ingenious and simple method that everyone can use to transfer data from A to B safely and automatically.
A party wants and initiated the process of a transaction by making a block. This block is being checked by the numerous computers that are working on the net. The checked block was already added to the chain, which was kept in the net, making a unique record that has a unique history as well. Faking one record can break the whole chain in numerous of chances. That is quite impossible virtually, Bitcoin makes use of this for the transactions of money, but it can still be done in different methods.
How Does Blockchain Works?
Think of a spreadsheet that was duplicated millions of times across the computer network. Then, the picture that this is a network that is meant to update the spreadsheet regularly, and you have learnings about a blockchain.
The details that are being held on the blockchain is considered as a continually reconciled and shared database. This is one of the methods of utilizing a network that has lots of understandable advantages. The database of the blockchain is not kept in only one location. It only means that the details that it store are on public and can be verified easily.
Why is Blockchain Technology so Popular?
The following are the reasons why blockchain technology is so popular. Read on to know more about it.
- As I have mentioned earlier, blockchain technology is very transparent that everyone can see the information that they want to know.
- The blockchain technology is absolute. It only means that there is no one who has the capability of tampering with the information that was stored in the blockchain.
- The information is kept inside cryptographically.
- The blockchain technology is decentralized. It only means that no one owns it.
Why People Prefer Using Peer-to-Peer Network?
One of the advantages that you can get from using the peer-to-peer or p2p network is that you can share files. This is also known as torrenting. If you are a person who is using the client-server model to download, then you can’t deny that it is entirely slow and dependent on the server’s health. In addition, as I have said earlier, it is also susceptible to censorship.
On the other hand, the peer-to-peer p2p system does not have a central authority, and it only means that even one of your peers backs out. There are still lots of peers that you can make use of. In addition, it is not the central topic of the central system’s idealistic standards. Thus, you can make sure that it is not susceptible to censorship.
To sum it up, blockchain technology is one of the immutable technologies that you can use. It only means that there are lots of things that you can do with this blockchain technology. I hope that upon reading this post, blockchain technology is now clear for you.