A Guide For Beginners
Ingenious Blockchain Solution Technology has now overhauled the world with its ever-lasting impact, blockchain-based networks like decentralized apps (DApps), and distributed ledgers are now spading their way to the more secure and fewer data breaches.
Before diving into our discussion, let’s have our hands on the simple fact about blockchain technology, What is it?. It is a new immutable digital robe just like harry potter’s magical fabric, which made everything invisible that comes under it. Similarly, is remaking the internet beneath us, without even making you realize it.
Let’s Deal with the Most Profound Chaos in the Blockchain Industry!
We have commonly seen the tech-geeks on the internet making some eccentric comments on blockchain technology, let’s just clear the understanding! Blockchain technology is hell different from in-your-face innovation and it’s intangible unlike a touch-screen mobile phone.
The Triumph of Blockchain Technology!
The next thing that comes on the list is: dare not to confuse this decentralization buzzword with the cloud or the Internet of Things. The mainstream thing is why there’s a need for blockchain when everything around you is digitalized! Well, that’s a good question!
But here I’ll connote a simple example, Wikipedia exists online, Right? Where anyone can edit a Wikipedia entry and can quote the history in the way a person likes! That’s surely the thing I don’t want on my table, the solution to this dilemma is blockchain technology. In the world of Wikipedia hoax entries, blockchain is the savior.
Blockchain Made Everything Secured!
The last thing people have been asking since the inception of the internet age: How can we collectively trust what happens online? No one! But since the innovation of blockchain technology has stepped in, it has become easier to rely on the internet.
How Blockchain Works?
You have seen many articles and blog posts published on the same topic, but did it help out? No? Then we can make the logic understandable, starting off with a simple question; do you guys shop online? I guess yes everyone does, we log into the apps that make up our digital selves and send information back and forth. You do online banking, shopping, where the blockchain comes off.
Do you recall, saying us: blockchain is a magical fabric! This fabric underneath recording everything that happens, every digital transaction, exchange of value, services or private data. Then the fabric- the blockchain stitches that data into encrypted blocks that cannot be modified and it scatters the pieces across a worldwide network of distributed computers or "nodes."
Blockchain- Behind the Scenes!
Think about a blockchain as a distributed database! This database maintains a shared list of records, and these records are termed as the blocks, and each block of code is encrypted and contains the history of the precedent block with timestamped transaction data down to the second. Hence, the chaining of these blocks together is termed a blockchain.
Spotlighting the Blockchain Components!
A blockchain constitutes two primary components: a decentralized network facilitating, and an immutable ledger.
Everyone existing in the network can see the shared transaction ledger, and there is zero chance of failure, leading to the hack and alteration of records or digital assets. You’d be happy to know that literally, no one can control your data, whether it is a tech giant like Facebook or Google.
Fear of third parties? The great news is the plethora of third parties serving as the gatekeepers of the internet are straightforwardly confined The power of blockchain's distributed ledger technology has its applications widespread across the digital record and transactions, and we have already started off to see major industries leaning into the shift.
Reasons That Show Blockchain Is The Future
Relentlessly, blockchain technology has tremendously spiked up due to the enhanced usage of cryptocurrency transactions. Blockchain is the future, the concept behind is that it’s an open ledger that can store any kind of transaction data in an immutable and transparent way.
Blockchain technology rolls in a decentralized concept and it doesn’t need intermediaries during the transactions. Ledger technology aka blockchain technology helps in many cases and also records bitcoin transactions.
Let’s take a closer look at why the blockchain revolution is flooding the internet!
Eradication of the Middle-Men
The blockchain uses distributed ledger technology (DLT), the data is stored in various places and saved between nodes or people. All the transactions are stored in blocks and any kind of changes made, every user or node gets notified about it in the chain. Therefore, blockchain technology is safer than typical databases or conventional ledger systems.
DLTs eradicate the need for mediators and decrease the chances of anyone meddling with or manipulating the information significantly.
Bitcoin and Blockchain are not the same things!
Many people still confuse the terminology of Bitcoin and Blockchain, and indeed that’s not true. Bitcoin in the slang example is considered an organism wrapped around different layers, like other software. But do you know the million worth cryptocurrency has a ledger beneath just like any other blockchain?
To securely transfer data and digital assets over the internet, blockchain- a decentralized ledger technology with myriad potential uses cryptocurrency its power along with the nuances of a monetary revolution.
A Quick Wrap-up
Ultimately, blockchain technology surpasses the ordinary ledger and obsolete technology in terms of safety, cyber defense, credibility, and scalability. In the case of Bitcoin or digital currencies, the peer-to-peer electronic currency transaction is a data exchange process. It can avoid the hassle of mismanagement and make procedures managed with a shield of blockchain.
To cope with the corrupted systems, poor governance, and technology flaws blockchain technology eliminates intermediary, manager, or auditor used to record transactions, which leads to a without a hitch procedure.