Blockchain Technology 2020
To know about blockchain, we need to discuss bitcoin first. Bitcoin was introduced to the open-source community in 2009 shortly after the release of Nakamoto’s whitepaper. Also now, many think that Bitcoin and blockchain are the same, although they are not. When developers realized the potential of blockchain, there was an increase in innovation and experimentation to see how blockchain could influence supply chains, education, insurance, transportation, voting, contract management and more. Already, about 15% of financial institutions use blockchain technology. A blockchain bears no expense to the transaction. The blockchain is a simple yet innovative way of fully automated and secure transmission of information from one place to another. This block is scanned and verified by millions of computers distributed around the net. One party to a transaction initiates the process through a block formation. A chain, which is stored across the net, is attached to the checked block, creating not just a unique record but a unique record with a unique history. In millions of cases, falsifying a single record would mean falsifying the whole chain.
Advantages of blockchain:
Because blockchain data is often stored on a distributed network of nodes in thousands of devices, the data and system are highly resistant to technical failures and malicious attacks. Every network node can duplicate and store a copy of the database, and there is no single point of failure because of this: a single node going offline does not affect the network’s functionality or protection. Most modern databases, on the other hand, rely on one or several servers and are more vulnerable to technical failures and cyber-attacks.
Confirmed blocks are very unlikely to be changed, ensuring that it is incredibly difficult to alter it once data has been entered into the blockchain. It makes blockchain a perfect technology for storing financial records or any other data that needs an audit trail because each change is monitored and registered indefinitely on a centralized and public ledger.