Is it “the next big thing”?
what’s all the hype about blockchain technology?
Well, today will talk about Blockchain technology in simple layman term
Firstly, we need to understand what problems it was designed to solve,
How do we tell if something is fake or real in today’s world?
For example, a currency bill, a driver’s license, supply chain management, or a vote in the election. How do we determine whether it’s valid or not?
The answer? We keep a record of it. For example, each Currency bill has a serial number that is recorded by the central bank. Your driver’s license number is recorded by the Transport Authority, a manufacturing company maintains its supplier’s accounts, and voting records are used to track who voted and who didn’t, so the same person won’t be able to vote twice. Whenever you want to verify that a document is legit, you just look it up with the relevant authority. We even have Notaries, people who are licensed by the government to act as witnesses to attest and record the validity of pieces of information or identities. You’ll notice there’s one thing that all of these mechanisms have in common – they are all centralized, which means there’s a central authority, whether it’s a bank, state office, or person that has the power to issue and validate the information. These central authorities have a lot of power, and as you know power may sometimes corrupt. So what happens if one of these authorities wants to change the facts or even maybe change history a little bit?
Does BLOCKCHAIN reduce the risk of corruption, fraud, and manipulation? Well, the answer is Yes.
Blockchain technology is a new and innovative way to implement decentralization. In a nutshell, Blockchain technology is a solution to the problem of centralization. It’s a system for keeping records by everybody, without any need for a central authority – a decentralized way of maintaining a ledger that is practically impossible to falsify. when so many eyes are watching and verifying everything that’s being done, it’s really hard to break the rules unnoticed.
What is Blockchain?
A peer-to-peer network of nodes(networks of computers) that all communicate with each other. These nodes are essentially computers that share responsibilities similar to servers, like running programs and storing data that can be accessed whenever you’re connected to the blockchain. All the nodes work together to create a public network that anyone can connect to. All of this data is contained in bundles of records called blocks that are chained together to make up the public ledger. All of the nodes on the network participate in ensuring that this data remains secure and unchanged. Well, imagine we’re maintaining a shared ledger with many pages of records. Each page begins with a sort of summary of the page before it. If you change a part of the previous page, you’ll also have to change the summary on the current page. So the pages are actually linked or chained together. In technological terms, pages are called blocks. And since each block is linked to the data of the previous block, we have a chain of blocks or a blockchain.
Everyone has witnessed the power of bitcoins thanks to blockchain technology the first digital currency, (How To Buy your first Bitcoin #PRO TIPS) there are several ways you can use blockchain right now to solve your business’s most constraining problems.