“Blockchain”
has been a catchphrase. Nevertheless, it won’t be wrong to say that this
technology or domain is the call of the time. Yet, some people still do not
understand the concept & use of
blockchain technology.
Are you
excited to know more about Blockchain? Well, in this article we will highlight
what is blockchain technology, blockchain
features and benefits, and blockchain types in a detailed manner. Let us
begin by defining the term Blockchain.
What is Blockchain?
Blockchain
is a series of blocks comprising useful information. Every single block
consists of several transactions and each transaction is entered in the form of
a Hash. Now, you might have a question ‘what is Hash’. It is a notable
address reserved for each block during its creation.
In
layman’s terms, Blockchain can be understood as a union of three primary
technologies, i.e., cryptographic keys, a peer-to-peer network, and a digital
ledger. Presently, maximum cryptocurrencies are laid on the foundation of
blockchain technology. BTC is regarded as one of the most stable digital
technologies.
What is the use of Blockchain Technology?
A
blockchain is used to perform public ledgers of information. With the execution
of public ledgers, executes the secure transactions. Because of its stable and
secure nature, Blockchain has numerous use cases across industries like
finance, healthcare, and the Internet of Things (IoT).
Let’s have
a look at some of the most prominent uses of blockchain tech in the modern era.
Cryptocurrencies
One of the
major applications of blockchain is in Cryptocurrencies, popularly Bitcoin. Bitcoin is a
decentralized digital currency that acts as a ledger. It is used to maintain
the track record of the balances for all users. Any modification in the money
is updated within Blockchain technology.
Healthcare
Several
hospitals face the issues of data breaching and counterfeit drugs. Here,
Blockchain technology opts for a reliable solution. Healthcare is another
sector that finds a vast use of
blockchain technology. Blockchain in healthcare indicates the use of
storing patient details in several healthcare industries. The patient database
obtained is highly safe. Because doctors need to log in with a public key to
check or alter patients’ data.
IoT (Internet of Things)
The
blockchain is popularly used by the Internet of Things. Blockchain technology
certifies that data transferred or shared between the devices will be secure
and end-to-end encrypted. Distribution, decentralization, and immutability are
also other applications of Blockchain in IoT.
Law Enforcement
The law
Enforcement domain is also showing interest in Blockchain technology.
Blockchain applications can be used to build a Common Database of the criminal
and the crimes committed by them. The database also includes criminals’ biometric
details. The ‘secure’ nature of Blockchain makes it popular with law
enforcement.
Real Estates
Asset
management, property management, project financing, loan, and mortgage
securitization are some of the applications of Blockchain within real estate.
Presently, real estate is a domain that’s affected by the applications of
blockchain.
Our Learners Also Read- Detailed Guide to Become a Blockchain Developer
Blockchain Features and Benefits
Now that
you are well aware of the several uses of blockchain technology, let’s move
toward its features.
Blockchain Features:
” Blockchain stores permanent data. The data stored can’t be transformed
easily by any & everyone. The datasets being added or stored to the block
are first approved by everyone in the network. This is a feature of blockchain
that supports ‘secure’ transactions.
” Blockchain is Decentralized over and above an open ledger. A ledger can
be defined as a record of transactions. The record is visible to everyone &
hence the name ‘open’ ledger is so-called. Blockchain is a decentralized
network which means it has no principal authority to control the network.
” Blockchain provides a p2p or multi-user network. This feature of
blockchain empowers only a total of 2 parties (server & receiver) to get
involved in the transactions.
” Blockchain is a technology-free of any ‘third party authorization’. It
is because everyone in the network can authorize the transactions.
Blockchain Benefits:
” Enhanced Security – Blockchain displays superior technology in picking
up the data stored in a digital ledger.
” Trackability Blockchain technology comes with traceable features. This
means the goods in a supply chain business can be discovered/traced.
” Transparency Today, almost all organizations; be it governmental or
non-governmental; have ventured in various ways. The transparency of blockchain
helps the supply chain as the item can be recognized easily.
” Speed and Efficiency – A blockchain-driven supply chain can be operated
all by itself. Hence, Blockchain tech is highly efficient with fewer errors and
disputes. It can eliminate the need for mediators thereby multiplying the
transaction speed.
What are the Types of Blockchain?
1. Public Blockchain
A public
blockchain is an unrestrictive, exposure-less distributed ledger system. Users
with proper internet access can sign in on a blockchain platform. Two of the
most common public blockchains are Bitcoin and Litecoin blockchains.
2. Private Blockchain
As per its
name, a private blockchain is a restrictive blockchain. It can be operated only
in a closed network. This type of blockchain is used within such organizations
where only selected members opt to be a blockchain network’s participants.
3. Consortium Blockchain
The
consortium blockchain is another popular type that is ‘semi-private’. It
comprises a controlled user group and can function across different
enterprises.
4. Hybrid Blockchain
Hybrid
Blockchains lie somewhere in the middle of private and public blockchains. The
hybrid network is used by users to control user access; i.e., the data that’s
being stored in the blockchain.
Final Takeaway
It is good
to see that you have finally reached this end of the blog. We hope that the use
case and features of the blockchain explained above must be helpful for you. If
you are part of a blockchain network, all you need to do is grasp the knowledge
from this article.
In
conclusion, we can say that blockchain technology is enhancing and improving
day by day. The future is obviously in favor of Blockchain technology. Owing to
its transparency, security, and temper proof characteristics, the technology
will lead many organizations & applications to the highest zone.
