The wide known popularity of Blockchain Technology has only been possible because of Bitcoin. Before the advent of Bitcoin, people were not aware of the immense usefulness of such technology as Blockchain. Eventually, Blockchain developed further and suited itself into various other fields. Apart from the pioneering Public Blockchain, three different structures of Blockchain have come into existence. The Private Blockchain, the Consortium Blockchain, and the Hybrid Blockchain. Particular industries have flourished while making use of the Blockchain structures.
Many features make Blockchain a desirable technology, some of which we will discuss hereafter:
All the blocks in a Blockchain have unique data encrypted on them. However, the arrangement of the blocks makes it impossible for someone to alter the data of a particular block. Tampering with one block leads to the disruption of the rest of the blocks on the Blockchain.
The data entered on the blocks is irreversible. All transaction details are encrypted on the blocks with the approval of all the users on the Blockchain. Try reading the benefits of Bitcoin mining go now.
Bitcoin was the first to make use of Blockchain Technology. The development of Bitcoin saw the use of Blockchain primarily because it would facilitate the decentralized form. There is no single authority that verifies all transactions. All users have equal weightage.
There is no central financial institution that approves of the transactions. The users are the be-all and end-all of the Blockchain. The investors and miners are not answerable to any other authority. They can choose to deal with their Cryptocurrency the way they like. This lack of third-party interference also saves a lot of time.
With all the users frequenting the Blockchain, there can be no discrepancy. Public Blockchains are unlike Private ones, fraud-resistant and hard to tamper with. The two keys at the users’ disposal safeguard their coins. The private keys are crucial in keeping their wallets safe, whereas the public keys determine the pathway of their currency.
Maintaining anonymity while having one’s identity verified is also a form of security rarely talked about. The user is neither recognized nor is he a threat to anyone on the Blockchain. Blockchain Technology has innovative ideas which have made these features possible. The Blockchain developers have worked to empower themselves with the tools of tomorrow.
Works on Consensus
The most interesting phenomenon about Public Blockchain is that a piece of information waits till everyone on the chain has validated it. Without the authorization of all users, the information will not be encrypted. Without the majority approval, the transactions will be deemed invalid.
The majority has the democratic power to undo the decision of the minority—every individual vote matters. If one less user cannot form the majority, the other conclusion is taken into account. Bitcoin always uplifted the ideals of democracy in an otherwise world. The power of consensus reminds us of the same.
Without the interference of a third party, transactions across continents have been the quickest. An average bank transfer within the same country takes at least three working days, but Bitcoin and other Cryptocurrencies have proved what Blockchain Technology is capable of. Even with the authorization of the many users on the Blockchain, the transaction is settled within minutes.
The users are most vigilant. Whenever transaction data arrives, they check the origin node, the recipient node, and whether the sender has enough currency to make the transaction happen. Once the boxes are ticked, a transaction is authorized without delay.
All these features make Blockchain Technology one of a kind. It has made even the mundane book-keeping easier. There are many walks of life where its application awaits.