Technology

Innovative Digital Tech – Blockchain Explained

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We have been living in a digital age for a few decades already, a world where ones and zeros fly through the air at the speed of light and while many innovative technologies emerge, the one we are going to discuss today is blockchain.

What is a blockchain?

Try to imagine a decentralised ledger that is not located in one specific location; all of the stakeholders have access to this ledger, which is distributed using computers and a secure network. Bitcoin is a good example of blockchain; when a transaction is made, a new block of data is created, all parties agree to the transaction and the new block is added to the chain. If you would like to find out if blockchain can benefit your business, make contact with a leading Australian blockchain services company and see what they have to offer.

Blockchain cannot be hacked

The data blocks are entwined; that is to say that one block has data in the blocks either side, thus forming a chain that cannot be broken. The only way to alter the data is to add another block to the chain. Let’s look at a simple example, there are 26 blocks of data, labelled A-Z; A is connected to B, which is connected to both C and A, and so on. It is not possible to access the data in block G, as it is integrated with block F and H.

Participant agreement

This happens at the speed of light and in the background; when a new transaction is proposed, all participants must agree, then the new block is added to the chain. This decentralised ledger system offers a high level of security, and aside from technicians who manage the blockchain, no one entity has control. Click here to learn more about cyber-security.

Asset management

Blockchain technology is primarily used for asset management, which might be a cryptocurrency, a list of intellectual property rights or even land title deeds. Governments around the world are realising the many benefits that blockchain can offer; it is perfect for storing citizen data, which is confidential, vehicle registration, professional qualifications and electoral data are all stored on blockchains. 

High level of trust

If we take a look at trading stocks and shares, it is possible to carry out a transaction with zero risk, so trust is not required. Due to the nature of the digital ledger, you can do business with other entities and be completely protected. 

Supply chain management

Blockchain is perfect for recording and tracking purchases and invoices from multiple suppliers, controlling the invoice payment process. Transactions are completed on a secure blockchain and the system is designed around the company.

Music industry

The music industry uses blockchain to record ownership of music rights, indeed all intellectual property rights are recorded on blockchains and the data can only be changed by adding new blocks of data. This offers a high level of transparency as no single entity is in control, which appeals to all parties.

Public blockchains

A good example of a public blockchain is Bitcoin; anyone can download the Bitcoin wallet, buy some coin and join the network; there are no restrictions with public blockchains, anyone can join. The system uses a ‘proof of work’ consensus process to operate efficiently.

Blockchain technology is changing the way we live and if you would like to learn more about blockchain technology, talk to a leading Australian blockchain developer.

Martin Dumav

Hi! I am a passionate writer with expertise in various niches, including technology, entertainment, lifestyle, and current events. My background is in journalism and I have a sharp eye for the latest trends and breaking news in the entertainment world. With my quick wit and engaging writing style, I bring a fresh and exciting perspective to my audience.

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