Today i am going to take every newbie here on read.cash to get to know what blockchain is, why is it happening in cryptocurrencies and what are the features of this technology? Which industries they are used in?
Blockchain is a new technology emerging. To assist in recording and tracking information Publicly or openly With many people reviewing such information and various information Recorded on the blockchain cannot be edited.
Today's memory of the blockchain is Bitcoin, because many people would know the term Bitcoin before realizing that it was actually behind the famous cryptocurrency. This one comes from blockchain technology. Therefore, it is unlikely that anyone would call the blockchain Bitcoin.
Bitcoin was created as an international currency that does not fall under any country control. Or those of any central bank And to resolve the financial crisis that had occurred from the bank Because the creator As banks were seen as failing, Bitcoin was the world's first currency known as the cryptocurrency. Is intangible, was created in computer language.
Blockchain is used in many industries;
Blockchain is not just used for formal transactions. But can also be used for a lot, whether for business use or various industries. As is evident today, although the clearest picture is of financial transactions. But in some places Blockchain is used in some industries, such as real estate or even esports games, etc.
1• Track and record data.
2• Blockchain is reliable and irreversible.
3• Cutting media and reducing costs.
It can be said that the technology has emerged in the midst of new changes that have to say that at present there are many. Some agency has been interested and studied in the case of Facebook itself preparing to use this technology in its own digital currency. It is currently released and is preparing to be officially released. Or even Apple Pay, which is focused on this technology, but still focuses on the use of consumers.
In addition, in some countries, some have been mentioned and put forward. Especially in the real estate industry For example, Sansiri projects that use blockchain to power solar cells, or even the sports industry that uses blockchain to increase the credibility of raising funds and solving problems. While also helping new athletes to pursue their dreams and achieve success on the professional sports career. Which is the key to driving the sports industry to grow or even the financial sector like banks in our country have many Institutions that have already adopted blockchain technology.
It is a wave of new technology that has been born for a while and has gained wide acceptance. And many different sectors are focused on bringing this technology into industry or daily life.
The original blockchain was the only type of blockchain, the open blockchain, which is an interconnect blockchain. Before, later, other types of blockchain emerged.
Each type of blockchain has its own advantages and disadvantages. For example, blockchain allows for transparency in transactions. Rather, it is a threat to anonymity, even if no specific user data is missing.
The 4 most common types of blockchain:
Open type with different permission levels
Closed or private type
Flank type or Side Chain
Anyone who uses cryptocurrencies such as Bitcoin, Ethereum, Bitcoin Cash or Litecoin are probably familiar with this type of blockchain. In an open blockchain network, all users have equal rights, and each of them can perform a number of core functions, such as verifying remittance transactions. View all records in the database. In other words, open blockchain is a completely decentralized network. Without any special rights because everyone is equal.
Open blockchain with different permission levels
Registered organizations or entities often use this type of blockchain to express different rights. For example, people in that organization or department and that organization can view the registered items. But users will only be able to view the programs that they can. Some transactions may be hidden from the public. On the one hand, many users are limited in their use. It means that the transparency of the transaction cannot be guaranteed.
Closed and private blockchain
This blockchain is not that different from an open blockchain. Unless that access to that information will be limited to individuals and limited to blockchain. Private blockchain is both decentralized and centralized.
The advantages of such a blockchain are relatively fast processing of transactions and transaction details are not disclosed to third parties.
The flank blockchain acts as a bridge between two different blockchains. This type of blockchains can be used to exchange various cryptocurrencies between users. Another advantage is that when using a flank blockchain. The loading of data on the main network is reduced, resulting in faster transactions. The downside is that if they are too small, they are vulnerable to cyberattacks.
Summary of the different types of blockchain;
The open blockchain is suitable for the broader community and is mainly used for transactions where data will be modified. For corporate networks, a closed blockchain is recommended. Which allows you to hide certain information The flank blockchains offer a wide range of capabilities and allow you to test new features without compromising the functionality of the main network.