Tomorrow is waiting to be explored, ready to imagine, deliver and run the future. For imaging tomorrow, first we need to understand the fundamental drawing connection between great technological trends and business needs.
The businesses exchange a lot of transactions- goods, money, information, services, with each passing second, with each connecting node with the company identically with the customers, suppliers, retailers, and likewise. Therefore, to execute a successful transaction, it needs to be precise, quick and must avail consensus of the involved parties. Blockchain, as one of the macro forces, provides solutions to execute these transactions effectively and efficiently.
What is Blockchain?
In simple terms, the blockchain is a chain of blocks. In this context, “the Block” means the digital information and that is stored in the public database, “the chain”. The more we explore the technological arena, the more it adds value to the industries. It is the backbone that connects the stakeholders, enhancing the business operations and smooth functioning.
The forces like blockchain, digital reality, cloud, digital experience, machine learning, intellectual interfaces, artificial intelligence, IoT and augmented reality, are not only vital for the world but they are no longer novel. The most challenging business leaders are facing is how to drill and collectively execute these nine forces.
Insight Into Blockchain Working
As we advance into the digital age, recording the transactions has become complex. The growth of trade due to globalisation has lead to the exchange of transaction across the nations with each passing second. Blockchain, even with few lines of code, has enabled businesses to rethink the way they work and reframe the strategies. The design of the blockchain system is in such a manner that it holds trust and reliability.
A transaction transforms through encryption into a block of digital data at the time of occurrence, which is unique. As a result, a permanent individual block establishes a connection to the one before and after it. The transactions are blocked together by creating an irreversible chain which is termed as Blockchain. Nevertheless, the big entities such as Samsung, IBM, Maersk, are also into exploring the ledger system & blockchain technologies.
Blockchain and Business Needs
The blockchain is enhancing the transactions and reshaping the industries such as healthcare, finance, public sector, manufacturing and likewise. The system increases the trust, accountability, and transparency across the business networks. It enables businesses to compete in this digital era. There are considerable merits for the business needs by adapting to blockchain technologies.
The businesses get the advantage of reduced risk of malicious activities on the network. Enhanced security is one of the merits as there are several ways of utilising and executing blockchain technologies. All the computers across the network store the information, and it does not depend on a single server.
Maintaining and executing the transaction is a tedious task. When using the traditional book-keeping method, in a like method. This, along with the fact that utilising blockchain for the ledger maintaining saves a lot of resources and cost, streamlining the processes and transforming it with digital efforts.
Is Blockchain Secure?
The Blockchain is a considerable secure way of storing information. The designs make it permanent, tamper-proof and democratic. It achieves this, more or less, through three defining characteristics:
Decentralisation is the essence of the blockchain system. As blockchain eliminates a number of risks, it cannot rely on a central point of control. As a matter of fact, the blockchain system is fair due to the lack of single authority.
In generic terms, the usage of cryptography is preserving privacy and transparency through secure communication. Cryptography is used in multiple ways in the Blockchain system such as for security, wallets and privacy preserved protocols. There are majorly 4 areas of cryptography: Private-key, Public-Key, Cryptographic Hashing and Merkel, which is widely used and recommended.
Most noteworthy that consensus dives the blockchain. Consensus means that the nodes and the computers connected to the network, agree on the same stage of the blockchain transaction. The blockchain system relies on algorithms of consensus. There may be a large number of computers that are connected to the network and with the help of the encrypted algorithms, it may reduce the risk for an attacker for malicious interventions into the system or on the network.