CryptoTech

How well do you know Blockchain Technology?

Blockchain, the word seemed to have literally broken the internet back in late 2017 with the surge in the price of a cryptocurrency named Bitcoin.

Everyone on the internet was gung-ho about it and even those with little or no technical knowledge were all frenzied about it. Masses took to social media to sound cool and boast of their knowledge about the cryptocurrency. Millions of enthusiasts invested their savings in a hope to multiply them and earn a fortune.

As of the writing of this article, according to coinmarketcap, the current Market capital stands at $249,676,476,483 – a staggering 250 billion dollars – almost double the total worth of the tech giant Facebook. However, one should be astonished to know that not many of those who have their share invested in the 250 billion dollars know about what they have invested in and what the underlying technology is. Let us now dissect the said technology and present to you in the easiest possible way.

What is Blockchain?

A blockchain is a distributed transaction ledger with a capability of storing and processing data with fool-proof security potential. It is an ever growing list of records called “blocks” which are linked to each other using algorithms of cryptography. Cryptography is a practice used to achieve secure communications – in case of cryptocurrency; secure transactions.

Each block, which is connected to each other, has its own set of information stored in it and is resistant to modification or tempering, meaning that the information is saved in the form of blocks making it almost impossible for hackers to break in.

The information stored in the block comprises of a timestamp and a hash which connect both the blocks and by no means access is given to the data of the former or latter block. That’s what makes blockchain technology anonymous and secure.

How did the Blockchain emerge on the internet?

Blockchain is one of the mysteries that the internet has not been able to solve as yet and there are no hopes of this mystery getting unfolded anytime soon. Some things are better left as a secret and this seems to be one of them.

All we know is that the technology was a brainchild of the mysterious person or a group with a pseudonym of Satoshi Nakamoto and emerged with the appearance of the bitcoin. However, with time the technology polished and now is set to become the backbone of the internet or the future of the internet given its remarkable potential.

Is Blockchain all about cryptocurrency?

The easiest and the simplest answer to this question is No. And before delving into the why-not part, we must know what cryptocurrency exactly is.

Cryptocurrency is a digital currency which is stored on the blockchain. It is not issued centrally and thus the identity of the holder is not revealed and this is exactly what makes it controversial.

That being said, blockchain is not all about the cryptocurrency. In fact, it could be termed as the best alternative to paper for a number of reasons. It can be used to come up with Digital Id, Real estate and land transfers, coupon and loyalty programs and thus possibilities are unlimited.

If you want to know more about the potential of the blockchain, let us on our social media channels and we will make another beginners’ guide for you.

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