BLOCKCHAIN TECHNOLOGY

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 BLOCKCHAIN TECHNOLOGY



Blockchain is a peer-to-peer decentralized distributed ledger technology that makes the records of any digital asset transparent and unchangeable and works without involving any third-party intermediary. It is an emerging and revolutionary technology that is attracting a lot of public attention due to its capability to reduce risks and frauds in a scalable manner. 

The different types of blockchains.

  1. Public blockchains like Bitcoin and Ethereum
  2. Private blockchains like Hyperledger and R3 Corda
  3. Hybrid blockchains like Dragonchain  

What is a public blockchain?
Let's explore the different types of chains. And start with public blockchains, which are open source. They allow anyone to participate as users, miners, developers, or community members. All transactions that take place on public blockchains are fully transparent, meaning that anyone can examine the transaction details.

  • Public blockchains are designed to be fully decentralized, with no one individual or entity controlling which transactions are recorded in the blockchain or the order in which they are processed.
  • Public blockchains can be highly censorship-resistant, since anyone is open to join the network, regardless of location, nationality, etc. This makes it extremely hard for authorities to shut them down.
  • Lastly, public blockchains all have a token associated with them that is typically designed to incentivize and reward participants in the network.
What is a private blockchain?
Another type of chains are private blockchains, also known as permissioned blockchains, possess a number of notable differences from public blockchains.
  • Participants need consent to join the networks
  • Transactions are private and are only available to ecosystem participants that have been given permission to join the network
  • Private blockchains are valuable for enterprises who want to collaborate and share data, but don’t want their sensitive business data visible on a public blockchain. These chains, by their nature, are more centralized; the entities running the chain have significant control over participants and governance structures. Private blockchains may or may not have a token involved with the chain.
What is a hybrid blockchain?
Dragon chain occupies a unique place within the blockchain ecosystem in that it's a hybrid blockchain. This means that it combines the privacy benefits of a permissioned and private blockchain with the security and transparency benefits of a public blockchain. That gives businesses significant flexibility to choose what data they want to make public and transparent and what data they want to keep private.
  • The hybrid nature of Dragon chain blockchain platform is made possible by our patented Interchain™ capability, which allows us to easily connect with other blockchain protocols. Allowing for a multi-chain network of blockchains
  • This functionality makes it simple for businesses to operate with the transparency they are looking for, without having to sacrifice security and privacy.
  • Also, being able to post to multiple public blockchains at once increases the security of transactions, as they benefit from the combined hash power being applied to the public chains.
BLOCKCHAIN  PLATFORMS

  1. Ethereum

    After Bitcoin, if there is something that has created a buzz in the market, then its Ethereum. Vitalk Buterin founded it in the year 2014. Ethereum is one of the highly active and open source Blockchain which also forms the base for development of other applications.

    Key features of Ethereum :

    • Open for public use
    • Proof-of-work based system
    • Strongly followed in Github

    Multiple language application like C++ and python

  2. IBM Blockchain

    It is the pioneer company to venture into blockchain so that it can create a platform for transparent business operations. IBM has a separate division which is only focussing on creating Blockchain based applications. IBM boasts about a more efficient consent mechanism which has made it garner the attention of many.

    Key features of IBM Blockchain

    • It offers a permissioned network, which most of the companies are eyeing because of the security issues

    Supported language: Go and Java

  3. Multichain

    It is an open-source Blockchain platform which is used to create permission network. This finds usage in both within and across different enterprises.

    Key features of Multichain :

    • Formation of permissioned network
    • Strongly followed at Git hub
    • Free and open source pricing

    Supported languages: C, C++. Python and Java script

  4. Ripple

    When we talk about popularity, the Ripple shares similar popularity as Ethereum or Bitcoin. It was created in 2012 and is one of the best performing currency.

    Key features of Ripple :

    • It helps connect banks, digital assets exchanges, and payment providers
    • Send money globally with ease.
    • The high speed of ripple guarantees 5 transactions every second, thus making
    • It a faster and more efficient platform.

  5. R3 Corda

    If you have heard about Blockchain, then you would have often heard about the R3 consortium. It is a collaboration of some of the world’s biggest financial institutions that are exploring new uses of Blockchain and integrating it with the system. It has created an open-source DLT platform.

    Key features of R3 Corda :

    • It was founded in the year 2013
    • Apart from focussing on the commercial segment, Corda also explores
    • Blockchain’s application in healthcare, trade finance, supply chain, etc.
    • It is a permissioned Blockchain
    • It focusses on interoperability ease of integration with the legacy system.
EXAMPLE OF BLOCKCHAIN TECHNOLOGY IN  REAL -WORD
  • Financial Services :

Most of the financial services organisations are involved in the blockchain for some time through their laboratories, investments, and pilots.

Traditional business processes were expensive and risky. In this process, each party, such as a broker, custodian, or settlement manager, keeps their records that make room for error. 

Blockchain reduces errors by encrypting records. Concurrently, it simplifies the process, eliminating the need for intermediaries.

  • Healthcare :

    • The similar approach can be used to ensure that research is conducted via HIPAA laws in a much protected and highly secure manner.

    Furthermore, the surgery receipts are stored on a blockchain and automatically sent to insurance providers as a validation. 

    Besides, it can also be used for normal health care management, like supervision of drugs, regulation compliance, test results, and management of health care supplies.

  • Payment Processing and Money Transfers

    • Now, banks are removed from the process, and transactions are done 24x7, most of the transactions handled on a blockchain can be dealt in a matter of seconds.

    The global payments sector is flawed, expensive, and open to money laundering. Payment verification and settlement of cross-border transactions may take up to five business days. 

    With blockchain, real-time transactions can be easily accomplished, while banks are entirely left out o

    • Government :

    This system also saves money for the government. The blockchain also provides a platform for sensitive, open data. Startups can use this data to expose fraud schemes and farmers can use it to do accurate farm-cropping.

    This data is open for citizens' input only once a year. Blockchain can disclose this data to the public whenever they need it. Moreover, it provides a self-managing platform for organisations, NGOs, and government agencies.

    • Cryptocurrency :

      • Blockchain technology forms the basis for cryptocurrency like bitcoin. And currencies such as the US dollar are controlled and verified by a central authority, that is generally done by a bank or government.

      If in case, the bank of customers collapse, or they reside in a country where the government is unstable, then the value of users' currency might be at risk. These are the concerns from which bitcoin was born.

      Here, Blockchain plays its role, it lets bitcoin and other cryptocurrencies work without the need for central authority by spreading its operations across a network of computers.

      How Blockchain Technology works    :       https://youtu.be/yubzJw0uiE4