In our previous post we talked about role of Artificial Intelligence in Genomics. We have shared a lot of information about the applications of AI in genetics. Today, we will discuss a topic which is very popular among the tech geeks, the BlockChain Technology.
What is Blockchain Technology?
It is an undeniably ingenious invention. The technology which was earlier devised for the digital currency, Bitcoin has now find other potential users and uses of the technology. The technology allows the information to be distributed but not copied. The Blockchain is managed by a cluster of computer and doesn’t have an individual identity. Moreover, it is a time stamped series of immutable data. The blocks of data is accepted and bounded by cryptographic principles.
What are the reasons for which it is said that Blockchain has industry disrupting capabilities?
The technology having no Central security, can be very well defined as a democratized system. The information in it can be seen by everyone and anyone. This is the reason it is said that anything built on Blockchain is transparent and whosoever involved in it is responsible for the actions.
There Blockchain carries no transaction cost although there is an infrastructure cost. The Blockchain is a simple and safe method of passing information from A to B. There Bitcoin uses this model for monetary transactions.
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How does Blockchain work?
Imagining a spreadsheet that is duplicated thousand times across a network of computers and the network is designed to regularly update the spreadsheet will give you the basic idea of the Blockchain. The data or the information held on Blockchain exists as shared and continuously reconciled database. Using the database in this manner has benefits. The information isn’t stored on any single location making the database public and easy to access.
What are the reasons due to which Blockchain gained so much admiration?
- It is decentralized because no single entity owns it.
- The data stored inside cryptographically.
- No one can tamper the data inside the Blockchain because it is immutable.
- The Blockchain being transparent is easy to track.
What are the pillars of Blockchain Technology?
Mainly there are three pillars of Blockchain Technology which helped it gain widespread acclaim:
The three pillars holds explanation as:
- Decentralization: We used centralized services before the Bitcoin and BitTorrent came along. The idea was clear that there was a centralized entity that stored all the data and information and to access any kind of data you had to solely interact with this entity and get whatever information you require. On talking about an example, we can say Banks also had the centralized system where you can get access to your deposited money only by going through the bank. This systems were great and tested us well, but they had some vulnerabilities, I e.
- Being a centralized system all the data was stored in a single location making it potential spots for hackers.
- Whenever the centralized system software had to be updated, the entire state goes into hault.
- If for any reason the centralized system would shut, all the information that it possesses would be out of access.
- In case of the entire system getting corrupted and malicious, all the data in it had to be compromised.
So, in a decentralized system no information is stored in a single location and if you want to interact to your friend you can directly go to him without involving any third party.
- Transparency: Keeping the real identity secure the Blockchain technology shows the transactions that were done by their public address. The level of transparency in it is was never attained before. It provides the much needed extra accountability which can be required by big institutions.
- Immutability: The term immutability in Blockchain referred s any information entered in it is free of tampering i.e. no one can take with the data entered in it. Cryptographic hash function is the reason that Blockchain gets this property. Hash referred to as taking input of any length and delivering the output of a fixed length. The cryptographic hash function is a special kind of hash function which has various properties making it ideal for cryptography.
How is the network and nodes maintained?
Peer to peer method is used to maintain the Blockchain. Nodes collectively form the network interconnecting each other. Nodes are single computers taking input and functioning on them to give output. This system partitions its entire workload between the participants those are equally privileged. Thus, making no central network but many distributed and decentralized peers.
Why do peer to peer network is used by people?
The major and most common use of peer to peer network is torrenting i.e. file sharing. In a client-server model the downloading is extremely slow and entirely dependent on the health of the server. Moreover, it is also prone to censorship. So, in peer to peer network there is no central entity and even if one network goes out of the race, you will have several others to use.
Blockchain will bring smart contract and handy economy in near future.