What is Blockchain?


Blockchain means “block + chain”. It is basically a technology designed for the secure storage of assets containing value. It is transparent, decentralized and open to everyone. Its first application is Bitcoin, which was released in 2009.

The structures in which data is stored in the blockchain are called blocks. These blocks form the blockchain network in the form of an interconnected chain. Each block is linked to the previous one, creating an irreversible, unalterable chain.

Due to its structure, it is impossible to control it from a single center. Blockchain technology was first used on cryptocurrencies and its usage area is becoming more and more widespread.

Blockchain and Smart Contracts

Smart contracts are an integral part of blockchain technology. It is a key component that eliminates the problem of trust between the parties. In this system, when predetermined conditions are met, transactions are automatically executed and recorded in the ledger. In order to change these records recorded in the ledger, it is necessary to change the entire chain. Because each record is linked to the previous and the next.

What Will Blockchain Technology Change in Our Lives?

Banking: As cryptocurrency emerged, it promised to revolutionize the traditional banking system. Financial institutions have already started using decentralized technology for some of their operations with Ripple and Ethereum. Cryptocurrency will become a tool of commerce as the technology starts to be used by more people in more countries.

Cybersecurity: Blockchain minimizes the need for human intervention using smart contracts and advanced encryption concepts. This means that human errors are reduced. Unlike central servers, the blockchain network is protected against any attack.

Crowdfunding: Unfortunately, many businesses and projects fail in a short time due to lack of funds. Blockchain will change the world with solutions that support seamless crowdfunding.

Health System: Every year, many people have health problems and die due to medical errors. By doing a little google search, you can see how serious the number of people who lost their lives due to mistakes made. Using blockchain technology, a secure and centralized system can be created that contains each patient's medical records, history and ailments. The enhanced security layer will ensure that only authorized doctors have access to this privileged information.

Logistics: The biggest problem of businesses is the distribution process. With blockchain technology, businesses can monitor every movement in this process, identify inefficient methods and develop better methods.

Elections: Unlike blockchain digital voting systems, it will use a system that can be audited and verified after voting. This would also allow for a system where votes could be confirmed and timestamped to be legitimate.

Cryptocurrency Market: Gradually, cryptocurrencies are becoming the preferred means of payment. The technology is still at a very early stage and continues to be developed. More miners, programmers, analysts and developers are required to continue this development process. This will create more opportunities and job demand in the future.

Blockchain and cryptocurrency will change the world. This change will reach points that we cannot possibly imagine.

Source: btcmagazin.com