Today, technology is scaling new levels of success at an incredibly fast pace. One of the latest triumphs in this direction is the evolution of Blockchain technology. New technology has greatly influenced the financial sector. In fact, it was initially developed for Bitcoin, the digital currency. But now it also finds its application in other things.
Getting here was probably easy. But do you still need to know what Blockchain is?
A distributed database
Imagine an electronic spreadsheet, which is copied many times over a computer network. Now, imagine that the computer network is designed so cleverly that it periodically updates the spreadsheet on its own. This is an overview of the Blockchain. Blockchain contains information as a shared database. In addition, this database is continuously reconciled.
This approach has its own advantages. It does not allow you to store the database anywhere. The records they contain have a real public attribute and can be verified very easily. Because there is no centralized version of the records, unauthorized users have no means to manipulate and corrupt the data. The Blockchain distributed database is hosted simultaneously by millions of computers, making it easy for almost everyone to access the data via the virtual web.
To make the concept or technology clearer, it’s a good idea to discuss the Google Docs analogy.
Google Docs analogy for Blockchain
After email arrives, the conventional way to share documents is to send a Microsoft Word document as an attachment to one or more recipients. Recipients will have a good time before submitting the revised copy. In this approach, you must wait to receive the return copy to see the changes made to the document. This is because the sender cannot make corrections until the recipient finishes editing and submits the document again. Contemporary databases do not allow two owners to access the same record at the same time. This is how banks maintain the balances of their customers or account holders.
Unlike established practice, Google Docs allow both parties to access the same document at the same time. In addition, it also allows you to view a single version of the document in both simultaneously. Like a shared ledger, Google Docs also acts as a shared document. The distributed part only becomes relevant when participation involves multiple users. Blockchain technology is, in a way, an extension of this concept. However, it is important to note here that the Blockchain is not intended for document sharing. Rather, it’s just an analogy, which will help you get a clear idea of this cutting-edge technology.
Featured Blockchain features
Blockchain stores blocks of information on the network that are identical. Under this feature:
- Data or information cannot be controlled by any specific entity.
- Nor can there be any point of failure.
- The data is kept in a public network, which guarantees absolute transparency in the general procedure.
- Stored data cannot be corrupted.
Demand for Blockchain developers
As mentioned above, Blockchain technology has a very high application in the world of finance and banking. According to the World Bank, more than US $ 430 billion was sent in money transfers in 2015 alone. Therefore, Blockchain developers have significant market demand.
The Blockchain eliminates the profits of intermediaries in these monetary transactions. It was the invention of the GUI (Graphical User Interface), which made it easier for ordinary people to access computers in the form of desktops. Similarly, the portfolio application is the most common GUI for Blockchain technology. Users use the wallet to buy the things they want using Bitcoin or any other cryptocurrency.