Why Blockchain - extrimian/documentation GitHub Wiki
Blockchain
Blockchain is a specific type of database. It differs from a typical database in the way it stores information; blockchains store data in blocks that are then chained together.
Blockchain utilizes data encryption and voting-based technologies to enable greater control, accountability, and protection across diverse parties in complex networks. These technologies themselves can be used in many industries (medicine, financial services, utilities, and the whole data management and exchange business sectors).
Blockchain is a programmatic network that allows companies to access the internet and transforms operating processes in order to boost their profitability. Blockchain has a better track record-keeping, auditing, security, and speed in the perfect business usage case.
How does Blockchain work
There was no system for securing and validating ownership of a digital asset or verifying a transaction in a trusted, public way before the blockchain technology for the industry. The level of confidentiality and anonymity it provides is one of the most attractive facets of Blockchain for the industry. Blockchain moves trust to decentralize agreement among all network users from the central authorities, thereby enhancing confidence and protection.
Another big advantage with a decentralized network being that it is highly fault-resistant, since a single point of failure is eliminated and the blockchain remains usable even in the case of failure of several nodes. Instead, data are encrypted, sync and distributed through a number of nodes that take part in a company network. Blockchain is a single location.
Decentralized network do not rely on a central control point when it comes to governance and allow for complex permissions. Blockchain utilizes creative consensus protocols through a network of nodes to verify transactions and record data in an environment that is highly likely to be irreversible instead of depending on a central authority for transactions with another consumer. And because there is no need for intermediaries, companies may save resources and costs.
Collective changes by consensus guarantee the network nodes vote upon a blockchain state and provide an environment of self-auditing. Users may benefit from lightweight consensus algorithms in private blockchains that use rounds of polling and digital protective signatures. This increases the efficiency and performance of private chains and prevents the need for costly electrical use and computers. Digital assets guarantee the security and completeness of data and are used to connect a company to digital data.
Blockchain as a service
BaaS, also known as Blockchain as a service is used by companies or enterprises that build blockchain applications to manage cloud-based networks. Blockchain application has evolved from being just to handle cryptocurrency transactions to securing transactions of different kinds. BaaS is a third-party service that is new to the rapidly growing field of blockchain. It runs the back-end operations for blockchain apps like a web host. With BaaS, the adoption of blockchain is most likely to skyrocket.
BaaS is adopted from the software as a service (SaaS) model and they both have the same similarity in their functions. It allows people to utilize cloud-based solutions to build, host, and operate their own blockchain apps, platforms and other related functions on the blockchain. At the same time, the cloud-based service provider keeps infrastructure agile and operational.
Overview
- Superbly transparent
- Data unchangeable
- It is distributed
- Consensus-based
- Digital assets
- Allows asset modelling (i.e. tokenization)