Public blockchain networks
A public blockchain network is a decentralized network that is open to anyone to join and participate in. In a public blockchain, anyone can read, write, and audit the transaction history, and all participants have equal power and authority within the network.
Some examples of public blockchain networks include the Bitcoin and Ethereum networks.
Private blockchain networks
In a private blockchain, only authorized users are allowed to join and participate in the network, and access to the transaction history may be restricted to certain users.
They are often used by organizations that want to use the benefits of blockchain technology, such as increased transparency and security while maintaining control over who can access the network and the data within it.
Permissioned blockchain networks
A permissioned blockchain network is a type of private blockchain network that requires participants to be granted permission to join and access the network. Access is typically restricted to a specific group of individuals or organizations, and participants must be authorized by a central authority or a group of authorized users before they can join the network.
A consortium blockchain network is a type of private blockchain network that is owned and operated by a group of organizations, rather than a single entity.
They can be more efficient and faster than public blockchain networks, as the number of participants is typically smaller and the need for consensus may be reduced. At the same time, they may offer a higher level of security and trust than a fully private blockchain network, as they involve multiple organizations working together.
Types of blockchain networks
Blockchains are widely used in cryptocurrency systems because of their ability to securely and transparently maintain a decentralized record of transactions. They provide a way to verify the integrity and security of data without requiring a central authority. In this way, blockchains help to create trust among parties involved in a transaction or exchange.
Civic is a platform that aims to protect users from identity scams by giving them control over their data and who can access it. If someone attempts to access data that the user has not authorized, they will receive an instant notification. They also offer a $1 million protection guarantee for added security.
Anybody using the Prodoge smartphone application can start transferring payments, advertising their company, and offering their products and services to anybody in the globe in less than a minute. Prodoge connects buyers, dealers, colleagues, and relatives all across the world, allowing them to transmit money and expand their businesses.
Voatz is a decentralized, portable election voting tool that enables individuals to vote safely from anywhere while also allowing authorities to conduct elections with ease. It makes use of shared ledger technology to assure the safety and legitimacy of international voters.
MetaMask, which is accessible as a desktop application and a smartphone app, provides a key locker, protected login, coin wallet, and currency transfer; it has all that you would need to administer your virtual assets.
What does Blockchain mean?
A blockchain is a decentralized, digital ledger that records transactions on multiple computers. The term "blockchain" refers to the way the ledger is structured: it works by making a list of all the transactions that have happened and then sharing that list with lots of different computers all around the world.
One of the key benefits of a blockchain is that it allows multiple parties to reach a consensus on the state of a shared database without the need for a central authority.
This makes it a useful tool for securely tracking and verifying transactions, as well as creating trust among parties who may not have a direct relationship.
Blockchain technology can help to increase trust among network members by providing accurate and timely data that is only shared with those who have been granted access by the user. As a member-only network, blockchain ensures that confidential records are kept secure and only shared with those who have been granted permission.
In a blockchain network, all members must reach a consensus on the accuracy of the data and all validated transactions are recorded permanently and cannot be altered or deleted. This helps to ensure the integrity and immutability of the blockchain record.
By eliminating the need for a central authority or intermediary, blockchain allows for peer-to-peer transactions that can be processed more quickly and cheaply.
Some benefits of using blockchains
Blockchain is important because...
It has a wide range of potential uses and applications, including tracking digital currency transactions, managing supply chains, creating secure digital identities, enabling smart contracts, storing and managing electronic health records, and facilitating the buying and selling of real estate. As technology continues to evolve, it is likely that new applications will emerge.
How are Blockchains used?
Banking and Finance
Blockchain never sleeps, so if you try to deposit a check on Friday at 6 pm you don’t have to wait until Monday morning to see that money hit your account.
Medical records can be stored on the blockchain to provide patients with a tamper-proof record of their health information. By encoding the records with a private key, only authorized individuals can access the information.
Blockchain technology has the potential to streamline the process of verifying and recording property ownership by eliminating the need for physical documents and record-keeping. This can be particularly useful in areas with limited government infrastructure or that have been affected by conflict, where it may be difficult to prove ownership of property through traditional means.
self-executing contracts with the terms of the agreement between buyer and seller being directly written into lines of code. The code and the agreed-upon terms are stored and replicated on a blockchain network. Smart contracts allow for the automation of the contract execution process, reducing the need for intermediaries and potentially increasing efficiency and speed.
The food industry is increasingly using blockchain technology to trace the journey of food from the farm to the consumer, ensuring the safety and quality of the product. Suppliers can use blockchain to record the origins of materials, allowing companies to verify the authenticity of their products, such as whether they are "organic," "local," or "fair trade." This helps to increase transparency and build trust with consumers.
Blockchain technology has the potential to improve the security and transparency of voting systems. By using blockchain to facilitate the voting process, it would be nearly impossible to tamper with votes due to the transparency and immutability of the blockchain. This could help to increase confidence in the electoral process and ensure that the results accurately reflect the will of the voters.
Retail loyalty rewards programs
By using tokens that are stored on the blockchain to reward consumers for their loyalty, retailers can incentivize customers to shop at their store or chain. This can revolutionize the way retailers approach customer loyalty and retention.
"Burniske and Tatar look at blockchain from a financial perspective, but they also cover key technological concepts along the way. "Cryptoassets: The Innovative Investor's Guide to Bitcoin and Beyond" is written for investors, rather than programmers or Bitcoin enthusiasts. That keeps most of their explanations relevant and comprehensible. Burniske and Tatar start with the origins of Bitcoin during the 2008 financial crisis and cover the basics. They also explain the crucial differences between Bitcoin and broader blockchain technology. The book then goes into detail on the types of crypto assets that have arisen, such as crypto tokens and crypto commodities."
Don Tapscott, Alex Tapscott
The father and son team of Don and Alex Tapscott have written "Blockchain Revolution" to explain the impact of cryptocurrencies. The fully open platform of blockchain technology will expand and transform what we can do online, the way we do it, and who can participate. According to the Tapscotts, blockchain technology will immensely improve the delivery of expanding financial services and the safeguarding of personal identity information. Blockchain also has benefits for business contracts and the development of the Internet of Things (IoT)
The book also discusses the various ways that blockchain technology is changing the future of money, transactions, and business. Don Tapscott, also the author of "Wikinomics," and his son, Alex, an expert on the blockchain, carefully explain the technology. They see it as a simple but transformative protocol that enables financial transactions to be both anonymous and secure through the distributed ledger. The authors recognize that blockchain technology is still in its infancy. They do an excellent job of separating what the technology can actually deliver now from its vast potential for the future.
If you want to learn how blockchain works, you may find yourself lost in a universe of books that either quickly skim through the technical concepts or that discuss the underlying technical principles at a highly mathematical level. The former may leave you unsatisfied because these books miss to explain the technical details necessary to understand and to appreciate blockchain while the latter may leave you unsatisfied because those books already require the knowledge you want to acquire. "Blockchain Basics" is different because it not only fills the gap between purely technical books and purely business-focused books but also teaches all concepts and principles of blockchain in a non-technical fashion. It does so by utilizing a didactic concept that is based on pictorial explanations, analogies, and metaphors.”
Disclaimer: the information provided is for informational purposes only and is not intended as a recommendation or endorsement of any particular product, service, or course of action.