What is blockchain technology: Its Features and Future?

What is Blockchain Technology - Features and Future

According to a report presented by Statista, the Adoption phase for the blockchain market will grow more than a hundred times, i.e., 162 billion$ milestones in size by 2027.

Transparency and automation are the need of the hour as the world is seeing the social impact of emerging technologies. Blockchain, being one such technological advancements, attracts big tech giants, banks, financial institutes, and business personals from a multitude of industries like banking, retail, healthcare, and cybersecurity.

Three years back in 2017, when bitcoin picked up momentum, Blockchain saw a constant surge to never collapse again and presented itself more sustainably with its utility beyond currency and finance. Let’s see what blockchain technology is, in totality.

What Blockchain Technology is all about?

As the name indicates, it’s the chain of the blocks that contain information and is aligned with the hash of the previous block to form a chain. Remember those ledgers you maintained in the past to keep the data about transactions, imports, or exports? It works like the same.

Blockchain is a decentralized, immutable, and distributed ledger technology that maintains all cryptocurrency and economic transactions or records. Since it’s a peer-to-peer system, it eliminates the need for intermediaries and hence is least vulnerable. Even after being operated on the spectrum of decentralization, the data and transactional details on the blockchain network are kept in anonymous and encrypted form.

Is Blockchain Technology Secure?

This is the first thing that comes to our mind, especially in the context of bitcoin. With no centralized security or governing authority, the concept of power and trust is in the hands of distributed nodes, i.e., the network of the people. For instance, if an outsider or one of the members tries to defraud or infringe the network, he needs to influence the rest involved. Influencing the rest of the members for support is barely possible, thus preventing all kinds of tempering or infringements.

Blockchain works on a ubiquitous surveillance model.

To prevent tampering, it is given with a proof-of-work mechanism that renders it defense-grade security. Therefore, driven by consensus and immutability, it is super tough to hack. Since it’s a chain of blocks, it’s possible to track every single block added or tempered in the past.

Maintaining the Blockchain Network for Cryptocurrency

The adage “buy the rumor, sell the news” fits right in the scenario. Yet in its infancy, the surge in the use of cryptocurrency is to see a boom in near future and so does the blockchain network. People, investing in cryptocurrency, realize its future market value and growth potential. Individuals maintain their blockchain wallets to manage, send, receive, earn, exchange, swap, store, buy, and sell different kinds of cryptocurrencies, including Bitcoin or Ethereum.

Virtually anything of value, not only cryptocurrency, can be recorded on a blockchain network; this network could be public, private, permission-based, or a consortium of organizations. Cost and time-saving features of blockchain technology have put it at the forefront of multiple businesses and industries. Besides, blockchain has encouraged broad adoption, interoperability, transparency, and innovation to attract future investors.

Estimating the Future Of Blockchain

Cryptocurrency transformed the finance industry and blockchain transformed the way it is to be managed. Not limiting its use case to the finance industry, its panoramic scope and use cases are to be widened to a great extent by 2025.

To give a definite edge to the market, blockchain innovations are to be aligned with the market to use it productively and promptly. With the potential to change our life, blockchain is soon to get intertwined in organizations for increased scalability.

Blockchain Trends that will reign the Market in 2021

  1. Presenting it as a “pragmatic governance model”, blockchain collects, standardizes, and maintains information from different sources, thus reducing the invested time from days to minutes.
  2. Data security, being the backbone of the blockchain network, will require validation tools. These tools, when used in congruence with crypto anchors, oracles, and IoT beacons, will minimize discrepancies.
  3. Technological add-ons are soon to supplement blockchain, and it will see unprecedented and unthought-of results. Integration of smart algorithms to extract data will not only keep it secure but will also add trust to validate the network.
  4. Interconnectivity and interoperability are becoming crucial for interaction and integration between different decentralized networks. Blockchain interoperability is the ability to see, access, and share information across various blockchain networks.

To no one’s doubt, Covid-19 has accelerated blockchain transition and its global market reach.

Blockchain technology is preferred by industries for offering higher privacy, transparency, and efficiency, as it enables them to modernize and streamline their business operations. With increased transparency and privacy, blockchain will be an ideal platform to store the sheer volume of data for companies.

Ready to embrace the change? Blockchain Technology’s rise is a signal of a change and chance, irrespective of what industry it is. Be a part of the change and hire professional Blockchain Developers to get your project done in the destined time.

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