Many people think of blockchain as the technology that powers bitcoin while this was its original purpose blockchain is capable. So much more despite the sound of the word, there’s not just one blockchain that is shorthand for the whole suite of distributed ledger technologies.
That can be programmed to record and track anything of value from financial transactions to medical records or even land titles. you might be thinking we already have processes in place to track data what’s so special about blockchain. Let’s break down the reasons why blockchain technology stands to revolutionize the way we interact with each other reason number one is the way it.
- Tracks and Stores data
Blockchain stores information in batches called blocks that are linked together in a chronological fashion to form a continuous metaphorical chain of blocks. If you make a change to the information recorded in a particular block you don’t rewrite it instead the change is stored in a new block. showing that X changed to Y at a particular date and time because blockchain is based on the centuries-old method of the general financial ledger. It’s a non-destructive way to track data changes.
Now here’s where things get really interesting unlike the age-old ledger method originally a book than database files stored on a single system blockchain was designed to be decentralized. And distributed across a large network of computers this decentralizing of information reduces the ability for data tampering.
2. It creates trust in the data
Before a block can be added to the chain a few things have to happen first a cryptographic puzzle must be solved. Thus creating the block of the computers solves the puzzle shares the solution with all of the other computers on the network. Then verify this proof of work
If correct the block will be added to the chain the combination of these complex math puzzles and verification by many computers ensures that we can trust each and every block on the chain because the network does the trust. Building for us we have the opportunity to interact directly with our data in real-time.
3. No more intermediaries