The new buzzword after bitcoin, we hear is blockchain every day. At every conference or new online article but what exactly is blockchain?
Blockchain technology is the concept or protocol behind the running of the blockchain network which makes cryptocurrencies such as digital currencies secured by cryptography like how bitcoin works and just how emails are sent all over the internet.
The blockchain network is immutable which means unchangeable, meaning a transaction or a file recorded cant be changed leading to a distributed ledger which means a digital record of transactions or data stored on multiple databases on a computer network with many use cases beyond cryptocurrencies. Since this year began, the aggregate market value of all virtual currencies combined has risen about 1,800% to 400 billion dollars. The two largest cryptocurrencies by market cap, Bitcoin and Ethereum attracted many investors around the world and it happened within just over 11 months.
What makes blockchain Futuristic?
Looking at the surge of cryptocurrencies is exciting surrounding blockchain technology. This is not only the foundation of virtual currencies default infrastructure but Blockchain is also a digital and decentralized ledger technology that records all transactions without the need for a financial intermediary like a bank. It provides five distinctive advantages over the existing payment facilitation network that could make it a go-to technology for financial services and other industries in the future.
Octal Digital, expert in android app development services is proud to write five top advantages of Blockchain by expert Blockchain Engineers below:
Transparency
One of the prime reasons blockchain is intriguing to businesses is that the technology was launched as an open-source project and still operates to be open-source, which means other developers from all over the world have the opportunity to modify it as they see fit but what the most important part about blockchain being open source is that makes altering logged data within a blockchain incredibly difficult. After all, if there are countless eyes on the network, anyone will have access and see the timestamp of logged data and if it is altered or not, which makes blockchain a particularly secure mobile app development houston technology for the world of tomorrow.
Reduced transaction costs
As per the new technology era with tedious transactional procedures, blockchain allows peer-to-peer and business-to-business transactions to be completed without needing any third party like a bank. Since there is no middleman involvement tied to blockchain transactions, it means they can reduce the costs to the user and businesses over some time and become a game-changer in the domain of financial technology.
Faster transaction Speed
When it comes to conventional financial modals and traditional banks, its not uncommon for transactions to take days to completely settle down, this happens due to the tedious protocols in bank transferring software, as well as the fact that financial institutions are only open during business hours, five days a week. The geographical locations of financial institutions also create ambiguity of time zones around the world, which results in delays for hours and days and sometimes weeks. Meaning blockchain-based transactions processes are comparatively game changers.
Decentralization
Another crucial advantage of adopting blockchain, is the lack of a central data hub, instead of running a massive data center and verifying transactions through that hub, blockchain allows individual transactions to have their proof of validity and the authorization to enforce those constraints with information on a particular blockchain node throughout the world on individual servers. This ensures that even if the confidential data falls into unwanted hands like cybercriminals, only a small amount of data will be compromised and not the whole data network.
User-centered networks
Finally, the control feature of blockchain tends to be very appealing to bitcoin investors. Users and developers, rather than a third party, are the ones who get to make the decisions. For example, a fork into two different currencies (bitcoin and bitcoin cash) was needed more than four months ago due to an inability to obtain an 80 percent consensus on an update connected to bitcoin’s blockchain. With investors and mobile app development houston companies, having a say goes a long way.
CONCLUSION
Octal Digital is a leading and fastest growing blockchain based mobile app development company houston with an expert team of app developer houston, seasoned in Blockchain, the company has been awarded and known as one of the most innovative mobile app development companies houston for all the android app development services.
Despite these evident advantages, the success of blockchain is far from certain.
On the plus side, we’ve already seen 200 enterprises test out a version of Ethereum’s blockchain in some capacity, with other nascent players like Ripple finding enterprise customers using their blockchain in small-scale or experimental initiatives.
To summarize, blockchain may have a bright future as a primary payment facilitator for the financial services industry, but it is unlikely to find instant success but in the long run, it’s going to be a game changer.
