What is Blockchain? The question that seems like everybody is asking nowadays. Although undeniably an ingenious invention since it’s beginning, now has evolved into something much greater. By allowing digital information to be distributed but not copied, blockchain technology created the backbone of a new type of internet. Originally devised for the digital currency Bitcoin, the tech community has now found other potential uses for the technology.
A blockchain is, in the simplest of terms, a time-stamped series of immutable records of data that is managed by a cluster of computers not owned by any single entity. Each of these blocks of data (i.e. block) is secured and bound to each other using cryptographic principles (i.e. chain).
The blockchain network has no central authority — it is the very definition of a democratized system. Anything that is built on the blockchain is by its very nature transparent and everyone involved is accountable for their actions.
A blockchain carries no transaction cost. (An infrastructure cost yes, but no transaction cost.) The blockchain is a simple yet ingenious way of passing information from A to B in a fully automated and safe manner. One party to a transaction initiates the process by creating a block. This block is verified by thousands, perhaps millions of computers distributed around the net. The verified block is added to a chain, which is stored across the net, creating not just a unique record, but a unique record with a unique history. Falsifying a single record would mean falsifying the entire chain in millions of instances. That is virtually impossible. Bitcoin uses this model for monetary transactions, but it can be deployed in many other ways.
Not only can the blockchain transfer and store money, but it can also replace all processes and business models that rely on charging a small fee for a transaction. Or any other transaction between two parties.
Could this method be used also to travel safely and even more secure on the internet? Can this actually work or is it just going to get left as an idea from a tv-series? We believe this is going to happen in the near future and we will be lucky to witness this technology.