Blockchain, what is it?

The chances are you are an inquisitive developer seeking more knowledge on blockchain development and what it entails. To give you it plain and clear, blockchain development spawned from the creation of the Bitcoin cryptocurrency. To put it simply, blockchain is a public ledger housed within a virtual space, the data entered is stored in a secure, transparent manner. Blockchain allows the free transfer of currencies utilising a decentralised environment, whereas banks facilitate account transactions with traditional currencies. Further supporting the strength of blockchain’s security, all data is held within an interlinked network of systems, this network is owned and run by the users themselves.

Although Bitcoin is backed by nothing but sentiment with a possibility for future collapse, the benefits and potential future of Blockchain are big enough to sustain its relevance for years to come. There’re many various industries that can benefit from blockchain in the future as it continues its growth in popularity and acceptance.

5 Key Advantages of Using Blockchain Development

Voting

The voting system in many countries is built upon a trust system. Citizens trust their vote will be handled by a third party and delivered legitimately to a source processing this vote and reaching the desired outcome.

In 2016 NASDAQ decided to utilise their blockchain knowledge to bridge a gap within the technological sector of voting. Leveraging blockchain technology they developed a voting system to allow international shareholders the ability to vote on major decisions within large enterprises. This system encouraged and increased intermediate communication between investors and company representatives.

Decentralisation

Moving on from voting we have one critical advantage that allows a blockchain voting system to become trusted, blockchain is decentralised. This means there is no need for a trusted third party or intermediary to validate transactions. Rather than a third party, a consensus system is used to reach an agreement on the validity of transactions.

Assurance of quality

Quality assurance is primarily focused on delivering a product that achieves and maintains a certain level of quality. Since blockchain has no need for a third party, it allows retailers to quickly identify a malfunctioning or low-quality product within their supply chain and quickly recall it. This speed and efficiency wouldn’t be possible within an existing procedure within the present market.

Peer-to-peer international transactions

Of course, as we previously mentioned, blockchain came from Bitcoin. Similar to many other cryptocurrencies. Bitcoin pioneered the change in how individuals transferred funds from one another. Individuals gained the ability to securely and at a low cost, transfer funds around the world.

PayPal was present during the time that Bitcoin was created but unlike Bitcoin, PayPal requires the user to make a transaction fee payment similar to other P2P services. Other P2P services analogous to PayPal have specific limitations, location restrictions and minimum transfer amount to mention just a couple. Slowly over the next 5-10 years, more and more businesses will begin to adopt cryptocurrencies in an effort to save money.

Cost Efficiency

As discussed, blockchain allows point to point transactions (International & Domestic) without the need for a third party. As a result of no longer needing banks to be involved in transactions, it only means a reduction in the costs to the user or businesses in the long haul.

Conclusion

Many specialists argue that people aren’t ready yet for decentralised digital ledgers, however, monitoring the progress and the steps forward that blockchain has made so far, we don’t think it will take very long before non-adopters open up to the opportunity.