An Introduction to the Blockchain Technology for the Beginners

These days, technology is scaling newer heights of success at an unbelievably fast pace. One of the latest triumphs in this direction is the evolution of the Blockchain technology. The new technology has greatly influenced the finance sector. Actually, it was initially developed for Bitcoin – the digital currency. However now, it finds its application in a number of other things as well.

Coming across this far was probably easy. But, one is yet to learn what is Blockchain?

A distributed database

Imagine an electronic spreadsheet, that is copied umpteen amount of times across a computer network. Now, imagine Bitcoin Revolution Official is designed so smartly that it regularly updates the spreadsheet on its own. This is a broad summary of the Blockchain. Blockchain holds information as a shared database. Moreover, this database gets reconciled continuously.

This approach has its own benefits. It does not allow the database to be stored at any single location. The records inside it possess genuine public attribute and may be verified quickly. As there is no centralised version of the records, unauthorised users haven’t any methods to manipulate with and corrupt the info. The Blockchain distributed database is simultaneously hosted by an incredible number of computers, making the data easy to get at to almost anyone over the virtual web.

To help make the concept or the technology clearer, it is just a good idea to discuss the Google Docs analogy.

Google Docs analogy for Blockchain

After the advent of the eMail, the conventional method of sharing documents is to send a Microsoft Word doc as attachment to a recipient or recipients. The recipients will take their sweet time to go through it, before they send back the revised copy. In this process, one needs to wait till receiving the return copy to start to see the changes designed to the document. This is really because the sender is locked out from making corrections till the recipient is performed with the editing and sends the document back. Contemporary databases do not allow two owners access the same record concurrently. This is one way banks maintain balances of these clients or account-holders.

In contrast to the set practice, Google docs allow both the parties to access the same document simultaneously. Moreover, it also allows to view an individual version of the document to both of these simultaneously. Just like a shared ledger, the Google Docs also acts as a shared document. The distributed part only becomes relevant when the sharing involves multiple users. The Blockchain technology is, in a way, an extension of this concept. However, you should explain here that the Blockchain isn’t meant to share documents. Rather, it is just an analogy, which can only help to have clear-cut idea about this cutting-edge technology.

Salient Blockchain features

Blockchain stores blocks of information across the network, which are identical. By virtue of the feature:

The data or information cannot be controlled by any single, particular entity.
There can’t be no single failure point either.
The data is hold in a public network, which ensures absolute transparency in the overall procedure.
The data stored in it cannot be corrupted.
Demand for Blockchain developers

As mentioned earlier, Blockchain technology has a very high application in the world of finance and banking. According to the World Bank, more than US$ 430 billion money transfers were sent through it only in 2015. Thus, Blockchain developers have significant demand in the market.

The Blockchain eliminates the payoff of the middlemen in such monetary transactions. It had been the invention of the GUI (Graphical User Interface), which facilitated the common man to gain access to computers in form of desktops. Similarly, the wallet application may be the most common GUI for the Blockchain technology. Users utilize the wallet to buy things they need using Bitcoin or any other cryptocurrency.