Blockchain Fundamentals

Blockchain technology has the potential to impact and change outdated paradigms in international commerce and trade, contract negotiations, foreign relations and global finance. Blockchain technology reduces or in some cases eliminates the need for third-parties in transactions of all types. Blockchain networks are self-governing and self regulating.

What is Blockchain?

At its essence, a blockchain is a tamper-proof data structure that tracks something of value as it passes from owner to owner. Blockchain is a shared, immutable ledger that facilitates the process of recording transactions and tracking the transfer of ownership on anything of value. Assets can be tangible or intangible.

Virtually anything of value can be tracked and traded on a blockchain network, reducing risk and cutting costs for all involved. Business runs on information. The faster it’s received and the more accurate it is, the better.

Blockchain is ideal for delivering that information because it provides immediate, shared and completely transparent information stored on an immutable ledger that can be accessed only by users validated network members.

A blockchain network can track orders, payments, accounts, production and much more. And because members share a single view of the truth, you can see all details of a transaction end to end, giving you greater confidence, as well as new efficiencies and opportunities.

Key elements of a blockchain network.

Blockchain is a list of records called blocks that store data publicly and in chronological order. The information is encrypted to ensure that the privacy of the user is not compromised and data cannot be altered. The information is stored and managed in a decentralized manner hence no central authority is the sole decision maker. Instead, most decisions are based on a consensus of all the participating nodes of the network spread all over the world.

Features.

Now that we have some basic understanding of blockchain technology let us review its primary features: Network Capacity Blockchain software is designed to store small blocks of data in a decentralized ledger or database. Blockchain software runs on a peer-to-peer network of computers called nodes. This allows for automatic rapid scaling making capacity of the network infinite.