Cryptocurrency, Bitcoin I’m sure you might have heard or googled about these once in your lifetime. Bitcoin is online money and was created in 2008 by a gathering of obscure individuals. So, since we are talking about bitcoin- what makes it so popular? It’s THE TECHNOLOGY-named BLOCKCHAIN.
WHAT IS BITCOIN?
Bitcoin is decentralized i.e. not gave or sponsored by any banks or governments, nor are individual bitcoins significant as a product. As the buzz is around bitcoin here, have you thought about which technology is used behind bitcoin & Cryptocurrency? Blockchain is the word!
Blockchain: How does it work?
Blockchain was first imagined in 1991 by Stuart Haber and W. Scott Stornetta, two analysts who needed to make a framework where archive timestamps couldn’t be altered. The launch of Bitcoin in January 2009 happened and it was almost two decades later that blockchain had its first real-world application.
It is a type of database that stores transactional records. The name itself describes its structure. It is a Chain of blocks containing data. It stores data that can never be changed, hash number(HN), and a previous hash block number(PHN).
Technology that blockchain uses:
PHN & HN both are linked, whenever you try to change data the hash automatically changes, as this hash is connected to the next hash a dissimilarity occurs, and the chain breaks. Hence, hacking or cheating with this system is impossible.
Blockchain is distinctive on the grounds that no one is in control; it’s controlled by individuals who use it. In addition, it’s unwinding to hear that: bitcoins can’t be faked, hacked or twofold spent – so individuals that own this cash can believe that it has some worth. Apart from this, Blockchain is based on P2P i.e. peer to peer topology, and uses DLT (distributed ledger technology).
This allows data to store not only on a single server but Globally- on thousands of servers. Each and every peer can track another’s real-time entries, this makes it difficult for a single person to take control of the system or use it unethically. If anyone exits the system with the available information it doesn’t matter as most of them are holding the same info which will validate.
Bitcoin: the trending currency.
So, Why is Blockchain getting so much attention?
Just a word, Bitcoin.
The Bitcoin trade has grabbed the attention of people around the world. It is getting easier to invest marking your own security and responsibilities.
Bitcoin and other computerized monetary forms, for example, ethereum utilize this innovation. Currently, these systems are called risky but as soon as people will normalize it and start using it on a broader spectrum the percentage of risk decreases as the number of blocks increase!
Numerous nations like the USA,UK, Australia,Canada, Germany have acknowledged Bitcoin and individuals are utilizing it!But, countries like India, China, Russia are still against it! As the origin of the system is still unknown.
One bitcoin is 57,673 USD. What is in it for investors? Why does every investor want to endue in bitcoin?
High returns and top-performing assets, alternative hedge to inflation and many more but indeed show up risks therfore guarantee high returns!
And now once again Bitcoin is on high demand because of it supply changes, Its the time of mid-April 2021 and bitcoin is a superstar in this season.
What is future of Blockchain:
– In the course of time-
Looking over the horizon we definitely know that Blockchain is having a greater side, a greater understanding in people’s mind. People will accept it and will follow. Here are few applications of Blockchain which might get recognition in the future:-
- Payment processing and money transfers
2. Digital voting
3. In real estate
5. Medical recordkeeping
6. Managing IoT
And many more!
Future is filled with science and Technology. We can’t deny the fact that Blockchain is leading amongst all of them !!!