The term “blockchain” has become synonymous with cryptocurrency and bitcoin. But these are mere applications of Blockchain. Say, for example, voice or face recognition are just the applications of Artificial Intelligence. So, then, what is blockchain? To define in the most non-technical language, Blockchain is a chain of blocks that contain timestamped information so that it’s not possible to backdate or tamper them. Once the data is recorded inside a blockchain, it becomes immutable. The purpose of blockchain is to resolve the issue of the duplicity of records without the need for a central server. Blockchain is used for the safe transfer of items like money, property, contracts, and any other kind of valuable documents. It makes any transaction unchangeable and impenetrable – thus ensuring end-to-end security.
In a slightly technical parlance, Blockchain is a structure that stores transaction history, known as a block, in a web of databases, known as a “chain,” in a network connected via peer 2 peer nodes. The storage is termed a digital ledger. So, blockchain is a digitally distributable ledger that is end-to-end immutable, and decentralised – helping transactions get recorded and tracked across networks. Now that you have a fair idea of what it is, let’s dive into the various applications where blockchain becomes the powering catalyst for up-and-coming digital trends, that will further add to the understanding.
Most Popular Blockchain Applications
- Cryptocurrency – Surely, everyone would have heard about “cryptocurrency” – the trending form of digital money. With the popularity that it has gained, cryptocurrency is revolutionizing the digital landscape by bringing ease and flexibility to monetary transactions. Bitcoin, Ethereum, etc., are cryptocurrencies based on blockchain and exchanged amongst a shared network. This network is neither controlled nor comes under the jurisdiction of any national government but is driven through a distributed network over the internet. These cryptocurrencies are immutable and end-to-end secure, thereby invoking the trust of investors around the world.
- Web 3.0 – After the digital revolution and the internet bubble in the 1990s, the Web has come a long way. From Web 1.0, and 2.0 to Web 3.0 in the coming future, the internet will be witnessing a massive shift, especially with blockchain in the picture. With Web 2.0, static web pages meant for information consumption and hosted on costly servers were replaced by dynamic two-way experiences and user-generated content that gave us AirBnBs, Ubers, and social media giants of our age. The ascent of Web 2.0 was more or less spearheaded by three fundamental layers of technology and innovation: mobile, social, and cloud.Web 3.0 enables a future where distributed users and machines can interact through a web of peer-to-peer networks without the need for large centralized systems. The world is shifting to a more decentralized system – providing greater authority and ownership to the users, thereby creating an individual-led & privacy-centric web, disrupting its current form.
- NFTs – When we first heard what NFTs or Non-Fungible Tokens are and how hot a property they are becoming, we thought it was some April Fool’s Day prank. It sure wasn’t. They are as real as the Moon. Everyone wants a piece of the NFTs.So, what is it? NFTs are essentially anything digital be it art, paintings, drawings, music, etc (Sky’s the limit. Think creatively). “Non-fungible” means that it’s unique and cannot be replaced with anything else. So there is only one original and one owner of that original when it comes to NFTs, unlike cryptocurrency.Most NFTs are part of the Ethereum blockchain. ETH is a cryptocurrency but its blockchain also supports NFTs. More recently, other blockchains too, are implementing their versions of NFTs. NFTs can be considered an evolution of physical art collecting, but in digital form.
- Digital credentials – These are another form of digital asset Digital credentials are a digital representation of paper-based credentials that include a broad range of documents like driver’s licenses, passports, offer letters, degrees, badges, training completion certificates, and online certifications, among others.ValidateMe.Online hence, becomes a niche platform where digital credentials in the form of documents, certificates, badges, etc., are issued by organizations to individuals – thus, making the credential end-to-end authentic and valid for life by leveraging blockchain technology.
To read more about digital credentials, click here. Blockchain holds the key to disrupting the current form of information sharing. From cryptocurrencies to digital credentials, it is powering digital assets to make them impenetrable and provide greater authority and access to owners.Before we conclude this post, here is a summing up what makes Blockchain Technology so disruptive in the technology landscape
- Immutability – Blockchain offers end-to-end immutability of any digital asset. Since it acts as a ledger, once any transaction takes place, it is recorded on the blockchain forever. This essentially means that the transaction, be it for trading NFTs or issuing digital credentials, can never be tampered with.
- Ownership – Blockchain also extends the sole authority to individuals who own the said digital assets. This ensures greater security and eliminates any malpractice.
- Traceability and verification – With blockchain at play, traceability and verification become extremely simple and efficient. Any digital asset parsed through blockchain can be instantly verified.-As an example, consider the digital credentialing platform, ValidateMe.Online. It offers a feature that allows any third party to verify a digital document shared by the recipient in a matter of a few clicks with verification.
Blockchain technology has a lot to offer – and to be honest, we haven’t even started. It can be leveraged in a wide range of sectors – from finance to education and we will tell you how. But this is one post that you will have to wait for! We are excited to talk about Blockchain in greater detail in our upcoming post – so hang on tight and stay tuned to our blog. We would love to hear if you have any exciting news and stories about blockchain, so feel free to write to us!