What is blockchain?
The blockchain is a public ledger that anyone can access. This ledger contains the history and current status of transactions per block for a given network. The contents of this ledger cannot be changed, except with the cooperation of the majority of the network. The larger and more decentralised the network, the more reliable and secure it is.
What are the advantages of blockchain?
As the contents of the ledger are tamper-proof, it can be used to store important records with complete security. The blockchain encryption system allows operators to use it anonymously. Changes to the general ledger are monitored and approved by the actors in the system, making it democratic. Last but not least, transactions and operations are automated.
What can a blockchain be used for?
With authenticated and verified data needs in almost all walks of life today, blockchain technology has many uses, whether in the private and business sectors or even in public records. Given the importance of trust in the relationship between citizens and the state, the security and transparency of blockchain is being applied in many public sectors. A good example of this could be running land registry or vehicle registers on a blockchain. Blockchain voting has also been considered in some countries to prevent fraud.
In the business sector, blockchain is often used as an efficient solution for logistics chain management. A good example is Starbucks’ bean-to-cup program, which helps trace the exact origins of our coffee, from the plantation to our cup. It is understood that the blockchain is the largest cryptocurrency in financial systems innovation, but these cryptocurrencies and their blockchains also tend to be solutions to real business problems.