We live in a world, where new technology is an everyday thing, but most people know only about the smallest percentage of all new technologies that are coming out, but you don’t have to worry – because it’s normal to not know.
Talking about the topic of technology, you’ve probably heard the word “Blockchain” in the past year or so.
If the word makes no sense to you or you have a little bit of knowledge of what it could be – then you should keep reading.
Also, even if you are a blockchain expert or blockchain is your lifestyle – I still recommend you to keep reading because ignorance is not knowing.
“What value will I get from this blog post?”
It doesn’t matter how much previous knowledge you have or how old are you because after reading this, you’ll understand Blockchain enough to participate in a conversation about this technology without looking like someone’s talking to you in a foreign language you don’t know.
And you will probably start looking for ways how to use blockchain in your own life.
You really should make blockchain become an ally of yours.
Anyways, now is the time to meet these blocks and chains.
There is a Chance You Already Understand Blockchain
First, let’s try to define what’s blockchain to confuse you even more.
Blockchain, as you might know, is a technology, an innovative one. Judging by the name of the technology, we can understand it’s several blocks or even groups, consisting of transactions and a chain that holds them together and distributes them among the users.
Blockchain technology records transactions in a verifiable way for the two parties between which the transaction is happening.
The transaction recorded by the technology is also permanent because Blockchain’s data can’t be modified.
I bet for a 7-yr old this is a brand new planet.
But it’s easier to learn something if we compare it with something we already understand or understand partly. So let’s do that.
Why Is It Different?
We could compare Blockchain with Wikipedia (did you expect that?), looking from a surface level, of course.
In the situation of blockchain, the record of information consists of entries written by several people. Not only one person.
With Wikipedia it’s not any different, the information you see on Wikipedia is also published by many different people, not a single publisher.
However, if we dive deeper into comparing blockchain with Wikipedia, we can easily see some differences.
It is not a secret that both blockchain and Wikipedia run on the internet.
On the internet, when we search for Wikipedia it is with the “www”, which means it’s built into the World Wide Web.
And on Wikipedia, a user can change and add new entries of information on Wikipedia’s centralized server.
The databases of that centralized server, called centralized databases are highly protected, almost as much protected as the government’s centralized databases.
Databases Matter
But now, let’s look at the blockchain and the database the technology creates.
It is completely different from the centralized databases of Wikipedia and that makes blockchain technology special.
You see, on Wikipedia, the information is edited on a server, and that way all users see the new version.
But with blockchain, it isn’t like that. Every node in the blockchain’s network comes to the same conclusion, differently from Wikipedia and its server, they update the record of information independently, and instead of seeing the newest version, you see the most popular one.
For me, this difference makes blockchain technology look more appealing.
To help you understand blockchain better – we should take a look at some more facts.
A New Type of Internet
The original intent for blockchain was to buy cryptocurrency, more specifically, Bitcoin.
But the tech community, as always looking for new solutions, found other ways to use blockchain.
Because of blockchain’s superpower to allow digital information to be distributed but not copied, the technology created a new skeleton for a different type of internet we hadn’t seen before.
People started liking blockchain because its digital information of it is visible to everyone plus anything that is built on the principles of blockchain is completely transparent.
That makes it harder to make sketchy actions because everyone will see.
For that, we can say blockchain is safer and could be defined as a democratic system.
What Else Is Good About It?
The answer to this question is amazingly simple.
- It is free.
Blockchain technology can transfer money and store money and at the same time, it changes a thing we’re all used to. The fees.
Blockchain can replace those business models which make a profit by charging a small fee for every transaction or even the fee in a transaction between two parties.
- And despite being free, it is also safe!
All those benefits of blockchain technology, it is a big factor that made Bitcoin so big.
I have to be honest with you, the pros and benefits of blockchain don’t stop here – there are even more, we could easily make this post long.
So if you want to learn more about why blockchain can improve your life and future, then make sure you let us know in the comments.
Conclusions For Now
This technology can improve our lives.
No more transactions are being missed and things like human errors will become extinct on the internet.
But you have to realize – That Blockchain technology hasn’t stopped improving and updating.
It is constantly evolving.
