In this article, we will talk about Blockchain and its importance in security and the solutions that this technology can offer.
How can you be sure that you are buying something genuine and not a copy? Dealing with all kinds of valuable situations requires being able to have the correct information.
It is essential to have integrity in everything that has to do with a valuable transaction.
But in a world where we’re dealing with hackers, viruses, disinformation, and false news and all kinds of risks to the integrity of information, it’s very difficult. How do you deal with that?
The answer lies in a technology called Blockchain, which can provide a single source of truth that cannot be manipulated. It can be verified and is unalterable.
You may also be interested in it:
Blockchain security: What is Blockchain?
Let’s suppose that two people want to make a transfer of something of value. It can be money, a property, both parties have to agree to the terms of that transfer.
Once the transfer is made in a definitive manner, each of the two parties must have proof of the transfer in their own general ledger.
That is, with their own accounting, where there may be errors or discrepancies between both versions of the transfer, or even one of the two parties may alter the information or even lose the information.
What would happen if both parties shared and wrote the record in a shared general ledger and did so permanently and unchangeably?
That’s the concept behind Blockchain.
Let’s now look at each element of that definition.
Blockchain is a general ledger and this general ledger is a computer file that grows constantly.
A permanent record of all transactions
Another advantage that Blockchain offers in terms of security, is that it keeps a permanent record of all transactions.
That is, every single transaction that has ever happened in the entire history of Bitcoin is recorded in the Bitcoin Blockchain.
Even what we’re looking at here is a record of the first bitcoin transaction because one can go to what’s called a block explorer and one can transparently see all the transactions that have happened in Bitcoin.
In this case, we’re looking at the first Bitcoin transaction, which happened on January 3, 2009, and this was Satoshi Nakamoto, who created the first transaction and kept a secret message inside.
This message, we have it recorded in this first transaction in the following picture.
The information is stored securely
This information is stored safely in the blockchain.
Bitcoin uses highly advanced cryptography and maintains the information distributed through thousands of computers, each of which keeps an exact copy of the blockchain.
That is, instead of just having a copy of this Blockchain, it is copied and maintained in a distributed manner across thousands of computers globally.
Read also: 14 Myths About Bitcoin: Truth or Lie?
There is an exact copy of this blockchain in thousands of computers around the world, which eliminates the possibility of having a single point of failure because there is an exact copy of this blockchain in thousands of computers globally.
The information is stored chronologically
The information is stored chronologically. As new transactions occur, they continue to be added to this general ledger chronologically.
This information once recorded is immutable so no one can make any modifications or changes to these transactions that have been recorded.