Blockchain has emerged as a transformative trader force in different aspects of private and government sector operations. The potential has been recognized globally. Different companies highlight the advantages of blockchain and how using it can help you reduce the operational and compliance cost and improve effectiveness and efficiency.
Though the technical underpinnings of the technology might be alluring to most people and decision-makers, blockchains can make it easy for companies to collaborate with ease with the citizens and can make things transparent for the private and government sectors.
In India, the technology of Blockchain is still nascent. Plenty of companies belong to different industries in India, it is a concept that people do not understand completely. Though this technique or technology is still not so popular and in its nascent stage, some companies are adopting it and using it for the betterment. One should know whether this technique meets the regulatory issues and is legal for other implementing prerequisites.
Back in 2009, Blockchain technology started as support to bitcoin. It is a revolutionary innovation. People started using the initial steps to learn crypto trading for investment and blockchain became the backbone of bitcoin. After Bitcoin was introduced in the market, there have been new developments. People saw the use of blockchain and new cases. Though people can do a lot with the use of blockchain, a lot less is done by people. The executives belonging to different companies are confused about whether they should use or need blockchain technology.
When you are using blockchain technology and have uploaded the data on the block or the ledger, you cannot change the data by using any kind of network. This is the reason why it is said that you should upload data correctly and consciously without a mistake. Another thing that one should know is that after you have added data, anyone can track the data and know the entire history of all the records that have been made over the years. It is hard to hack blockchain technology as it is made with the use of complex and difficult algorithms.
What Are The Types Of Blockchain Networks?
There are mainly four types of blockchain networks found today. These are the public blockchain network, private blockchain network, permissioned blockchain network and lastly the consortium blockchain. Now let us know about these in detail.
Public Blockchain Networks
The public blockchain is open to all. For example, Bitcoin is a type of public blockchain network in which anyone can join without any problem. Some of the concerning points about public blockchain networks are:
- Substantial computational requirement of power
- No privacy during transactions
- Weak security
For enterprises that use blockchain networks should consider these or else they might suffer from serious consequences later on.
Private Blockchain Networks
The private blockchain network is a decentralized network that works peer-to-peer. This network is more or less the same as the public blockchain network. The key differentiator between the two is that one organization looks after the network. This organization allows the participants to the network. It also controls the consensus protocol and then maintains the ledger that is shared. Based on the type of use, this will boost the confidence and trust over time between the people who have participated in the private blockchain network. This network can also be used as a firewall of the corporate sectors and can be hosted on the premises.
Permissioned Blockchain Networks
Permissioned blockchain networks are usually used by businesses that have set their foot in the private blockchain. You must take note of the public blockchain networks that can also be permissioned. This network has some strong restrictions and allows only selected participants. The people who are participating should have permission or invitation to join.
Consortium Blockchains
Different organizations in the industry can form and maintain blockchain by sharing their responsibilities. The organizations that are preselected can determine who they can submit the transactions and give access to the stored data. This type of blockchain is good for the business when participants should have permission and have shared responsibility.
Final thoughts
The industry experts have more information about blockchain technology and its type. Speak to professionals to get more ideas.
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