Steemit Crypto Academy Contest | S8W1 | The Importance Of Blockchain Technology - @janemorane
Hello beautiful people!
From the day I joined steemit I came to know about what is blockchain technology and how it works, Today I will share my understanding of how blockchain works and some of its benefits and issues.
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What are The main issues arising in the existing system of Blockchain technology.
Blockchain is considered as the most growing technology in this era and has a lot of benefits now and in the upcoming future. Everything has some drawbacks or issues because it can’t be perfect of course. Some of the main issues arising in Blockchain technology system are;
Management
As Blockchain systems are decentralised and do not have any central authority the decision making can be tough at times. There is no one authority who makes decisions in the network and thus the involvement of many partners or participants may cause conf;ict between who will make changes and who will authorise things in the network. So governance in the blockchain is a common issue.
Privacy
Most of us are always concerned about the privacy and security of your accounts and wallets. The blockchain system works on a technology that provides secure work on the platforms but this security is given through transparency which is not privacy friendly for all the users. When everything on the blockchain technology is transparent, all the people can see and know about your transactions and other actions. I hope there will be some efforts made to make blockchain technology more private.
Data Modification
One of the main issues that I think need attention is that of data modification. Once you record data in a blockchain system it can not be modified easily. You have to change whole blocks for modifying or correcting a single thing which is very costly. Apart from modification there is no way you can delete any data you have recorded in the blockchain system and if you ever made a mistake it can not be deleted but it remains in the system forever.
Explain to us some of the key features of Blockchain Technology
Decentralisation
One of the main features of Blockchain technology is decentralisation. As blockchain technology is decentralised means everyone is his own boss and you don’t need anyone to perform your actions. Also, Transactions are verified by a network of users, rather than a single entity, which makes it more secure to work on. Decentralisation makes blockchain different from others and its users work independently without the fear of central authority.
Efficiency
Blockchain technology provides faster and efficient transactions due to less interruption of others. For making transactions you just need your wallet and the right method to follow. You do not need long processes and intermediaries which makes it more efficient and takes less time to complete. Less payment processes makes it more timely and efficient which is a good feature of blockchain technology.
Smart contracts
Blockchain technology allows for the creation of smart contracts, which are self-executing contracts that automatically enforce the terms of an agreement on the users. This is very helpful in making complex business processes to work automatically and reduce costs.
Give a basic and simple understanding of how blockchain technology works.
Working of Blockchain Technology
The working of the blockchain technology is not simple. It involves a very complex and complicated process in which the blocks are validated by the validators of the blockchain. There are different components of the blockchain that are very much helpful in this regard.
The most important component of the blockchain technology is the consensum protocols that are implemented in different types of blockchain based on their working and applications. The concensus algorithms are actually the set of rules and regulations that are finalized by all the block validators of that blockchain.
There are different types of consensus protocols just like Proof of stake, proof of work, proof of burn, and many more. There are different types of new protocols that are being introduced in the blockchain technology. These protocols play very important role in the security of the blockchain as well.
When a transaction is proceed in a blockchain then the data is directly transferred to the validators of that blockchain. After processing the data throw the use of different high reputed and complex hardware devices the data is manipulated and verified by those nodes. After the verification of the data, the further process is carried out.
When a transaction is successfully verified then it is added in the block. When a block is full of its specific capacity then this block is added to the previously verified block. This process is repeated again and again and hence a chain of verified blocks is formed which is known as blockchain.
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Provide an understanding of how we can be able to use Zero knowledge proof for authentication.
The Zero Knowledge Proof is a very advanced and latest technology which has been implemented especially in the blockchain technology to improve the security and privacy. It is a process in which we can get access to different Private data and information that is encrypted with different keys.
To get access to those sensitive information we don't need the private key it's own. But we only need the particular code word or solve the particular captcha that we have created for that private key. For example if we have to unlock an application then we have to give the code word that we have set at the time of applying the Zero Knowledge Proof technology.
This is a process in which the transactions are verified by keeping in view the privacy of both the validators and the provers. The validators just have to show the particular keyword to unlock the sensitive information and thus the transaction is verified.
The personal information of both parties are kept private and their not shown publicly in the process of verifying the transactions. There are number of applications of this latest technology in different fields. In the delivered there are many practical applications of this technology just like the security system of popular companies and brands.
Advantages and Disadvantages Of Blockchain Technology
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Advantages
Trust:
On blockchain technology the validation of data is confirmed by many users which makes it trustworthy for any application to trust. The application for whom their data is important and crucial to keep they can use blockchain technology for their work without any trust issues.
Immutable record-keeping:
It keeps records of your data and all your transactions forever and this immutable record keeping is the key advantage of blockchain technology. This helps many applications where they need to keep their data recorded and safe without any deletion and prevent from any third party interruption.
Security:
Blockchain systems are the most secure of all technologies because Blockchain technology uses multiplex algorithms and cryptography to secure transactions and intercept unauthorised access to your data. It is secure for everyone to use as once a transaction is recorded in the blockchain no one can change it thus all your transactions are safe.
Increased accountability:
Blockchain technology creates a transparent along with auditable record of all transactions that are performed, which increases accountability to the actions and reduces the risk of fraud.Because not one but many users are accountable for the validation there are very less chances of corruption and many users are in charge of the data validation.
Disadvantages
Energy Consumption
Blockchain technology runs on a great amount of energy, as it requires a huge amount of energy to run its processes and also each of the transactions on blockchain technology is performed with a huge amount of computing power. Thus all the processes and transactions on blockchain consumes too much energy thus it is costly for everyone to work on.
Lack of standardisation:
Blockchain technology does not have any standardised protocol. Communication becomes easier on the blockchain if it has standardised protocol and blockchain technology lacks that protocol which makes it difficult for different users to approach or interact with each other on the block chain technology.
Storage limitation:
Blockchain stores data and does not delete any data permanently as it is designed in this way to store data permanently so it can cause storage limitations. Once the provided data is full the large scale businesses will find it difficult to delete any data and challenge those systems that require frequent data updates.
4.Complexity:
Blockchain has a very complex structure and needs some know- how to work on it and because of its complex interface it is not user friendly. Many users who want to work on blockchain can not do it because they find it difficult to understand. You need some information about the technical things before working on a blockchain system.
Assalamoalaikum @Janemorane, your post on the key features and advantages & disadvantages of blockchain technology is so insightful! After going through your post, I have certainly gained a thorough understanding of the concept.
The way you described those complex terms in such an engaging manner was simply amazing. You made sure to cover each point in great detail without getting too complex for us to comprehend. Your post has definitely removed some of the confusion around blockchain technology.
I really appreciate that you also included the shortcomings of this technology as well. Being aware of both the positive and negative aspects of something helps us better prepare for them. Your post has impacted me positively and has been extremely helpful. Thank you for all your hard work!
Regards, @fabiha
Thank you for sharing your understanding of blockchain technology, its key features, issues, and zero-knowledge proofs.
I agree that blockchain is a growing technology with many benefits, but it's not perfect. The issues you mentioned, such as governance, privacy, and data modification, are common challenges that the blockchain community is actively working to address.
The key features of blockchain technology, including decentralization, efficiency, and smart contracts, make it a unique and promising technology for various industries.
Your explanation of how blockchain technology works is informative, and I appreciate your emphasis on the consensus protocols and their role in the security of the blockchain.
Your description of zero-knowledge proofs and how they can be used for authentication is also helpful in understanding the advanced security features of blockchain technology.
Overall, your post provides a clear and concise understanding of blockchain technology and its potential advantages and disadvantages. Thank you for sharing your knowledge!
Good luck
Assalamualaikum,
Hey Dear friend, Blockchain is our future and Our Future is associated with Blockchain. You have produced a very informative and creative article and share with your community. Thanks for your efforts to make such informative post.
I think it is not just easy it is almost equal to impossible to change or edit data on Blockchain because all the data input on blocks and transactions made on Blockchain are irreversible. It is a major problem for Blockchain because if someone send assets on wrong network we can't do anything to recover them.
Your discussion about working of Blockchain and Zero Knowledge Proof is also Informative. Good luck in this contest. Have a nice day 😊
Greetings, sister @janemorane!
Your insights about the importance of blockchain technology is well-written and informative. I really appreciate the effort you put into explaining the issues and benefits of blockchain technology. The points you mention about management, privacy, and data modification issues in blockchain technology are crucial for every user to understand.
I would love to see more of your quality posts in the future dear , and I encourage you to keep sharing your knowledge with us. 👍🏼💯👏🏼
Best regards
@artist1111
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Hii @janemorane
Thanks for sharing your quality content with us.blockchain is making progress day by day although we have face some issues in the implementation of blockchain Technology such as scaliibility or compatibility issues. You have rightly said that the management,privacy and data modifications are the issues behind the implementation.
You also explained well about the key features of Blockchain technology. Decentralization that does not allow the involvement of third party,effecient working anď smart contracts that make the blockchain a worth technology.
You have clearly explain about the zero knowledge Proof that allow the authentication without knowing the personal information of two parties. This authentication is used in many apps or website to get access to their data.
There are lot of advantages of blockchain technology that make it worthy.There are some disadvantages also.If we will able to solve the issues in blockchain implementation we can use it will move towards more advancements.
I appreciate the effort you put in creating this article.
Good luck for the contest.
A well written publication my friend you have presented here. You have written well on the importance of blockchain technology and few parts that caught my attention were the parts of immutability, security and trust. These are essential components associated with every blockchain technology.
Though, despite all these features, the technology still has a few draw back even as you have listed a few of them such as complexity, storage limitation, energy consumption etc. This are problems associated with the technology and it has given the tech a serious draw back. I wish you success in this contest my friend.
Thank you so much for your nice words friend, every system have some kind of limitations and so blockchain have.
I am glad you find my publication good enough.
Greetings!