Blockchain, a term synonymous with Bitcoin or Dogecoin, disrupted the global equity market when first launched. A highly hyped terminology, blockchain is nothing more than a digital system for recording transactions and related data in multiple places at the same time.
It is a type of distributed ledger technology, where every transaction in the ledger is authorized by the digital signature of the owner. This makes ledgers tamper-proof. Hence the information in the digital ledger is highly secure.
Now, its application has expanded to many areas. From supply chain and logistics to BFSI, from manufacturing to entertainment, blockchain has helped streamline processes and increase efficiency.
It is a common belief that blockchain and cryptocurrencies like Bitcoin, and Solana are the same. But in reality, cryptocurrencies rely on blockchain technology to be secure.
What makes Blockchain so popular?
As blockchain technology uses digital signatures it is almost impossible to corrupt or change one user’s data by the other user without a specific digital signature.
There is no need for regulatory bodies like the government or banks to approve transactions. In blockchain, transactions are done with the mutual consensus of users resulting in safer and faster transactions.