What is Blockchain?
A blockchain is a database stored in blocks (not tables), in a decentralized environment, where each block is linked together by a chain. It includes 1 to N transactions where each new block is validated and added to the end of the chain. Each block contains a timestamp, 1 to N transactions that can fit into the empty space, a link to a previous block known as a Previous Block ID, the next block ID and so forth. These blocks are recorded and cannot be altered once submitted.
Types of Blockchains
Public Blockchains
A blockchain where all can access and make transactions among users. Here, anyone can contribute to the census. Example, Cryptocurrencies.
Private Blockchains
This is where write permissions are always kept centralized to only one organization. An example is a compliance agencies and the like.
Consortium Blockchains
This blockchain is a distributed ledger where the consensus process is controlled by a pre-selected set of nodes. It is semi-decentralized.
Hybrid Blockchains
A hybrid blockchain is known as a combination of private and public blockchains. Users can control who gets access to which data in the block.
Crypto Currency, Blockchain, and Your Business
In 2021, we see a trend among financial institutions in adopting Blockchain and Digital Currency as a method of squaring away financial transactions. Banks are now demonstrating that there are advantages in using blockchain for public use. As of 2020, J.P. Morgan & Chase Bank have declared that they have created their own crypto currency as a means of allowing consumers to redeem the dollar per dollar amount for digital currency. J.P. Morgan & Chase News However, not everyone will get a chance to own JPM Digital Coin. Only those who are corporations, banks, and brokers can use the coins.
What does this mean for businesses? It means that businesses would be wise to adopt to the new method of conducting transactions, whether on the blockchain or accepting crypto currency as form of payment for services or products. We are moving rapidly towards a complete Blockchain system world wide and some of our U.S. financial institutions are already preparing to accept digital currency. Those facts are predicated in evidence that Blockchain is being hailed by many as the King of decentralized transactions and crypto currency is also on the blockchain. In that, all businesses will soon be forced to get on the Blockchain bandwagon and accept crypto currency or go out of business for failing to be innovative.