What is a Blockchain Network?
Blockchain is a network of data which is synchronized in such a way across multiple platforms that the data doesn’t belong to any single entity. According to the dictionary definition, a block chain is a database that sufficiently manages data records that make any edition in data impossible. It facilitates transactions through bitcoins, cryptocurrencies without any third party intervention. This helps in blocking any chance or option of corruption in any transaction as a permanent database is created consisting of all possible transactions, perfectly recorded on the network.
With blockchains, a new level of efficiency, reliability, transparency and cost-effectiveness has become possible and realistic.
The Promising Revolution in FinTech
Due to the promising technology, more equity firms and consultants are considering blockchain seriously. The launch of cryptocurrencies makes it easier to develop an entirely new capital market industry which will impact the whole manner in which transactions are carried out. Apart from this, it will also help in creating more transparency and decrease any possibility for corruption, fraud and theft. Globally, financial technology sector is reaching an all-time high and under a phase of evolution. This shows how technology can minimize risks for transactions, increase performance for contractual term and make transactions more transparent.
Blockchain Technology in Pakistan
The awareness about blockchain is on a rapid increase in Pakistan. More people are now interested in learning, understanding and investing in cryptocurrencies. The “Bitcoin Association of Pakistan” has been launched and built as a network of people interested in blockchain technology.
A number of start-ups dealing in digital currencies have also been launched. Urdubit is first trading platform for cryptocurrencies in Pakistan. Certify.pk is another start-up providing academic authentication for blockchain in Pakistan.
Elements of a Blockchain System
The basic elements of a blockchain system include:
The Decentralized Data
The blockchain is completely decentralized; this is also one of the biggest advantages of using blockchain as well. There is not a single authority that has the power of approving or rejecting any transactions.
A Very Safe System of Transactions
In blockchains, the complete data is secured in blocks which are impossible to be manipulated or rewritten. The data also remains constantly available in the specific data nodes, which makes the transactions very secure and safe. No one can change, hide or manipulate the transactions on a blockchain. This secure system makes it impossible to carry out any fraudulent activities or corruption. This helps in making businesses more efficient, secure and free from danger.
No matter what, you can’t change blockchain data. This is perhaps the most important feature that differentiates it from rest of the transaction systems. There is no possibility of duplications and once the records are created, they cannot be altered.
Considering these benefits, there is no doubt that blockchain is going to be the future mode of transaction in every sector. In fact, it is currently the most evolving and advancing technology of the modern times. The benefits of blockchain such as transparency, safety and unchangeable nature of data records make financial systems very safe and secure. Be it health sector, banks, capital markets, insurance, real estate or any other, cryptocurrencies are soon going to be the most used method of transactions!