Cryptocurrencies and Blockchain Technology Applications

Foreword

The concept of blockchain recently came into the limelight when the hype around Bitcoin and other cryptocurrencies gained momentum. Blockchain is the underlying principle behind cryptocurrencies. At the center of blockchain is a distributed ledger that records all the transactions that take place in the network. A blockchain network is usually described as decentralized because it is replicated across many network participants, each of which collaborates in its maintenance. In addition to being decentralized and collaborative, the information recorded on the blockchain is also immutable, which guarantees that once a transaction has been added to the ledger, it cannot be modified. This property of immutability assures the participants that their information is safe and secure.

The technology itself holds much more promise in various areas such as time stamping, logging of critical events in a system, recording of transactions, trustworthy e-governance, etc. With blockchain technology in the financial sector, participants can interact directly and can make transactions across the Internet without the interference of a third party. Such transactions through blockchain will not share any personal information regarding participants and it creates a transaction record by encrypting the identifying information. The most exciting feature of blockchain is that it greatly reduces the possibilities of a data breach. In contrast with the traditional processes, in blockchain there ...