Along with the level of security that this system provides against hacking, we find another huge advantage: even if the network were to fall, with only one of those computers or nodes not doing so, the information would never be lost or the service, depending on the case that we speak, it would continue working.
An example that illustrates the importance of the distributed network is in social networks. With this system, blockchain would eliminate the centralization imposed by applications such as Facebook or Twitter when identifying or validating the origin of our messages, and the integrity of them would be guaranteed by the network of nodes.
Even if the network goes down, if only one of those nodes do not, the information will not be lost
The technology is based on four fundamentals: the shared registration of transactions (ledger), the consensus to verify transactions, a contract that determines the rules of operation of transactions and finally cryptography, which is the foundation of everything.
Once the business network is created, the transactions and processes that the blockchain will use are defined. Here, we highlight some basic criteria to help in the classification of the eligible processes:
Extremely complex (and slow) processes that maintain a validation chain at several levels;
Transactions that require traceability;
Transactions that require unique and non-alterable records;
Identity processes;
The need to increase (or establish) a relationship of trust between members of the business network;
New business models
One of the main benefits of a blockchain system is that it has the promise of eliminating - or greatly reducing - friction and costs in a wide variety of applications, mainly financial services since it eliminates a central authority (for example, a clearinghouse) when making and validating transactions.
To gain a solid understanding of how to use blockchain in a business configuration, CIOs must first understand how a unit of value in a transaction moves from part A to part B. This infographic details how the block chain works from the beginning of the transaction, through verification and until the delivery.
Bitcoin: Learn how the new universal currency works
The exchange rate of Bitcoin to the dollar is high: 1 Bitcoin (BTC) equals the US $ 2,559. It is estimated that more than 70,000 transactions are made every day for more than US $ 100,000.
The Bitcoin is a currency, like a euro or a dollar, which serves to exchange goods and services. However, unlike these currencies, Bitcoin is an electronic currency, which exists exclusively on the Internet, which gains prestige in cyberspace thanks to its efficiency, security, and ease of exchange.
It is the first implementation of a concept known as cryptographic currency. The first specification of the so-called Bitcoin protocol was published in 2009 under the alias of Satoshi Nakamoto in an email list. This digital character left the Bitcoin project at the end of 2010 but since then there has been an enthusiastic community that has grown exponentially, thanks to the arrival of more and more developers working on the Bitcoin protocol.
To date, although several investigations have identified the people who could be behind the alias Satoshi Nakamoto, there is no certainty about the true identity of the creator of Bitcoin, generating doubts and uncertainty about his intentions.
Why the Bitcoin protocol remained in operation? Because it is an open source software that any programmer can access. Although programmers are introducing more and more software improvements, they can not force changes to the protocol because it needs to be compatible with everyone. In simple words, Bitcoin will only work correctly as long as there is the consensus among users. Therefore, users and programmers have a high incentive to avoid altering the code. From the user's perspective, Bitcoin is nothing more than a mobile or desktop application, which provides a personal wallet and allows you to send and receive Bitcoins quickly and easily.
