Blockchain technology future of Startups
A blockchain is a growing list of records, called blocks, which are linked using cryptography. Decentralized consensus has therefore been claimed with a blockchain. Blockchain was invented by Satoshi Nakamoto in 2008 to serve as the public transaction ledger of the cryptocurrency bitcoin.
By allowing digital information to be distributed but not copied, blockchain technology created the backbone of a new type of internet. Originally devised for the digital currency, Bitcoin, the tech community has now found other potential uses for the technology.
A blockchain is, in the simplest of terms, a time-stamped series of an immutable record of data that is managed by a cluster of computers not owned by any single entity. Each of these blocks of data (i.e. block) are secured and bound to each other using cryptographic principles (i.e. chain).
The blockchain network has no central authority — it is the very definition of a democratized system. Since it is a shared and immutable ledger, the information in it is open for anyone and everyone to see. Hence, anything that is built on the blockchain is by its very nature transparent and everyone involved is accountable for their actions.
How Does Blockchain Work?
Picture a spreadsheet that is duplicated thousands of times across a network of computers. Then imagine that this network is designed to regularly update this spreadsheet and you have a basic understanding of the blockchain.
Information held on a blockchain exists as a shared — and continually reconciled — database. This is a way of using the network that has obvious benefits. The blockchain database isn’t stored in any single location, meaning the records it keeps are truly public and easily verifiable. No centralized version of this information exists for a hacker to corrupt. Hosted by millions of computers simultaneously, its data is accessible to anyone on the internet.
The reason why the blockchain has gained so much admiration is that:
1) It is not owned by a single entity, hence it is decentralized.
2) The data is cryptographically stored inside.
3) The blockchain is immutable, so no one can tamper with the data that is inside the blockchain
4) The blockchain is transparent so one can track the data if they want to.
Blockchain startups are selling visions of the future, not technology. The blockchain is a collection of visions guiding us toward the future.
The creation of bitcoin and its blockchain brought to life a vision. It showed the possibility of a new future, that allowed for a deviation on to a different path of innovation. It didn’t just create technology but opened the door to create spreadable rhetoric.
When these visions spread as rhetoric, it’s easy to fall for the narrative that they will all come true – but that’s a tall order. Instead, then we should view blockchain tech for what it is – the manifestation of a vision – one that, though bright, might never pan out in reality.
Currently, blockchain tech is constructing a tangible structure to make these visions a reality. It’s currently not much more than the first stages of an experiment. And given the massive interest in this “experiment,” it could have a significant impact on our future. Even if what actually materialises is very different from what we are being promised by the blockchain startups of today.
How far will it go? We can’t know. We can only ponder over its impact in hindsight. Until then, we must see blockchain tech as experimental visions, rather than world-altering creations.
If someone is telling you something will be the future, they obviously can’t know for definite. They can have a vision: it’s not necessarily a lie, but it’s not the truth either.
It’s technology thing of youth so, is there any startup related to blockchain technology in the youngest country of world India?
We will see it in the next article.
Till then, stay tuned…….