What Is the Blockchain? A Simple Overview in 10 Quick Facts
Posted by EDI Staffing on October 22, 2018
Advancements in technology are happening constantly in our world. As more and more industries rely on technology and digital systems to succeed, programs and procedures are set up to keep things running smoothly and securely.
One such program: the blockchain. Simply put, the blockchain is technology that makes cryptocurrency (digital currency) possible. As a relatively new and ever-developing technology, blockchain is fairly difficult for most people to understand. If your company has a strong digital presence, however, a basic understanding of blockchain will be very helpful.
To give you a simple overview, we’ve broken down our summary of the blockchain into 10 easily digestible facts that will help you understand it just a little better.
- Blockchain can be thought of as a “digital ledger,” one that keeps record of digital transactions.
- “Blocks” are new transaction records that are added to the already existing “chain” of previous records.
- The blockchain exists across a network of computers, each one of which stores duplicates of the records.
- This network works together to verify the ledger, eliminating the need for a centralized entity such as a bank.
- The decentralized nature of the blockchain makes it more difficult to hack.
- Blocks are usually encrypted before being added to the chain, making the system even more secure.
- The blockchain is constantly updated and reconciled as new blocks are added.
- Once a block is added to the chain, it cannot be taken off or changed.
- Blockchain is an improvement on current processes because it is very secure, but it is also much faster than traditional transaction methods.
- Blockchain technology can be applied to other forms of data exchange (not just financial), meaning it has the potential to change the way many businesses operate.
This should give you a basic understanding of what blockchain is, how it works, and why it’s considered to be so important.
Many industries are working to stay on top of blockchain by hiring tech professionals with knowledge of or experience with the technology. If your company could benefit from such an employee, it might be time to follow suit. Contact EDI Staffing today and get the help you need finding and hiring for technical positions.