Reading assignment: Benefits of the Blockchain technology

Blockchain and Bitcoin 101
#2810
  1. Transparency
    With transparency blockchain technology allows all network participants to share the same digital documents or transactions. I see this as kinda like when you look in a mirror and the reflection is 100% identical. Meaning the digital transactions on the blockchain must always be mirrored with each other. Full transparency.
  2. Security
    I believe that Satoshi Nakamoto developed this system with security at the front and centre of this blockchain technology. Having many many computers that must always share identical data or the block is not accepted. This is in my opinion almost a perfect audit without multiple different transactions.
  3. Traceability
    Improved traceability allows for all the ingredients of almost anything to be viewed identically by all. Currently the worldā€™s monetary system is so broken itā€™s almost impossible to trace through one channel. The fact that every stop or transaction in the blockchain along the way is verified by multiple computers shows the traceability and is transparent.
  4. Increased Efficiency And Speed
    From what I am learning so far, blockchain technology has improved the efficiency and speed using a single digital ledger. I look at it from a scientific perspective, meaning as blockchain builds on so many different platforms, itā€™s creating facts not fiction. Unfortunately we as a society have had to accept sloppy, slow, manipulating, corrupt financial systems since the creation of fiat or paper money. What takes the institutions days or months or even years can be done very very quickly and efficient through the blockchain.
  5. Reduced Costs
    As more and more big institutions like Black rock for instance has come on board to this blockchain technology. They all see the enormous value of the blockchain technology and are investing billions. So much so the miners canā€™t even come close to filling the orders. The fees, costs, middle men, third or tenth party are not needed. Everything From transparency, security, traceability, efficiency, speed, with cost and profit being the end goal. At the end of the day, institutions and everyday folks can reep the rewards of this technology.
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#2811

Transparency:

The beautiful thing about the Blockchain is that it is one massive ledger that is stored on multiple computers ( nodes ). Each node has a copy of this ledger and therefore everyone on the network can see with full transparency each and every transaction at any given time.

  1. Security:

Each time a transaction is recorded it is updated on the blockchain making in transaction very secure. The reason why itā€™s so secure is to alter a transaction one would essentially have to change the entire ledger or blockchain making it very difficult to do so. Also, a transaction can only be recorded on the blockchain once a node accepts it as valid, and before doing so it must confirm to the rules of consensus making the system very secure and robust!

  1. Improved Traceability:

Unlike centralized database where a single company and or entity has access to the ledger, blockchains are open and fully transparent. With fully open transparent blockchains each transaction is full traceable and open to the public, thus providing a superior form of traceability.

  1. Increased efficiency and speed:

Blockchains remove the requirement for so many third parties when transacting with value. Rather then having to trust endless amounts of third parties like banks, blockchains and their consensus mechanisms allow for a much more trust-less way to interact with.

  1. Reduced Cost:

Blockchains offer a alternative option for value transfer at a reduced cost. A bank or wire transfer could take up to 3-4 business days while a bitcoin transaction could be confirmed in under 1-2 hours. A Bank transfer would usually be around $25.00 where as a Bitcoin transaction can be sent for as little as $1.00

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#2812

Transparency:
Transactions are more transparent as the Blockchain network of distributed ledgers, shares the same copy of the transaction, not individual copies. The network then reaches a consensus and confirms the transaction.

No single transaction can be altered or removed without the entire network of transactions past and present being altered.

Security:
Transactions on the Blockchain must have consensus ā€“ and be agreed upon, before they are recorded and stored for provenance. Transactions that have been approved are linked to the previous transaction and is immutable, cannot be removed or changed.

Information / data that is held on the Blockchain is stored over an entire network of computers, not held at a single point of storage or server. Security in the blockchain network is much higher, as there is no single point for hackers to attack and effect the network.

Improved traceability:
Blockchain provides improved traceability by provenance.

Blockchain public ledger when used in Supply Chains cases, can track where ingredients came from, who the suppliers are, where the items have been, which part of the supply chain they have passed and the condition of the product - at each point of the supply chain.

Provenance is already being used in Princes Foods, among others - using QR codes that provide full details of source of tune, where the tuna came from, where it was sold from and the route it travelled from bait to plate.

Consumers, merchants and suppliers can have business relationships with strangers, without the need for trust ā€“ as Blockchain provides full traceability by provenance.

Provenance.org is very impressive and the case studies of their provenance system, in use in the real world - https://www.provenance.org/case-studies

Increased efficiency and speed:

Blockchain streamlines traditional paper heavy processes, all record keeping is done using a single distributed ledger ā€“ the SAME copy of this ledger is then distributed to the network.

Blockchain provides ease of accounting as the transaction layer and the accounting layer are together. Real-time auditing is also possible due to this and speed and efficiency are provided due to ONLY ONE LEDGER, not multiple that need to be reconciled.

Reduced cost:
Blockchain provides everyone with the ability to trade far easier, quicker, safer and for less costs. There is no need for 3rd party middlemen. You can trade with a stranger or company you donā€™t have a long-term relationship with or know who they are.

Banking fees are high and SWIFT and international payments can be lengthy and problematic.
Ecommerce merchant fees are also high for online store owners. Fees are far lower with cryptocurremcies and blockchain transactions - and in a lot of cases with some coins, far quicker.

Because Blockchain transactions are not based on trust, they are verified ā€“ mathematically by a network of distributed ledgers, that wonā€™t approve a transaction ā€“ unless all copies of that same ledger match up and agree the consensus is the same.

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#2813

Transparency: all transactions are stored by every participant and can easily seen.

Security: transactions have to be agreed on by all participants before being added to the blockchain. Transaction canā€™t be reversed.

Improved traceablity: all transactions can be traced because of immutability.

Increased efficiency and speed: There is only one database everyone takes care of. This makes it very easy to maintain. High availabity nature of blockchain makes it fast.

Reduced cost: there is only one database everyone takes care of. There is no need to create your own infrustructure. Trustless invironment removes need in thirdparties.

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#2814

Transparency:
Blockchain offers a form of public or distributed ledger in which entries can be viewed by anyone and, as the blockchain relies on consensus from the network the entries are accurate and cannot be altered / faked.

Security:
The distributed nature of Blockchain and the need to have the majority of systems agree an entry is valid plus the system is heavily encrypted and relies on mathematical calculations to commit an entry makes the blockchain is more resilient to tampering or hacking.

Improved traceability:
The blockchain carries a full audit trail of transactions which cannot be removed or tampered with once committed thus the full supply chain / transaction history can be viewed.

Increased efficiency and speed:
blockchain removes the needs for paper records and periodic audits and enables the digital reconciliation of transactions and removes the need for trust between parties

Reduced cost:
Blockchain removes the need for trust between parties and each transaction is immutable removing risk and reducing the number of third parties required from any transaction plus the removal of the need to undertake audits reduces costs further.

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#2815

Explain with your own words, why these are the benefits of using a blockchain.

  1. Transparency: All network participants share the same info on the blockchain ledger. Not a copy. The shared version can only be updated through consensus of the network.

  2. Security: Transactions must be agreed upon before the are recorded. The info is stored across a network of computers instead of a single point. or server.

  3. Improved traceability: If a blockchain is used in a supply chain, each step is tied to the chain and is recorded so that each of the steps are traceable.

  4. Increased efficiency and speed: Removing people who are generally slow and prone to mistakes can speed up processes and as a result, become much more efficient.

  5. Reduced cost: You dont have to trust people or even processes, you trust the data and math on the blockchain. This in and of itself will normally drive down costs.

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#2816

Transparency: Since Blockchain is a Decentralized network all participants can see all of the transactions recorded which cant be edited or removed without consesnsus.

Security: All transactions have to be agreed upon before they are recorded by multiple computers. once its recorded. Once its recorded it is stored across network of computers (Decentralized) instead of (Centralized), making it difficult to hack, edit or remove information.

Improved traceability: Provanance provides real time transparency, tracking ability. Once data is entered it can be traced every step along the way by all and providing authenticity.

Increased efficiency and speed: Blockchain being a decentralized network, once the information is recorded it is available to everyone on a one single network to everyone, eliminating the need of intermediaries and providing trust to all parties.

Reduced cost: Because of Finality, Immutibility, Consensus and Provenance, it eliminates the need of third parties to make guarantee( paperwork, verification). Trust is in a system itself

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#2817

Transparency: There is one public ledger that can be inspected by all participants

Security: the ledger is immutable and distributed

Improved traceability: see provenance, all transactions can be traced back on the public ledger by everyone

Increased efficiency and speed: no or less need for paper heavy processes.

Reduced cost: Cutting out trust providing middle men. More efficient processes.

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#2818

  1. Transparency. Global open ledger

  2. Security. Decentralised so no central point to hack. Data can not be deleted. Encrypted code.

  3. Improved Traceability. Information is logged right back to the data genesis block, all transactions or movements or changes are recorded and available for access.

  4. Increased Efficiency and Speed. Transactions are seamless due to automation driven by mathematical code.

  5. Reduced costs. Increased transaction efficiency and the redundancy of third parties = reduced costs.

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#2819

Transparancy:
Every action since the start of the blockchain is visible for anyone. Transparancy to the fullest
Security:
Because of many validators on the network, which are incentivized to be a honest validator. Thereā€™s no way a fake transaction can be confirmed by all users.
Improved traceability:
All actions are secured en can be followed on the blockchain
Increased efficiency and speed:
Because thereā€™s no third party involved to check all the transactions. Other validators will check this within a fraction of the time and costs as it was before.
Reduce cost;
No third party has to check the transactions with the receipts of invoices.

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#2820

Explain with your own words, why these are the benefits of using a blockchain.

1. Transparency:
Anyone that has permissioned access can find anything they are looking for in their original form. Saves time, effort and eliminates the concern of false information or out of date documentation to be seen

2. Security:
Sensitive information can be kept secure as it is not possible to be hacked or shared to external sources. Creates a sense of assurance

3. Improved traceability:
Any supply chain can be monitored in order to ensure quality, origin, mode of transport and production line info is what has been agreed on by different parties. Business is conducted smoother by eliminating 3rd party involvement which can involve additional costs, deception or fraud

4. Increased efficiency and speed:
Anything someone is looking for can be found quickly and effortlessly as all information is shared to authorized parties. No time is wasted on looking through heaps of paperwork and then maybe even landing up with out of date or manipulated documents.

5. Reduced cost:
The purpose of every single company is to reduce costs and increase revenue. By using blockchain many additional processes and middlemen can be avoided and so costs are lower making the relevant party more profitable.

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#2821

Explain with your own words, why these are the benefits of using a blockchain.

Transparency:
Every single transaction is stored on the public ledger.

Security:
Due to its decentralized nature, no one entity has control over it. Everything has to go through consensus and nothing can be reversed or altered.

Improved traceability:
All changes to the blockchain are final and cannot be reversed. Provenance offers high traceability. In supply chain e.g. every step could be traced.

Increased efficiency and speed:
No need for reconciliations anymore. removing third parties and middlemen leads to higher efficiencyā€¦

Reduced cost:
ā€¦ and reduced cost.

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#2822

Transparency: Blockchain allow every computer on the network to have a copy of the ledger. And that ledger is constantly being updated by the computers (miners) on the network. Itā€™s a shared network with multiple copy of the ledger and is accessible publicly.

Security: Blockchain is a decentralize system so there isnā€™t a single point of failure. Making it hard for hacker to hack the network. And once a transaction has been verify through consensus, itā€™s is added into the blockchain and is immutable.

Improved trackability: Once a transaction data is recorded on the blockchain, it is permeant. So there is always a trail of transaction data to trace itā€™s origin. Allowing you to see every step of the process, from point A to point B.

Increased efficiency and speed: When using blockchain technology it remove any third party that is involved, creating a more efficient system. Because the process is automated through blockchain , it remove human error along the way.

Reduced cost: Blockchain technology remove third party between transaction. Once the data is record on the blockchain itā€™s immutable. So you trust the data on the blockchain, and not needing any other party to verify the information is correct.

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#2823

The benefits of using Blockchain:

  1. Transparency:
    a. Because it is a distributed ledger, Blockchain safeguards the transparency of all information on the Blockchain ensuring that someone can not alter information.

  2. Security:
    a. Because how the Blockchain operates, every time a new block is added to the chain it secures the previous block, making it impossible to alter Information in a Blockchain.
    b. Multiple Nodes verify transactions and information immediately ensuring new information recorded are accurate, this helps with security as no false information can be added to the blockchain.

  3. Improved Traceability:
    a. Because the blockchain is more transparent and online it is easier to trace specific information, because when you get information regarding a specific item on the blockchain you can rely on the verified information on where the item came from and where it is going to etc. You also do not have to rely on paperwork that can be manipulated and get lost. Blockchain makes it easier to trace the origin of items and to rely on the data of the origin.

  4. Increased efficiency and speed:
    a. For instance. when using Blockchain for financial services, transactions are verified immediately by nodes and occur a lot quicker than traditional banking, where it takes time to verify transactions and to be approved, especially when transferring funds to an overseas account.
    b. Also when using Blockchain for instance in the transfer of property deeds, the information can be verified immediately by nodes and be approved, in comparison too when using traditional methods of transferring property deeds it can take a few months for the paper documents to be verified and approved and are also reliant on a few people who have access to the centralized data system. But Blockchain is a high availability network that can be used at any time and not be limited to certain hours and certain downtime, thus increasing the efficiency and speed of transferring and sharing information.

  5. Reduced Cost:
    a. The use of blockchain help to cut out the middleman in some operations, this helps to save certain costs that are required to be paid to the middleman used, thus it is a cost saving opportunity to use blockchain.
    b. Also, in blockchain the transfer fees are a lot less than traditional banking fees when transferring money from one entity to another.

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#2824

transparency: it lets companyā€™s put more trust into its sources and the customer will have more trust in your company

security: it prevents you from being scammed since there is no chargeback

improved traceability: there is a trail of your transaction in the blockchain

increased efficiency and speed: since you are putting your trust into math that means there is no human error and this makes transactions much quicker, plus you do not need a third party

reduced cost: you do not need to pay for a middle man and you can just let the blockchain verify the transaction.

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#2825

Transparency: Everyone can bear witness to what is going on, removing anxiety of potential fraud or misinformation.

Securuty: you know that your information is less prone to being hacked due to the multiple computers in the network as a pose to a single server.

improved traceability: records of historical transactions can be traced quickly and efficiently without the need of third parties reducing costs to businesses.

increased efficiency: saves time for businesses also reducing costs.

reduced costs: help businesses grow faster

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#2826

Explain with your own words, why these are the benefits of using a blockchain.

  1. Transparency is a benefit because users share the same information that is on the blockchain/ledger. The info on the blockchain can only be transcribed through consensus. It is through this consensus mechanism that trust is enshrined.
  2. Security: It is a benefit because all transactions must go through an approval process before it is encrypted and added to the blockchain. The blockchain is stored across a network of CPUā€™s instead of a single centralized network.
  3. Improved traceability: Transactions recorded on the blockchain are immutable and can be traced back to its source of origin.
  4. Increased efficiency and speed: Compared to a paper heavy process that is time consuming, transactions recorded on the blockchain automates the process. This leads to transactions being completed faster and more efficiently.
  5. Reduced cost: With blockchain, the costs associated with accounting audits and third parties are greatly reduced.
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#2827
  1. Transparency:
  2. Security:
  3. Improved traceability:
  4. Increased efficiency and speed:
  5. Reduced cost:

In a nutshell, it replaces an old antiquated system. By allowing transparency and traceability to be key facets of the supply chain it enhances the security and also allows for more efficient transactions by cutting out the middleman and keeping a trackable traceable network all while reducing the overall costs of the business.

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#2828

Transparency: To approve a transaction on a blockchain everyone has to agree and once that happens it gets added onto a chain which can be accessed 24/7 and can be verified
Security: Multiple blocks get added onto an approved transaction so if you need to make any changes, the whole network needs to be changed which is super hard and counter productive
Improved
Improved Traceability: Blockchain makes tracking way easier as everything leaves a trail and can be cross checked on a network that runs all the time
Increased efficiency and speed: Automation of authentication processes leads to less clutter and because everyone has access to the same information, everything can be checked easily and reliably
Reduced cost: Because of blockchain, middle men can be reduced as everyone has access to a trustless system hence less people a business has to pay

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#2829
  1. Transparency: BC uses a distributed ledger where participants share the same documentation as opposed to individual copies which are updated thru consensus to change something. BC is available to all participants who have permissioned access. If change happens to a record, it will result in alteration of all subsequent records and collusion of the entire network.
  2. Security: 1. MUST BE agreed upon and approved, encrypted and linked to the previous transaction. And info is stored in a network and not on a single computer which means it is hardered to hack. This helps to prevent fraud and unauthorized activity.
  3. Improved traceability: BC creates an audit trail that helps to verify authenticity of assets and prevent fraud.
  4. Increased efficiency and speed: Eliminates time-consuming processes, human error, third-party mediation. It streamlines and automates these processes so itā€™s faster and efficient. Uses a single digital ledger shared among people so no reconciliation of multiple ledgers is necessary and itā€™s faster and less cluttered. no need for intermediariesā€¦ clearing and settlement is faster
  5. Reduced cost: no third-parties necessary so it is cheaper. Less documentation to complete, reduced paper trail, less cost.
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