Reading assignment: Benefits of the Blockchain technology

Blockchain and Bitcoin 101
#3775

Transparency: Since all transactions are on the chain and can be viewed by everyone, transactions and information cannot be manipulaled.

Security: The decentralized nature of blockchain allows it to follows principles that do not change

Improved traceability: Audit trail and trackability is central to the design of blockchain. The audit trail is built as the chain grows. It can be easily verified

Increased efficiency and speed: It eliminates the need for posting transactions seperately from when the transaction occurs. This elimination of duplicate efforts and the eventual human errors that occur with double entry increase the efficiency and speed of blockchain.

Reduced cost: Reduced time, paperwork, third party auditing and review eliminate many costs.

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#3776

Transparency: Transaction ledger is available for anyone to view allowing anyone to act as the watchdog therefore creating a high level of accountability and integrity.

Security: Blockchain is immutable and incorruptible making it a safe environment to transact. Its decentralized nature also means one doesnā€™t need to trust another party to transact because blockchain is cheat-proved and every deal is executed as is giving everyone a total peace of mind.

Improved traceability: Since each block is added and stored permanently as a chain of data, verifying the authenticity of elements becomes available without a miss.

Increased efficiency and speed: No middlemen means all the time wasted on middlemen can now be saved allowing more tasks and transactions done.

Reduced cost: No middlemen means all the money and resources required for the middlemen can now be eliminated. Reduce of expenses = increase of profit.

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#3777

Explain in your own words why these are the benefits of using a blockchain:

Transparency: The fact that all transactions can be viewed through a ledger, in real time, for the entire globe, breaks a paradigm, brings transparency and eliminates the need for trust;

Security: The way blockchain technology was developed, with encryption and its transactions linked to each other, brings security and immutability to the data registered in the database;

Improved traceability: The immutability of the data record on the blockchain allows traceability or origin (provenence) in real time;

Greater efficiency and speed: Decentralization allows the elimination of third parties, enabling faster transactions; smart contracts automate processes; the use of a standardized system eliminates the need for interfaces between multiple existing systems;

Reduced cost: By eliminating third parties and automating processes, in addition to increasing effectiveness, there is a reduction in transaction costs, time and energy savings.

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#3778
  1. Transparency: ANYONE can veiw the history of all transactions on chian allowing high level auditing
  2. Security: No/Minimal Trust invovled, multi varifiable histories of transactions.
  3. Improved traceability: ANYONE can follow the chain to any transaction ever.
  4. Increased efficiency and speed: No need for third party and runs 24/7/365
  5. Reduced cost: Removes unnecessary transaction fees
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#3779

Transparency

Blockchainā€™s transactions will always lead to their origin and are stored publicly on a decentralized ledger verified by the network consensus. Companies could be more accountable to their customers since anyone could track their supply chains. Blockchainā€™s transparency could benefit the honest company providing genuine services, while it rewards the customer with a better end product.

Security & Improved Traceability

Bitcoinā€™s blockchain uses a proof-of-work (PoW) model, which entails a block being created and then mined by computers competing to solve complex mathematical equations earning a reward for reaching the answer the fastest and unlocking the block. Every block includes new transaction information, the previous blocksā€™ unique identification, and a reward for miners. Blockchain creates a virtual chain of transactions that can be traced all the way to its origin. In this manner, a transaction cannot be reversed or changed once processed and validated by the network consensus. Miners are motivated to validate transactions because of rewards in the blocks that increase as miners leave and hashing power goes down or transactions spike. Increased mining rewards attract more hashing power for the network, while also effectively solving network availability as computers join when others leave. This process also prevents anyone organization from controlling 51% of the network required to from majority consensus.

Increased Efficiency, Speed, and Reduced Cost

Blockchain increases speed and efficiency by cutting the middleman and improving automation. Blockchainā€™s decentralized nature ensures no downtime in the system. It speeds up transactions by removing the middleman and favoring a trustless P2P transaction system where the network consensus ensures valid transactions. All transactions and subsequent information can be updated and tracked in nearly real-time. By removing the middleman, blockchain removed the necessity for banks and their fees. Anyone on the network can send a p2p payment with a much smaller blockchain processing fee that goes back to the miners securing and speeding up the network. Blockchain could be automated to run entire banks with no human oversite, and no ability to lend out non-existent money.

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#3780

  1. Transparency allows everyone to see every transaction ever being made because Blockchain is a public ledger. In a supply chain use case example, everybody will be able to see exactly where products from manufacturer to distributers come from. This allows for honest exchanges that get recorded in the Blockchain.

  2. Security is beneficial because information and data in the blockchain can not and is impossible to be hacked or to be altered. Blockchain is immutable. This is due to incentivized computers in the blockchain network to be in consensus with each other at all times.ā€™

  3. Improved traceability is beneficial because in many situations outside of blockchain, being able to trace where products come from can be a difficult task. Also in many central databases, tracking information one finds can be hack or changed. Truthful information could be hidden to the public. Blockchain however records truthful information and keeps the info stored in a highly secure decentralized database so that when we track things, we know information can never be hack or changed.

  4. Increased efficiency is beneficial because everything occurs under one single digital ledger in which is easily accessible to the public therefore all third party middlemen are not needed.

  5. Reduced cost is beneficial so that everyone finds blockchain easily accessible and so that itā€™s network is trusted by everyone. The blockchain network has a trustless environment in that we no longer need to trust other third parties or middlemen which then reduces cost. We only trust the network verifying everything mathematically.

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#3781


ivanLeader

Jun '19

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

Transparency: Because the decentralized nature of Blockchain means everyone has access to a copy of the ledger in a network such as Bitcoin, it means there is clear oversight over transactions and all recorded transactions are viewable for verification by anyone who wishes to check the ledger history.

Security: A block is only created and added to the network chain after consensus has been reached by the network nodes and due to the finality and immutability of each block, and the fact that that everyone has access to a copy of the blockchainā€™s ledger (which is itā€™s historical account) it provides a far superior and trustless form of security than any centralized record keeping service.

Improved traceability: Once a product is sold or purchased and recorded on the blockchain, it has now become a part of the blockchainā€™s ledger which from then on out will always be able to keep an updated record of every transaction done with said product. This means that all claimed transactions regarding this product are easily verifiable because the entire history of all the transactions done with this product are recorded on the blockchain.

Increased efficiency and speed: The blockchain is a peer to peer based system of record keeping of transactions. This removes the need for a third party service to establish a trusted means of transaction verification as the blockchain is immediately accessible to anyone with a copy of the ledger (which is open source) and this recorded transaction can not be changed due to the immutable method through which consensus in the blockchain is reached.

Reduced cost: Because no trust in third parties is required to verify transactions, these sorts of costs that exists in traditional markets and transactions are eliminated. The blockchain provides its very own verified history of transactions so no extra measures are required, which means no extra costs. This is what peer to peer means.

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#3782

Transparency: The blockchain ledger can be viewed by anyone.

Security: The decentralized nature of blockchain makes it more difficult to attack and the permanence of every transaction held in multiple places prevents fraud.

Improved Traceabilty: Blockchain records every exchange or transaction in a permanent, auditable trail.

Increased efficiency and speed: There is no need for a trusted intermediary or middleman. Transaction can occur instantly person to person around the globe.

Reduced cost: Blockchain takes away the need for middlemen to process transactions and agreement contracts.

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#3784

Explain with your own words, why these are the benefits of using a blockchain.
Transparency:
The ledger is open to view for the public, meaning anyone can see current and past transactions, and/or data entries in the blockchain.
Security:
Each transaction, or data entry is written in to a new block, which also contains the information of all previous data. This is done by several nodes in the blockchain which all need to verify the data.
Improved traceability:
Each time there is a new entry of data in the ledger it is accompanied with an audit-trail. This increases traceability, verifies authenticity and prevent fraudulent activity
Increased efficiency and speed:
Since there is no need of a middle man or an authority to view and verify the transaction or data entry, the process is allowed to be executed simply by the blockchain it self. Being verified by the different node sharing the transaction history
Reduced cost:
This reflects back to the previous answer, there is no need to have a third party or authority to manually verify each transaction or data entry, reducing the cost of operation.

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#3785
    1. All transactions are open to public viewing -> more accountability
    1. Security: all transactions in the ledger are impossible to alter. Also due to the trustless nature, parties can do business with each other without there being trust between them.
    1. Improved Traceabily: as all entries in the blockchain database are immutable and forever present, all changes to product ownerships, to contract changes (with a landlord-tenant agreement), all steps in a supplychain, can be traced back to their beginning.
    1. As there are no middlemen involved when transacting in this P2P network, transactions of any nature can happen much faster across the entire globe.
    1. The falling away of middlemen also leads to lower costs due to higher efficiency when transacting.
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#3787

Transparency: All of the transactions made on the Blockchain network ( ledger ) are public record ( any one can see the records, but they cannot change them in any way ).

Security: So blockchain is a great technology because every transaction made is encrypted and is linked to other transaction. Computers on network then confirm the block which is added to the ledger and is forming a chain. Blockchain is then formed by a complicated mathematical string and is impossible to alter once its formed. Blockchainā€™s immutable and incorruptible nature makes it highly safe ( almost bulletproof ) against false information and hacks.

Improved traceability: As every block is previously recorded on the blockchain, with this technology it could be possible to track the goods origin and its trace where its been and who was the owner. It could help in safer and fraudless exchange related buisnesses, it could verify assets ownerships, art authenticity, etc.

Increased efficiency and speed: Blockchain removes the necessity for a third party ( middleman ) in many process in all sorts of fields such as payments ( faster transfer of money through P2P transfers using digital currency ) and real estate ( unified system of ownership, smart contracts that would automate tenant-landlord agreements ) because of its decentralized nature.

Reduced cost: The fact that it doesnā€™t require a middleman has a huge role in its low cost.

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#3788

  1. Transparency: everything is freely available on the public ledger. Claims can easily be validated to be true or false, which encourages people to act truthfully.

  2. Security: it is almost impossible to hack or alter the blockchain, so data/tokens are secure and canā€™t be tampered with.

  3. Improved traceability: all details are kept on the blockchain forever and cannot be removed. So everything can be traced back to the first block.

  4. Increased efficiency and speed: A transaction only takes as long as it takes for a block to be mined ā€“ much quicker than traditional banking. Similarly, audits can be undertaken very quickly because all the information is readily available.

  5. Reduced cost: no middleman during transactions. Money can go straight from one account to another, with 1 fee, rather than through multiple hands and multiple fees.

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#3789

1Transparency:
In a network where everything is public, all transactions that occur in it are visible to any party.

2Security:
Blockchain is maintained by a network of computers that come together to confirm that a transaction can take place. When a transaction takes place between two parties, they do not need to trust each other, as this network ensures that all information circulating in it has been verified and approved. In other words, the parties involved trust the system.

3Improved traceability:
Bearing in mind that each transaction only occurs when it is validated and is available to everyone, this means that everything can be tracked. For example and just like Ivan said in his example in the process of making yogurts. We can track what the cows eat, what their health status will be, when the milk was produced, when it was pasteurized, when did the ingredients be added and by what company, where did these ingredients come from and how were they produced, until the final product. This gives a guarantee of quality and safety to all those involved in the process, the producers involved and the final consumer.

4Increased efficiency and speed:
The data is quick and easy to validate with peer to peer with a single digital ledger that everyone can access and no need of intermediaries

5Reduced cost:
With the middle men removed the costs are reduced as well

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#3790

When the first cryptocurrency came out in 2009 after the mortgage crisis and the great recession of 2008, it was addressing all the issues we have with the current centralized banking system. It runs on blockchain technology and it is decentralized and trustless. it achieves its goal through greater transparency, security, improved traceability, increased efficiency and speed, and reduced cost.

  1. Transaparency- basically when the decentralized blockchain network receives a transaction order, each miner produces a block that adds up onto the public ledger and creates the blockchain. It is the public ledger and anyone can verify if the transaction occurred or not.
  2. Security: Blockchain has higher security because each block produced with secure mathematical accuracy and chained into one transaction that cannot be hacked or changed. It has immutability, which means trans come through, it will prevent the transaction to disappear.
  3. Improved traceability: Blockchain has real-time auditing, it puts together accounting layer with transaction layer. That is how it removes trust because it has better accountability and users can trace the transaction or process origin. It gives users the option to verify each transaction. The provenance of blockchain gives users traceability.
  4. Increased efficiency and speed: it is decentralized and global.
  5. Reduced cost: there is no need for high-rise buildings and expenses to sustain the operations such as centralized banks. Anyone can join and thatā€™s the beauty of it.
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#3791

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

  1. Transparency: this means that any transactions on the network are available to the public, and can be viewed/audited at any time.

  2. Security: all transactions have to be approved before it can be added to the chain. Additionally, each new transaction (block) is encrypted before itā€™s added to the previous transaction in the chain.

  3. Improved traceability: every transaction can be audited. For example, if you wanted to audit a blockchain that was used for a supply chain, you could easily audit and verify each component.

  4. Increased efficiency and speed: due to the fact that the blockchain is a singular, global network, no middlemen are needed to process transactions

  5. Reduced cost: transactions on the blockchain are final and immutable, removing the additional cost of chargebacks/financial intermediaries/etc.

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#3792

1 tranparency is benificail because it is available by all to see
a blackchain is better for security because it is immutable
3. it improves tracability because transactions and supply chains can be tracked in realm time.
4 incressed efficiency and speed is benificial because it reduces transaction times between partys
5. blockchains arev also benificial because it is p2p and removes middlemen which in turn reduces cost.

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#3793

Transparency: all transactions are open and public. An open ledger that unites functions in accounting and validates its integrity. Everyone in the network has a live copy of its status

Security: A network of computers that is validating constantly the integrity of transactions, once those are in the blockchain these are irrefutable. Central systems are vulnerable to single point of failures and are easier to hack since all the data is centralized

Traceability: all goods in the supply chain can be tracked, origin of goods can be traced and can not be manipulated since each trade of goods are recorded in the public ledger. As a results organisations are able to guarantee standards and integrity of their goods.

efficiency and speed: distributed networks can increase speed of transactions thanks to its P2P structure. Transactions can be on this way easy to verify. Cheap and easy cross border transactions using digital currency. Smart contracts can automate interactions and agreements between differents indivifuals and organisations on a decentralized way cutting the need of a middlemen for arbitrage.

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#3794

Transparency is a benefit, because we are trustless with the strangers who are in the same blockchain as us. We want to know the provenance of the block we are investigating so cheating with it is not possible, we can trace everything back in the ledger.

Block-chain is secure because every participant (or block ) on the chain must confirm our block(s). This means we cannot cheat with the block-chain system, we can put the trust into it.

Because of the transparency, we can trace back to the origin of the Block we have. There is no need to trust the blockā€™s quality because we can make sure itā€™s legit on our own.

Transactions happens with peer-to-peer via single digital ledger, which makes it more faster, also remove the middlemen from the process (because we donā€™t need them for security checking and tracing). For Industries which implement their own block-chain can be a game-changer.

Because of we removed the middlemen between peers, transactions can be much cheaper.

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#3795

Transparency - The blockchain ledger containing all of the immeutible transaction ever made on the blockchain can be viewed by anybody from anywhere at any time hence is completely transparent.

Security - As blockchain is maintained and secured by a decentralised network of nodes all over the world technical or physical issues in one part of the world which could cripple a centralised network do not affect the blockchain. If a certain proportion of nodes stop working the slack will be picked up by other nodes due to the now increased financial incentive. This maintains the security of the network in terms of its high availability. Centralised networks are also much easier to attack as they have a central point of entry however a decentralised network such a blockchain is almost impossible to attack as multiple nodes are needed to confirm every transaction, this is know as consent.

Improved traceability - In terms of supply chain you can view the full list of transactions ever made on the blockchain hence making them very traceable. This can help with problems of authentification, previous ownership etc.

Increased efficiency and speed - Decentalsied networks do not require any kind of third party to mediate transactions such as companies or countries. Hence peoples can interact freely and quickly across borders. The network also has very high availability and hence can be accessed at any time with high security.

Reduced cost - Losing the middle men from transactions naturally lowers costs as they only provide those services for a fee

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#3796

Transparency: In blockchain every transaction is public, meaning that everybody is accountable for their actions, leading to a less corrupted system.

Security: No middleman can scam you. The network is based on consensus, so nobody can add false information to the database.

Improved traceability: Every transaction is public. You can trace back all of it to the source, being able to verify everything.

Increased efficiency and speed: High availability lets you use the network any time from anywhere. Without a central authority, you donā€™t have to wait for approval and it is much faster to send funds peer to peer.

Reduced cost: In a trustless system, you donā€™t need a costly authority.

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