Implementation Of Blockchain Technology
Constant innovation is probably the best thing about technology, and today we are going to take a look at blockchain, one of the technologies growing at a rapid pace and being implemented in many industries.
What Is Blockchain?
It can be defined as a growing list of records linked between them and secured via cryptography. Each block contains a cryptographic hash of the previous one, a timestamp, and transaction data.
When Did It Begin?
Stuart Haber and W. Scott Stornetta were the first ones to work on a cryptographically secured chain of blocks in 1991. Their goal was to create a system in which documents’ timestamps cannot be tampered with or backdated.
Satoshi Nakamoto conceptualized the first blockchain in 2009, and it was first implanted as a core component of Bitcoin. Since then Bitcoin has evolved considerably, and nowadays it’s possible to use it for many different things, including online shopping, booking a flight or hotel, gambling in Bitcoin casino and much more – all made possible through the use of blockchain technology.
How Does It Work?
It is a public ledger used to record transactions across many computers so that the record cannot be altered without altering all subsequent blocks and the collusion of the network. This enables the participants to verify and audit the transactions.
Which Sectors Have Implemented The Blockchain Technology?
Banking is one of the sectors in which blockchain technology is being implemented.
Banks acquire many benefits from it, such as faster transactions, cost reduction, security improvement, and record keeping, just to mention a few.
Let’s take a look at three implementation facts.
- The 90% of major North American and European banks are exploring blockchain solutions.
- Blockchain’s potential for reducing bank infrastructure costs is 30%.
- According to Goldman Sachs Report, the banking sector can achieve 10% headcount reduction from the introduction of blockchain in the KYC procedures, which means $160 million in cost saving annually.
The Central Bank of Lithuania, Deutsche Bank, DBS Bank, Royal Bank of Canada, and SCB are among the major banks which have already adopted the blockchain technology.
An interesting fact is that the annual savings potential for banks using blockchain technology is an amazing $8.12 billion.
In order to find out how the modern technology that is blockchain can improve 15 other industries besides the banking sector, take a look at the infographic below.
Article created by the crypto specialists over at Bitfortune.net.