Blockchain, sometimes referred to as Distributed Ledger Technology (DLT), makes the history of any digital asset unalterable and transparent through the use of decentralization and cryptographic hashing.  

A simple analogy for understanding blockchain technology is a Google Doc. When we create a document and share it with a group of people, the document is distributed instead of copied or transferred. This creates a decentralized distribution chain that gives everyone access to the document at the same time. No one is locked out awaiting changes from another party, while all modifications to the doc are being recorded in real-time, making changes completely transparent.

Decentralization is the main feature of blockchain technology, and the strong point is that to authenticate transactions or operations no other instance is required to act as an intermediary, reducing transaction validation times.

This point provides, at the same time, several benefits since, by having this network distributed, in the first instance, no one owns the network, allowing different users to always have multiple copies of the same information.

Also, this characteristic makes it resistant and resilient to any type of failure since the fact that a node fails does not imply generalized failures in the network.

Likewise, having a distributed network means that there are practically no errors because the information must be verified by many participants in this network. Erroneous or malicious information within the blockchain becomes practically impossible.

The decentralized nature of Blockchain allows for the validation of person-to-person transactions quickly and securely. Eliminating the need for an intermediary reduces costs for users.

Since it is an open-source ledger, every transaction is made public. This leaves no room for fraud. The integrity of the blockchain is monitored by minors who have their eyes on all the transactions.

No government or financial institution has control of cryptocurrencies based on blockchain technology. This means no government can meddle with the value of the currency.

The blockchain responsible for keeping a record of all the transactions cannot be edited or manipulated. Both ends of a transaction and the public can view the transaction data at any given time. This makes online transactions more secure.

Blockchain technology transactions are completed in a few minutes. Take for example a bank transaction made to a person with a different bank account. It takes two days minimum to complete the transactions. At this time, the person doing virtual transactions with crypto can complete a series of transactions.

In a nutshell, blockchain technology appears to have the potential to disrupt the existing model only it needs to initiate an objective helping it to drive operational efficiencies. Implementing it properly is bound to have wider positive implications.

In this blog post, we will learn everything there is to know about blockchain technology and its specific advantages.

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