What is Blockchain?

Blockchain is a highly secure, reliable and decentralized network that allows people to store data, exchange value and record transaction activity in a shared ledger that is not controlled by any central authority, but instead is managed by computers all over the world.

A distributed ledger is a book or computer file that keeps a record of economic activity. Ledgers can track individual account balances and/or the ongoing movement of money across entire economies. Today, most ledgers are managed by centralized organizations, such as a bank, which maintains and stores the ledgers on its servers and in opaque databases.

Blockchain is a system for recording information in a way that makes it difficult or impossible to change, hack or cheat the system, and a digital ledger of transactions that is replicated and distributed across the entire network of computer systems on the blockchain. Each block in the chain contains a series of transactions, and each time a new transaction occurs on the blockchain, a record of that transaction is added to each participant's ledger. A decentralized database managed by multiple participants is known as Distributed Ledger Technology (DLT).

It means that when a block in a chain is changed or tampered with, it is immediately recognized. If one wanted to break a blockchain system in the chain block structure on a computer system, one would have to change every block in the chain across all distributed versions of the chain.

To speed up transactions, a set of rules for the smart contract is stored in the blockchain and flows automatically. A smart contract can define the rules for transfers of corporate transactions, contain the conditions for a payable system, and more.

Blockchain Features

• Develop an unlimited number of distributed applications on the blockchain (DAPP - Distributed Applications)
• High production capacity (100,000 operations per second)
• Support for parallel processing, horizontal scalability and asynchronous communication
• Supporting consensus algorithms such as PoS, DPoS, TaPoS (Proof of Stake, Distributed Proof of Stake, Transaction as Proof of Stake) or Hashgraph. Development of smart contracts (Smart Contracts: Programmable blocks of code triggered by specific events or timings)
• Tokenization (Supporting value generator or incentive digital assets based on specific behaviors or actions)
• Use of cryptographic security standards against external cyber attacks
• Supporting control mechanisms such as BFT or RBFT against internal cyber attack or attack scenarios
• Supports institutional, legal and regulatory processes and authorities
• Development of APIs such as accounts, wallets and roles -Based Access privileges, database access
• Integration with enterprise systems
• Development of smart contracts using various programming languages such as Java, C++, .Net (C#) Blockchain Varieties;

Public : Open read/write, slow, everyone, Anonymous, Censorship-resistant, from legal framework, Open Access Applications
Private (private and closed) and Federated: Authorized read/write, faster, Pre-approved participants, known identities, complies with regulations such as AML, KYC, Enterprise level systems

Differences and Advantages

• Enables P2P transaction without intermediaries
• Eliminates physical, logical, political boundaries
• Reduces Costs and Fees
• Builds Trust and Consensus
• Kills Single Point of Failure
• Provides High Security
• Prevents Data Manipulation
• Simplifies Integration
• Process and Data Integrity
• Higher Level of Availability

Potential Sectors and Areas of Use

• Payment and Money Transfers
• KYC 
• Know Your Customer,
• IAM 
• Identity and Access Management
• Asset Transfers
• Gift Cards and Loyalty
• Openness and Payment
• Smart Contracts, Notary, Land Registry
• Distributed Cloud Storage
• IoT
• Voting, Copyright