Page 325 - Information_Practice_Fliipbook_Class11
P. 325
10.6 Blockchain Technology
Blockchain technology is a decentralized, distributed ledger that records transactions on multiple computers, providing
a secure and transparent way to store and transfer data. It was first introduced as the underlying technology for the
digital currency, Bitcoin, but has since found applications in a wide range of industries.
A blockchain consists of a series of blocks, each containing a unique cryptographic hash of the previous block, creating
a chain of connected blocks. Using sophisticated algorithms, a network of computers (known as nodes) validates the
information in each block to make sure it is accurate and secure.
One of the key benefits of blockchain technology is its decentralization, which means that there is no central authority
or intermediary controlling the system. Instead, a network of nodes validates and records transactions, making the
system more resilient and less susceptible to cyberattacks. Another benefit of blockchain technology is its transparency.
Because all transactions are recorded on the blockchain and cannot be altered, they can be easily audited and traced
back to their source, increasing transparency and accountability.
Blockchain technology can be used in a variety of industries, including finance, supply chain management, healthcare,
and more. For example, in finance, blockchain technology can be used to facilitate secure and transparent transactions,
reduce fraud, and improve efficiency. In supply chain management, blockchain technology can be used to track the
movement of goods and ensure that they are authentic and not counterfeit.
There are several different types of blockchain technologies, including public, private, and hybrid blockchains. Public
blockchains, such as Bitcoin, are open to anyone, while private blockchains are restricted to a specific group of users.
Hybrid blockchains combine elements of both public and private blockchains, providing a more flexible solution for
businesses and organizations.
Emerging Trends 311

