際際滷

際際滷Share a Scribd company logo

Block chain technology v1

Tarun Chawdhury
Tarun Chawdhury

Blockchain technology allows for direct peer-to-peer transactions without intermediaries by maintaining an immutable distributed digital ledger. It solves issues like slow settlement, high costs, and lack of trust between transacting parties through automation and cryptography. Each participant holds an identical copy of the blockchain, which consists of blocks of validated transaction data linked together. A new block is only added when a majority of participants reach consensus, preventing hacking of the immutable record. Potential applications beyond digital currencies include land titles, micropayments, and electronic health records.

1 of 8
BLOCK CHAIN TECHNOLOGY THE NEXT BIG THING AFTER INTERNET Over 15+ years of industry experience in integration technologies, API, SOA and Cryptography. Exposed high end cryptographic encryption technologies using following Quantum Principles using Quantum Computing. Currently working one of best Health Care Company in USA Blue Shield of California Connect Me at: https://www.linkedin.com/in/tarunchawdhury/ tarunchawdhury@gmail.com
How Internet Works Internet is wire actually buried in the ground. It might be fiber optics, copper or sometime Satellite. So in simple term Internet is a wire. 172.217.0.7 gmail.com 172.217.0.5 yahoo.com ISP Comcast ISP AT&T Router 192.168.56.3 Router 192.168.56.3 172.217.0.6 facebook.com Internet 172.217.1.4 172.217.1.1 172.217.1.2 172.217.1.3
Why Blockchain ? To understand the need of Blockchain, lets take the best case study of Bitcoin which is first successful implementation of Blockchain technology. Today when we (aka customer) go for a shopping in a retail store like Walmart (aka provider) we typically use financial tools like credit card issued by a bank to complete the transaction. Customer Retail Store Financial Institution (e.g. Bank) Provider Here between customer and provider we have bank who mediates the transaction i.e takes the money from customer and route the same money to the provider. And this process takes time as it goes through other clearing and compliance. Now the question why do we need a mediator here? Why cant customer directly send their money or asset to provider directly. The answer is TRUST. Customer and provider do not trust each other. Provider wants to make sure customers asset is legitimate and real. So it takes help of financial institution like Bank to mediate the process and record the transaction.
Why Blockchain ? Continue This process really worked well over the last few centuries. However this process has some huge drawbacks It is slow because financial institution needs to make sure customer has money in their account. Then it needs to move the same securely to providers account. This can not be done in real-time because customer and provider account is maintain in two separate book or ledger maintained by two separate entity. It does not support micro payment as Intermediaries like Bank impose a minimum fee on every transaction. It is hackable or not secured. There is always a risk of fraud in this process and we need apply active monitoring. Its is costly as it involves intermediaries, manual process requires active monitoring. It makes integration really difficult at global scale
Why Blockchain ? Continue Blockchain is a protocol that solves all these problem. Its a technology which helps to maintain an immutable distributed Digital Ledger in an Automated Fashion where no manual process involves. Through Automation it established the trust and using Cryptography it makes sure security is full proof. As it is automated it is fast. As there is no intermediaries, there is no minimum transaction fee which make micro payment a reality Customer Retail Store Bitcoin Blockchain Network Provider
What is Blockchain Blockchain at its core is a Data Structure implemented & automated through a network of computers or nodes. Block 1 Immutable Data Set 1 Block 2 Immutable Data Set 2 Data Set 1 + New Validated Transaction Block 3 Immutable Data Set 3 Data Set 2 + New Validated Transaction Block N Immutable Data Set N Data Set N + New Validated Transaction Mining Mining Mining
What is Blockchain Every block in the blockchain is maintained by all the participant of the Blockchain eco-systems. So when new transaction comes through a participant, every other participant (General rule 51% of the participant) needs acknowledge and approve that transaction before it becomes part of the block. Now as every block fundamentally designed to be immutable, a new block gets created with newly approved data set which has reference to its previous block which forms a chain of block like a Linked List Stack where new block gets added on top always. The immutability feature of Blockchain makes it secured. Every participant holds same immutable block and until more than 51% of participant agrees a new will not be acceptable. This is makes whole system impossible to hack. This is biggest differentiating factor of Blockchain technology. Participant 1 Participant 2 Participant 3 Participant 4 Block N Block N Block N Block N Participant 5 Block N + New Data Block N Validate & Approve Validate & Approve
Potential Use Cases In Bitcoin world Blockchain enabled transfer asset over IP. However blockchain as a technology has implication beyond Digital Currency like Bitcoin. The same principal can be applied any use cases which needs to maintain history of records through immutable data set for integrity and consistency of the overall system. Few other potential use cases Digital Title Deeds Micro Payment EHR Patients Electronic Health Records System

More Related Content

Block chain technology v1

  • 1. BLOCK CHAIN TECHNOLOGY THE NEXT BIG THING AFTER INTERNET Over 15+ years of industry experience in integration technologies, API, SOA and Cryptography. Exposed high end cryptographic encryption technologies using following Quantum Principles using Quantum Computing. Currently working one of best Health Care Company in USA Blue Shield of California Connect Me at: https://www.linkedin.com/in/tarunchawdhury/ tarunchawdhury@gmail.com
  • 2. How Internet Works Internet is wire actually buried in the ground. It might be fiber optics, copper or sometime Satellite. So in simple term Internet is a wire. 172.217.0.7 gmail.com 172.217.0.5 yahoo.com ISP Comcast ISP AT&T Router 192.168.56.3 Router 192.168.56.3 172.217.0.6 facebook.com Internet 172.217.1.4 172.217.1.1 172.217.1.2 172.217.1.3
  • 3. Why Blockchain ? To understand the need of Blockchain, lets take the best case study of Bitcoin which is first successful implementation of Blockchain technology. Today when we (aka customer) go for a shopping in a retail store like Walmart (aka provider) we typically use financial tools like credit card issued by a bank to complete the transaction. Customer Retail Store Financial Institution (e.g. Bank) Provider Here between customer and provider we have bank who mediates the transaction i.e takes the money from customer and route the same money to the provider. And this process takes time as it goes through other clearing and compliance. Now the question why do we need a mediator here? Why cant customer directly send their money or asset to provider directly. The answer is TRUST. Customer and provider do not trust each other. Provider wants to make sure customers asset is legitimate and real. So it takes help of financial institution like Bank to mediate the process and record the transaction.
  • 4. Why Blockchain ? Continue This process really worked well over the last few centuries. However this process has some huge drawbacks It is slow because financial institution needs to make sure customer has money in their account. Then it needs to move the same securely to providers account. This can not be done in real-time because customer and provider account is maintain in two separate book or ledger maintained by two separate entity. It does not support micro payment as Intermediaries like Bank impose a minimum fee on every transaction. It is hackable or not secured. There is always a risk of fraud in this process and we need apply active monitoring. Its is costly as it involves intermediaries, manual process requires active monitoring. It makes integration really difficult at global scale
  • 5. Why Blockchain ? Continue Blockchain is a protocol that solves all these problem. Its a technology which helps to maintain an immutable distributed Digital Ledger in an Automated Fashion where no manual process involves. Through Automation it established the trust and using Cryptography it makes sure security is full proof. As it is automated it is fast. As there is no intermediaries, there is no minimum transaction fee which make micro payment a reality Customer Retail Store Bitcoin Blockchain Network Provider
  • 6. What is Blockchain Blockchain at its core is a Data Structure implemented & automated through a network of computers or nodes. Block 1 Immutable Data Set 1 Block 2 Immutable Data Set 2 Data Set 1 + New Validated Transaction Block 3 Immutable Data Set 3 Data Set 2 + New Validated Transaction Block N Immutable Data Set N Data Set N + New Validated Transaction Mining Mining Mining
  • 7. What is Blockchain Every block in the blockchain is maintained by all the participant of the Blockchain eco-systems. So when new transaction comes through a participant, every other participant (General rule 51% of the participant) needs acknowledge and approve that transaction before it becomes part of the block. Now as every block fundamentally designed to be immutable, a new block gets created with newly approved data set which has reference to its previous block which forms a chain of block like a Linked List Stack where new block gets added on top always. The immutability feature of Blockchain makes it secured. Every participant holds same immutable block and until more than 51% of participant agrees a new will not be acceptable. This is makes whole system impossible to hack. This is biggest differentiating factor of Blockchain technology. Participant 1 Participant 2 Participant 3 Participant 4 Block N Block N Block N Block N Participant 5 Block N + New Data Block N Validate & Approve Validate & Approve
  • 8. Potential Use Cases In Bitcoin world Blockchain enabled transfer asset over IP. However blockchain as a technology has implication beyond Digital Currency like Bitcoin. The same principal can be applied any use cases which needs to maintain history of records through immutable data set for integrity and consistency of the overall system. Few other potential use cases Digital Title Deeds Micro Payment EHR Patients Electronic Health Records System