Overview of Blockchain Technology Concepts

The term blockchain requires a lot of effort in order to be explained in the best possible way. The simplest way we can describe it is a decentralized, digitalized, public ledger. It consists of blocks, filled with digital information, which are then connected into chains. These chains have the potential to become bigger, to have more of the blocks inside them, with every verifiable transaction that occurs. What is the connection with cryptos, you ask?

Well, the connection is that cryptos are operating through the blockchain system. Also, it uses pretty much every feature used by the system itself. Plus, there is absolutely no authority over it, which is exactly the same concept as the blockchain. If you are interested in taking a look at some of the smartest ways you can use blockchain, take a look at btsr.io. You will see that this concept has a lot to offer and that people will use it much more in the future, without a doubt.

Why Should We Use Blockchain?

Now, let us take a look at some of the most important reasons why someone should use the blockchain system.

• Decentralization

We’ve already stated numerous times that blockchain is a completely decentralized system from every other system you know about. Therefore, you will have complete control over your information. Nobody else will have access without your permission.

• Transparency

Due to not having any kind of, let’s say, middleman, between two parties, you will be able to have complete transparency over the data transfer you have without any other authority above you.

• Security

This system is officially regarded as one of the unbreachable systems in the world. The reason is there are so many layers of security. Plus, some of them can be considered impossible to crack. Therefore, it shouldn’t come as a surprise that many consider it unbreachable.

Blockchain ​​turned financial waters 

Rumors that the application will blockchain technologies disrupts traditional payment systems and the provision of financial services have existed since the first introduction to cryptocurrencies. Disruption among other things it means that it will a particular process, system, or method change and perform in a way that is significantly different than usual or expected. That’s why it’s important to detect how this “revolutionary” blockchain is changing the payment system and in what legal framework. The main characteristic of the application of blockchain technology is the absence of a central supervisory body, but all “peers” jointly monitor the system.

In payment transactions, that would mean no more than one body having a duty of supervision and security of data storage. Joint control of all payment system participants has the direct consequence that the high costs of protecting payment transactions from external “attackers” become unnecessary. Due to the lack of centralized supervision, transactions can be executed practically instantaneously, in addition to, perhaps most importantly for the average payment service user, a reduction in the various fees charged in doing so. One of the main advantages is that the blockchain does not know territorial borders, so it is possible to conduct transactions globally much faster.

Financial services and infrastructure 

Blockchain technology can provide a platform for better financial services and payment gateways. Digital cryptocurrency like Bitcoin, as it is already known, is powered by blockchain technology. The use of such cryptocurrencies can restore existing payment systems and other financial services. For example, if a certain person sends money to his family in another country, possible funds transfers are banks, payment applications (such as PayPal), or other intermediary organizations such as MoneyGram or Western Union.

But their costs for services are high, even for micropayments. All these intermediaries can be eliminated and the money can be transferred directly from the sender to recipients using cryptocurrencies, such as bitcoin, without the involvement of any intermediary. Transaction tracking and property rights can also be implemented in the financial sectors using blockchain. The use of blockchain technology in the financial sector will not only provide a free system of payment but also provide a secure way for network transactions to take place.