Is it Safe to Use Blockchain Technolgy? Everything You Need to Know
Today people are constantly looking for new ways to improve our society’s security. The Internet is growing exponentially, businesses need more protection than ever before, and hackers are getting smarter every day. Unfortunately, cyber-attacks are becoming an increasingly common problem that costs the economy thousands of dollars every year. Fortunately, there are tools that can help reduce these risks – blockchain technology, for example.
How Does Bloackchain Technology Work?
Before you can decide whether blockchain is the right solution for your business, it’s important to understand exactly what blockchain does and how it works.
The basics of Blockchain are that it is an electronic ledger which allows information to be distributed but not copied . It’s like a Google document where all users can view the changes, but any changes are reflected across all copies. This technology is being developed to manage everything from money transactions to medical records, almost anything that can be digitised can be included in a blockchain .
Once the “blocks” of data are created they cannot be changed or deleted, making it virtually impossible for anyone to tamper with information stored within them.
If a hacker wanted to change one piece of the data they would need to break into every single block across billions of computers. In addition, as soon as information is entered into a blockchain it becomes visible to everyone within the network, meaning that any changes or attempted alterations are immediately spotted by those monitoring it.
Is it Safe to Use Blockchain?
In conclusion, because information stored within blockchain is public and cannot be changed, or hacked successfully, it is considered to be much safer than traditional electronic storage when it comes to protecting data. However, there are also some potential downsides which you should consider before adopting the technology.
For example, even though blockchain is theoretically safe because it’s a decentralised system not stored in a single location, it still requires a large amount of computer power to function which means that energy consumption could become a problem. However, this may not be an issue for businesses as the technology becomes more widespread and cheaper to use.