Open source blockchain glossary maintained by Haïti Blockchain Alliance
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The first and most valuable cryptocurrency, launched on Jan. 3, 2009. While its value has climbed steadily since then, it has seen wild fluctuations. In the past months alone, the price of Bitcoin has fluctuated from a record high of $60,000 to below $30,000.
A blockchain is essentially a digital ledger of transactions that is duplicated and distributed across the entire network of computer systems on the blockchain.
An algorithmic program that enacts the terms of a contract automatically based on its code. One of the main value propositions of the Ethereum network is its ability to execute smart contracts.
With the distributed peer-to-peer network, blockchain works as a distributed and immutable ledger that makes hacking the platform impossible. In other words, it is the most secure technology to record transactions and assets that can be intangible and tangible. In addition to this, technology is dominating various industries such as finance, healthcare, the internet of things, etc
From adding transparency to efficiency in data transactions, the blockchain professional can use it in a variety of aspects. For example, tech giants have been saving businesses time and money with this technology. Interestingly, this time-stamped series of immutable records is popular in the finance sector. In addition to it, companies may provide scalability, security, and privacy during transaction processes with its implementation. Though blockchain came into the trend with cryptocurrency, application of blockchain technology is nowadays reaching the healthcare and entertainment industry as well. Therefore, even smart appliances store data over blockchain ledger to avoid cyberattacks. Due to the smart contract, the travel industry, cybersecurity, and automobiles industry also use blockchain technology for safe data sharing and close monetary deals.
A block or immutable record of data is the prime component in the blockchain. A block helps in the storage and collection of data. When closely linked, more blocks form a chain of data which is known as the blockchain. Furthermore, when it records data once, nobody can change it. Thus, blockchain provides top-notch data security and privacy. In simpler terms, a block will get a place in a network after verifying transactions. So, blockchain includes all verified transactions to ensure a spender owns them.
Blockchains are best known for the traceability of transactions to maintain a secure and decentralized record. Also, this type of shared database does not involve any third party during the transaction process. Plus, cryptocurrencies are sped up by this technology. Blockchain networks are powering almost all cryptocurrencies for security purposes, such as Bitcoin and Ethereum. Moreover, big companies can transform themselves with the security, privacy and transparency blockchain offers. In addition to this, this decentralized ledger is also improving patient care, patient data management, and advancing medical care when incorporated in clinics.
Following are the most famous or popular blockchain platform.
- Ethereum
- Hyperledger Fabric
- Hyperledger Sawtooth
- IBM
- ConsenSys Quorum
- Stellar
- Ripple
- Tezos
- Cardano
There are 3 types of blockchain available. They are as follows:
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Private Blockchain
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Public Blockchain
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Consortium or Federated Blockchain
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Public Blockchain It is the first type of distributed ledger that is available for anybody to read, write and audit.
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Private Blockchain This type of blockchain is a private property that sets controls for selected individuals.
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Consortium or Federated Blockchain As the name suggests, it is closely controlled by the selected members of the Consortium. Additionally, they have the rights to read, write and audit the Blockchain.
The blockchain ecosystem has the following major components:
- Node Application
- System management
- Shared Ledger
- Smart contract
- Consensus Algorithm
- Peer network
- Virtual Machine