The global Blockchain market could be worth more than $20 billion annually before the end of 2024. It is a technology that is growing in popularity because of the sheer number of identity theft incidents that occur due to data breaches.
People no longer trust each other or the companies with whom they do business to keep their data secure. Blockchain offers a viable option that is secured and virtually tamperproof. Information is easily one of the most valuable assets in the world today, with top companies like Apple and Microsoft being data-centric in their customer approach.
Blockchain makes numerous positive impacts in its quest to make data more secure.
Decentralized Data Security
There is no one central point of control with Blockchain technologies, which means every computer contains a complete copy of the data. This design makes the system fair and secure because it uses consensus protocols to record information or validate transactions. Users are not forced to depend on a single authority.
Because the data is present on multiple computers, the security of the information remains intact even if more than one malfunction occurs. Assuming that the info on the ledger is accurate and honest, this design helps the Blockchain provide one of the most secure ways to conduct transactions of any type in the world today.
Validation and Encryption Benefits
Blockchain technology ensures that the data sent between users receive encryption. That makes it challenging to modify the information while it is in transit. There is even the option to save a cryptographic signature of a file or document, allowing recipients to know that no tampering has occurred without needing to keep everything on the Blockchain.
The decentralized nature of this technology allows users to cross-check file signatures across all ledgers on each network node to ensure no changes occurred. It guarantees that the same version is the one that existed previously. If the record does change, then that action invalidates the signature.
Hacking Difficulties with Blockchain
Blockchain provides a chain of digital blocks that contain records. The lack of centralization means that users do not need to fear outcomes from a single point of failure. It does not allow the chain to be changed from a single computer or node either. All of the ledgers across the network are continuously updated and synchronized to ensure their accuracy.
Disclaimer: The author of this text, Robin Trehan, has an undergraduate degree in economics, Masters in international business and finance and MBA in electronic business. Trehan is Senior VP at Deltec International www.deltecbank.com. The views, thoughts, and opinions expressed in this text are solely the views of the author, and not necessarily reflecting the views of Deltec International Group, its subsidiaries and/or employees.
About Deltec Bank
Headquartered in The Bahamas, Deltec is an independent financial services group that delivers bespoke solutions to meet clients’ unique needs. The Deltec group of companies includes Deltec Bank & Trust Limited, Deltec Fund Services Limited, and Deltec Investment Advisers Limited, Deltec Securities Ltd. and Long Cay Captive Management.