I think we can all agree there is tremendous hype around the obscure terms Blockchain, Ethereum, Cryptocurrencies and Bitcoin these days. Let me illuminate what all this hype is about, as it will be changing the landscape of the future in a very real way. By that I mean in ways that can alter life as we know it permanently.
Blockchain was a technology first developed with the goal of removing the middleman and moving towards democratization and decentralization by startups, to disrupt a host of industries at the same time. It is a digital ledger that acts as a secure method of making and recording transactions, agreements and contracts. Each computer that is connected to the relevant network (or node) is given a copy of the blockchain, which is automatically downloaded.
Blockchain technology was originally developed as an accounting method for the Bitcoin virtual currency and uses distributed ledger technology (DLT) that is being applied in a variety of ways and industries today.
Even though the technology is currently only being used to verify transactions within digital currencies, it is possible to digitize, code and insert any form of documentation into the blockchain – which makes for some very innovative applications.
Insertion into the blockchain means the information is made immutable or tamper-proof and the record’s authenticity can be verified by the entire network using the blockchain, instead of a single centralized authority.
In terms of cryptocurrencies and Bitcoins in particular, this blockchain-based exchange of value can be completed quicker and with less errors (through automation), is more secure (owing to high-level encryption) and is far more cheap (with technology replacing human capital) than any existing system presently known to man.
Ethereum is an open software platform that makes use of blockchain technology to enable developers to build and deploy decentralized applications. It was designed to apply blockchain in fields and industries with applications beyond payments.
The brilliance of Ethereum lies in its two primary features:
- It can compute anything that is computable given sufficient resources
- It is able to remember everything in the system at a blockchain level
Ethereum’s blockchain presently connects thousands of computers (or nodes) around the globe, which forms something akin to a ‘world computer’. Virtually anyone with an internet connection can access, upload and execute programs on it.
Because Ethereum only allows decentralized applications, it has no middlemen and all users are able to interact in a peer-to-peer fashion, similar to social networks.
Built into Ethereum-compatible applications are smart contracts which are essentially programmed business logic capable of fully automating, assisting, executing and enforcing terms of agreement and moving digital assets, including sensitive information, when triggered by certain events.
These decentralized applications share the following game changing features:
Secure: Cryptographic encryption
Tamper-proof: Data is immutable once on the blockchain
Transparent: Fully auditable (trackable) information and transactions
Given these characteristics, it is easy to see why Ethereum developers can build almost anything they can imagine.
For starters, let’s imagine a self-driving car that is independent and self-sufficient in and of itself. It has a digital currency budget for gas, can be instructed to get from one location to another at a certain time, and can carry out and pay for maintenance when its sensors detect issues developing.
Now, this would only be one possible application of Ethereum, and this is exactly why Blockchain technology is attracting not only financial institutions and stock exchanges, but entrepreneurs and businesses in the music, insurance, IOT, and Big Data sectors, amongst many others.
COMING SOON: SOCIETE GENERALE BLOCKCHAIN DEVELOPER MEET
If you find your curiosity and interest piqued by this information, rest assured you are not alone.
Societe Generale is an European bank, based out of France, with a reputation that spans the globe.
Its Societe Generale Global Solution Center (SG GSC) is a 100% owned subsidiary of the European banking major. Societe Generale (SG) embarked on its Indian journey in 2000 and is known for its extensive experience in sustainable delivery across information technology and banking operations.
It will be holding a learnup on “The Evolution of Blockchain Frameworks” to help individuals interested in Blockchain technology learn about and welcome a new era of innovation that is scheduled to disrupt almost every industry known to man in the very near future.
The Societe Generale Blockchain Developer learnup will be held soon, so don’t miss out on your chance to join those like you in a memorable experience destined to propel you into the future by leaps and bounds.