Blockchain, though trending, is still an intimidating topic for many. People are confused about how to approach this technology. This may be because blockchain is in the development stage. But will we see blockchain in the future?
The answer is “Yes.”
Who wouldn’t want direct transactions without any intermediaries?
If people have complete control over their money, why would they choose other means for themselves to spend money?
Blockchain is a decentralized technology that creates transparent, immutable records of digital transactions.
Given its ability to lower risks and fraud, it has garnered a lot of interest.
What Makes Blockchain Your Favourite Technological Trend?
Multiple factors have helped blockchain become what it is today. Some of them are:
- Immutability: Once data enters the network, it cannot be changed or altered. No one has complete access to the blockchain’s information.
- Transparency: Since blockchain is decentralized and there is no central authority, the entire system is very transparent.
- Security: There is no single point of failure as data sharing is amongst multiple nodes. Information cannot be compromised if one node gets hacked or becomes faulty.
- Fast Transactions: Blockchain technology has enabled smooth transactions. Users can make hassle-free transactions without paying heavy transactional fees.
- Distributed Ledger: A copy of the ledger is available to all network users for complete transparency. A public ledger will give full details of all users and transactions on the network.
Is blockchain regulated?
A central authority or the government has no control over the blockchain. However, every network and its participants should follow some rules to maintain integrity and security. These rules are known as “blockchain protocols.” Blockchain protocols ensure the smooth operation of the network.
What are the issues that blockchain is facing?
Blockchain has faced an issue with low throughput since its inception. For example, Ethereum has a transaction speed of around 15TPS. At the same time, Bitcoin can handle around 7TPS. If the number of participants increases, there are chances of network congestion. Whenever the network gets clogged, gas fees increase automatically. Gas fees are big issue blockchains are facing. There is a debate on block size as well. Some people believe that the block size should be large and many believe that the block size should be smaller. And then there is a problem with power consumption as well. Ethereum still uses a PoW mechanism that requires high computational power.
Slice Ledger – The Saviour?
The issues mentioned above can be solved with technological advancements. Several blockchain protocols have addressed these issues. One of them is Slice Ledger. Slice Ledger is a public EVM-compatible blockchain protocol that is used to build decentralized applications. Since it uses Proof of Stake and Proof of Play consensus mechanisms, it uses low computational power. Transaction settlements are faster as compared to other blockchains. There is no chance of network congestion, and because of this, the gas fees are almost negligible.
Conclusion
More businesses will spend more money and resources on the technology as they become aware of how blockchain may benefit them, leading to the emergence of even more use cases. Although we are aware that blockchain technology will continue to be a resistant subject for many people, it doesn’t have to be for you.
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