With the advent and increasing usage of distributed ledger technology, blockchain has become a major advancement in IT security and identity and access management. An extensive network of various ledger systems currently existing in the business world, however, they are easily susceptible to fraud and data theft. Distributed ledger technology such as blockchain technology brings to light a possible solution in which all participants have access to the most current version of the ledger where the complete record of transactions is transparent and cannot be modified or corrupted.
Blockchain is a decentralised storage system which is trust-less. This means that users do not have to trust a centralised database and handing over control to a third-party storage provider. As a result, the risk of a security compromise due to an external party is eliminated. In addition, human exchange of information is decentralised and democratised. All information created and added to a blockchain is grouped together and organised into blocks that are bound to one another through the use of cryptography. Ever since cryptocurrency services such as Ethereum and Bitcoin made use of blockchain as a platform that ensures all transactions are secure, numerous industries and businesses have started to leverage on blockchain as a solution to record-keeping that is reliable, transparent and instant.
From medical and education to real estate and insurance, many industries are leveraging on blockchain to address the existing security challenges that pervade in this digital world we live in. As blockchain security continues to be adopted in various fields around the world, more has yet to be discovered about what this technology is truly capable of.
It is therefore imperative that organisations figure out which blockchain technology is the appropriate fit for them. There is a growing array of blockchain platforms available for companies to develop on and utilise to address their business needs. When choosing a blockchain partner to work with, here are several considerations one should keep in mind:
Project Selection– Before selecting a blockchain platform, it is crucial to select your use case. This might seem like a redundant question but it is essential in ensuring that your blockchain solution solves issues that cannot be solved with current technology.
Scalability– As the number of transactions and participants increase, a blockchain network should be able to adapt and keep up with such growth in data management. Businesses that are transaction intensive are likely to run into scaling challenges.
Public vs Private– A public blockchain networks means that anyone can participate in the network. See Bitcoin for example. A private blockchain network requires permission in order to join the network.
Community Support – As blockchain technology is still in its infancy, it is important to have a level of support to surround you when need. Is the community of the blockchain platform able to provide ample feedback and support?
Developer Availability– Given that most of the programming languages are new, search for a blockchain platform that allows your developers to work in a language they already know.