Blockchain characteristics are determined by their type and have particular implications. It is not an appropriate solution to use cases that necessitate a high level of privacy. If a solution is needed for a homogeneous environment where everyone trusts each other and has full control over the flow of data, and the environment itself is not exposed to any external threats – blockchain is going to be a very slow and disturbing database.
The technology becomes relevant if dealing with a lack of trust in the network. But before analysing specific blockchain use-cases, let’s break down the problems.
In 2009 Satoshi Nakamoto released the first decentralised cryptocurrency – Bitcoin. It was the first implementation of blockchain technology.
Blockchain is mainly associated with cryptocurrency. Yet the specific blockchain type utilised for this relatively new financial use case is just a tip of an iceberg. Recent approaches incline towards enterprise usage. Employing blockchain into Supply Chain Management (SCM) enables to track product or service subsequent states in the business flow. Business partners can join the blockchain network to either read or write information to the ledger history.
We’ve recently had a spike in our sprint to check out blockchain technology. The goal was to assess it and check potential use in our FinTech scenarios rather than implement anything. We obviously started with bitcoin – blockchain’s No 1 implementation.
Flickr, https://flic.kr/p/oDe4AT, cropped
There are many resources on the Web explaining how it works (starting with their WIKI). It requires some time to understand it but it’s not a rocket science. One of our younger team members managed to go through it without problems and effectively explained it to the rest of the team.