Why we believe in blockchain

Why we believe in blockchain

As blockchain technologies were playing a leading role in the establishment of Bitcoin and other cryptocurrencies, we came to closely associate the two and even identify them one with another in our minds. That gave blockchain an incomplete and somewhat mistaken identity. People tend to view it exclusively as a cryptocurrency tool. What they fail to see is a whole range of important innovative and practical solutions that it offers for businesses and social institutions alike.  

Blockchain, to put it simply, is a distributed ledger that contains synchronized, mathematically secured and untamperable digital data, available simultaneously to all users of this ledger. It offers to them all an equal tool for registering, accessing, searching and confirming the validity of a piece of information. Blockchain does not give preference to any particular user nor does it elevate anyone's authority at the expense of other users. The ledger can digitally record, protect and safely keep any kind of data and it can be used by any entity. 

Data entry in blockchain utilizes digital resources and the unalterability of the distributed ledger is ensured by means of cryptological tools. Data is recorded in consecutive blocks of information that form a continuous chain. Hence, the blockchain. Unique algorithms are utilized to motivate users to employ their own digital resources for creating new data blocks. After a specific block of data is created, it is added into the chain and its digital info is checked and verified by other users. Special algorithms are employed to prevent potential conflicts for simultaneously added data blocks. 

The ensured safekeeping of all records and the guaranteed authenticity verification for all transactions are currently blockchain's two most valued tools for which there exists high demand. Thanks to this, blockchain is deemed to be a reliable source of truth, accepted by all sides involved in a transaction, the source that precludes the need for a third party involvement (mediators, centralized authority, etc) in the process and their potential influence on the transaction. 

Blockchain's potential has been significantly expanded with the creation of smart contracts, a useful tool for recording all sorts of financial and legal transactions. The Etherium Virtual Machine, the EVM, is today's most highly developed runtime environment for establishing and conducting transactions with smart contracts, utilizing the EVM's blockchain. We at Bit-Labs design technological blockchain solutions catered specifically to your needs. Smart contracts is one of the tools we use to ensure the safety and authenticity of your legal, financial and other type of records. To utilize smart contracts for your record keeping and other database needs, please contact us here.