Advantages of Blockchain Technology over Traditional Security Systems
There is not a chance of second thought in the fact that the world is adopting digitalization at its pace. Today, people from all around the corner are in search of new technologies and inventions for everything.
The moment one puts their eyes upwards, they will find that the mechanisation and inventions of AI, high-tech systems and softwares for every niche is introduced in seconds. Likewise, Blockchain Technology is one of a revolutionary innovation that has the potential to transform the way we approach cyber securities and data management. In this article, we are going to explore the advantages of blockchain technology over the traditional security systems and techniques.
Before moving forward, in case you are newly hearing the term, let us brief you:
Blockchain technology is a super advanced database mechanism which works as a digital ledger book within a business network. The blockchain database records and stores the data in multiple blocks which all are interlinked together in a chain. At its core, blockchain technology is a distributed ledger, and a decentralised network that enables transparent, secure, and tamper-proof transactions.
What are the advantages of blockchain technology?
The advantages of blockchain technology or a new age database security systems over traditional security system are mentioned below-
Transparency
A sophisticated database system called blockchain technology enables transparent information sharing inside a company network. Transactions on the blockchain are transparent and publicly accessible, making it easier to audit and verify them.
Also, this transparency feature makes it more difficult for hackers or cyber attackers to get engaged in fraudulent activity or tamper with data.
Decentralisation
The other primary advantage of blockchain technology is its decentralised nature. Traditional security systems rely on a central authority to manage and verify transactions which can be harmful from the hackers or other malicious activities.
With blockchain technology, transactions are verified and recorded by a network of computers, known as nodes, rather than a single central authority. This decentralized approach makes it a more safer and secure system.
Competence
The transactions can proceed more quickly and efficiently in the case of blockchain technology than the traditional database systems. That’s why the industries of every niche, specifically the financial genre, find blockchain technology as an ideal option for data management, and facilitate faster & secure payments.
Security
The database is more safe and secure on the blockchain technology as it includes complex cryptographic algorithms. These consensus mechanisms work as the safest hash functions in efficient transaction processing, and to prevent unauthorised access.
Additionally, the decentralisation in block chain space disables all the chances of data hacking.
Cost-effectiveness
As there is no central server involved in monitoring, and verifying blockchain technology-based transactions, the costs associated with the management of a centralised system are reduced.
Invariability
The other astonishing part of blockchain technology is its invariable and immutable nature. It means once a transaction or data is recorded on the blockchain, it cannot be altered or deleted. This ensures the integrity of the data and provides a high level of security against fraud. Traditional security systems, on the other hand, are vulnerable to data manipulation and tampering.
Other use cases of blockchain technology
So, these above mentioned pointers are those characteristics of blockchain technology which differ it from other traditional database management systems. Besides these cutting-edge features, there are other such prominent use cases of this high-tech, data management system in various fields. Let's have a glimpse of some of them.
Blockchain Technology enables:
Applications
Blockchain technology enables a wide range of applications across many different industries. In addition to the financial industry, blockchain technology is being used in supply chain management, healthcare, real estate, and more.
Let's take a closer look at some of the ways blockchain technology is being used in these industries.
Supply Chain Management
Blockchain technology is being used in supply chain management to improve transparency and traceability. By recording every step of a product's journey on the blockchain, companies can ensure that the product is authentic and has not been tampered with. This can help reduce the risk of counterfeit products and improve overall supply chain efficiency.
Healthcare
Blockchain technology is also being used in healthcare to improve data management and to maintain patient privacy. By recording patient data on the blockchain, healthcare providers can ensure that patient data is secure and cannot be tampered with. Additionally, blockchain technology can help improve the efficiency of healthcare processes, such as insurance claims and medical record keeping.
Real Estate
Blockchain technology is now being used in real estate to improve transparency and reduce fraud. By recording property transactions on the blockchain, real estate agents and buyers can ensure that the property has a clear title and is not subject to any liens or encumbrances.
Conclusion
In conclusion, blockchain technology offers a range of advantages over traditional security systems. Its features like transparency, decentralised nature, security, competence, cost-effectiveness, invariability, and others make it an ideal solution for a wide range of applications. Also, considering the amazing use cases, and utilities of blockchain technology in every niche, it is becoming a boom industry day by day.
Furthermore, seeing the continuous evolve in blockchain technology, it is expected to be seen in further more industries, and applications in the upcoming years.
By Riteshu Sen Jaiswar
