Blockchain’s applications are linked directly to its benefits, such as:
Security: The structure of the “chain of blocks” makes it impossible to be violated, since if an intruder decides to try to alter or erase any recorded transactions, it would need to control more than half of thousands of interfaces to allow a change by consensus. So, in order to make any changes to a record, this update would need to be verified by the whole software coded databases, making it impossible for one intruder to have access to thousands of interfaces.
Availability: The decentralized structure keeps the network running and working properly, even if some nodes are disconnected from the network. Once these nodes are reconnected to the network, they are immediately updated.
Trust: Since all the records in the blockchain can’t be altered or erased, the parties can be sure that all transactions recorded are legitimate.
Transparency: All the transactions are public, meaning all nodes have access to it. The record of the identity of the users is possible using the cryptographic mechanism, which ensures that only legitimate users are participating in that transaction, providing even more security.
- How can it be used for verifiability?
Blockchain allows verifiability of legitimacy. For example, in a trade, it allows the verification that one of the parties involved is the actual seller or producer of the item in question.
Blockchain can be used as a tool to sign cryptographically for a given attribute. For example, the Government can sign that a person is a US citizen, or an academic institution can sign that a student is properly enrolled. Since this information is public, the person in question has control and access to this record and can use it as a certification.
Blockchain allows for the record of users or clients in the system, which prevents identity fraud or fake identities. This can be particularly useful in contracts, for example, when transferring a properly or finalizing an electronic contract.
Andreia do Amaral – INFO 653-02