Basics of blockchain- what is blockchain?
Good afternoon, let me talk to you about a very interesting topic which all the people today are discussing, which is called Blockchain In fact, people are discussing more about bitcoins and cryptocurrency than not only about blockchain
So let me explain to all of you what essentially is blockchain and what is cryptocurrency and Bitcoin So blockchain is essentially the new technology which will be used by lots of people and cryptocurrency is one of the used cases of blockchain technology Within that, Bitcoin is one of the first early movers of a particular kind of cryptocurrency So, essentially what is blockchain fundamentally? Blockchain is essentially a technology in which you don't have a centralised database and the data is distributed across a large number of people and computers So it is something like a distributed database
it is not only a distributed database but this database is not owned by anyone In fact in terms of blockchain, you can have something which is called a "public blockchain" and something which is called an "enterprise blockchain" which essentially means that it is limited to a certain large number of people The way blockchain is controlled is that this data transfer happens and it is controlled by people who are called data miners So esentially they help in mining the data from one to another So what are some of the real, used case of blockchain? I think that's importance for us to know and understand
According to me, lots of industries will get disrupted by this new technology So, whether it is the financial industry, banking, travel, lots of industries would get disrupted by blockchain and according to me, one of the biggest used cases of blockchain essentially is what's called smart contracts Now what is the used case of smart contracts? Uhm, today, there are commercial contracts which happen between various organisations; let's say between the airline manufacturers, people who run the airlines, the consumers and in between OTAs So, there's a commercial agreement which is done and this commercial agreement is backed by legal agreement Once we start using smart contract, you actually may not have the need for strong legal agreements, because, the smart contracts quickly ensures that it is coded, so whatever's commercially agreed is immediately coded and the transactions cannot happen beyond the coding
So to me, smart contracts is one of the biggest used cases of blockchain and industries like travel, industries like hotels, industries like hospitality and even agricultural and banking industries, are where we can really use smart contracts, which will help in increasing- in fact even governments can use smart contracts in a very big way Already some of the government departments in India have started to use blockchain technology In fact, the Swiss government has already started using blockchain technology for their passport systems So this, to me, is a very interesting field and as managers and executives and people who understand the value of new technology, I think this is one technology where one must really study, understand and learn and utilise to the fullest I'm happy to take further questions on blockchain
Please do write to me, e-mail to me and I think all of us should really study a little bit more on blockchain Thank you