Blockchain Technology: How it is Reshaping the Tech Industry

New trends and technologies are constantly hitting the business world in recent years. The inclination towards the adoption of new technologies has also been increasing. Businesses leverage disruptive technologies to streamline their processes and take strategic decisions.

Blockchain is one of these ground-breaking innovations reshaping business venture growth. Known as the heart of most digital currencies like Bitcoin, Blockchain is the technology that maintains a distributed digital ledger for recording transactions in a decentralized database.

Although most people associate Blockchain with cryptocurrency, the technology has significantly contributed to the banking, healthcare, and real estate industries. Essentially, Blockchain plays a critical role in securely tracking transactions, which every industry will need to do at some point. Let’s understand it much better.

What is Blockchain Technology?

It is a shared ledger that facilitates the process of tracking transactions and assets (tangible or intangible) in a business network. A type of database that stores information in blocks, and these blocks are connected together via cryptography. When a block is filled with data, it is chained onto the previous block, putting the data in chronological sequence. New data will then enter into a new block.

Blockchain has the capacity to record or store any kind of data. It utilizes a digital signature feature to record transactions making it impossible to hack or change this data by an external system. Blockchain technology is completely decentralized, and instead of keeping any of its data in a centralized location, the Blockchain is replicated and distributed across a network of computers.

Key Elements of Blockchain

Blockchain technology incorporates five key elements to record information and validate transactions that cannot be hacked or changed by a single participant.

Distributed Ledger technology – All network participants have access to a distributed ledger and transaction records. With DLT, transactions are stored only once, reducing the duplication of effort that is common in traditional commercial networks. DLT is a protocol that allows for storing information securely and accurately with the help of cryptography.

Immutable Records – Once a transaction is recorded to the shared ledger, no participant can corrupt or change it. If there is an error in a transaction record, a new record must be added to correct the error, and both transactions are then visible.

Decentralization – A consensus mechanism evaluates and authorizes transactions, removing the need for the network to be governed by a central middleman. Technology, economics, and decision-making are the three pillars of decentralization and its inverse, centralization. Each can be adjusted to change how governance is applied to the ecosystem.

Encryption – Blockchain technology, such as public and private keys, is used to securely and semi-anonymously record data. The Blockchain, for example, generates an address for the participant that is visible to all network participants yet provides pseudonymity while constructing a Bitcoin wallet.

Smart Contracts – Smart contracts are self-executing lines of code that automatically verify and execute the conditions of a buyer-seller agreement across a computer network.

How Can Mobile App Developers Utilize Blockchain Technology?

With the rising competition in the tech industry, businesses adopt new technologies to catch new heights. Startups and big enterprises are embracing Blockchain and integrating it into their system. For a long time associated with cryptocurrencies such as Bitcoin, this technology has now entered the realm of mobile app development, improving transaction speed and security.

App developers can use the technology to build secure and custom mobile apps. Have a look at some significant stats about blockchain app development:

• According to Dot Com Infoway, the global blockchain market will reach $20 billion by 2024.
• The sector with the highest distribution of blockchain solutions is Banking in the year 2021.
• The recorded number of Blockchain wallet users across the globe is more than 7 billion.

Even though the blockchain technology landscape is constantly changing, it is a technology that will impact the businesses of most IT leaders in the next five years. You can’t afford to ignore this powerful technology, whether because a competitor has adopted it or the necessity to participate in a blockchain network.

Another aspect to consider is whether technology has the potential to influence the mobile app development industry. Let us look at how app developers can benefit from this futuristic technology in the future by incorporating it into the apps they design.

Benefits of Using Blockchain Technology in your Next Mobile App

Understand that Blockchain and its influence on enterprises can provide them with several benefits. It now depends on whether they use permissible blockchain-based services or public blockchain networks. Here are some significant advantages of using Blockchain in app development:

Decentralized Structure

The technology is decentralized, so there is no chance for Blockchain to collapse. Blockchain technology has proven its worth when there is no central authority to enable trust. Blockchain facilitates data exchange within a corporate ecosystem where no single entity is in charge. We may see this in the supply chain when people seek information from others in the chain, but no one is in charge of facilitating all components. As a result, Blockchain is the all-in-one solution to this problem.

Enhanced Security

Another benefit of blockchain-based systems is improved security. Blockchain is based on an immutable record of transactions protected by end-to-end encryption. This also prevents fraud and unauthorized behavior. Data on the Blockchain is kept across a computer network, making it nearly impossible to hack. Blockchain can handle privacy problems more effectively than traditional computer systems by un-attributing data and collecting rights to limit access.

Increased Transparency

Blockchain records every transaction on a public ledger, making it easy for users to track each transaction of funds at one’s discretion. The transaction’s ease of use makes this technology transparent and eliminates the potential for misleading information or fraudulent transactions. Blockchain secures an entire system from any abuse and fraudulent activity. Because this is a scalable technology, blockchain-based mobile apps will also be highly scalable.

Improved Speed

Blockchain can handle transactions faster than conventional payment methods. It can beat different technologies in seconds and eliminates human-made errors through automation. Walmart, for example, employed Blockchain business development technology to trace the origin of sliced mangoes in seconds, a procedure that took seven days previously.

Protection of Infrastructure

One of the advantages of adding Blockchain to your mobile app is the protection of infrastructure. You can shift the risk of hacking to a secured platform by storing a DNS entry on Blockchain. The distributed DNS makes it difficult for anyone to get into the system without your permission, even for the Government.

Build your Own Blockchain App

Blockchain technology will serve app developers as a futuristic tool capable of propelling their apps to the next level. Blockchain-based apps can drive business process innovation while improving customer security, efficiency, and transparency. However, integrating it into your business apps demands ability and expertise because it is a complicated technology.

We can assist you if you are looking forward to building a blockchain-based mobile app with features like a transaction interface or mobile payment gateways. iapp Technologies LLP is a leading blockchain app development firm. Our app developers have in-depth knowledge of programming languages, blockchain platforms, networks, front-end and back-end processes, and many more. Get in touch to discuss your project idea with us.