What Is Blockchain Development, Its Types And Why you need this?

The blockchain technology can be a new name for many but the experts have a strong opinion that due to this technology we can witness a big changeover in the field of technology. Thus, there are various companies who are looking for blockchain development for their business. This is an emerging technology so that still there are people who are not aware of this term. If you are one of those and wish to have considerable knowledge of this technology, just carry on reading the information below.  

What is blockchain? 

IN the simplest terms, a blockchain is a time-stamped series of immutable record of data that is managed by a cluster of computers not owned by a single entity. Each of these blocks of data is secured and bound to each other using cryptographic principles i.e. chain. 

The blockchain network has no central authority-it is very much similar to a democratic system. Since it is a shared and immutable ledger, the information in it is open for everyone to see. Hence, anything that is built on the blockchain is by very nature it's truly transparent and everyone involved is accountable for its actions.  

Types of blockchains 

There are mainly three types of blockchain that have emerged after Bitcoin introduced blockchain into the world.  

1) Public Blockchain: As the name suggests a public blockchain is which is “for the people, by the people, and of the people.” 

No one is in charge here and anyone can participate in reading/writing/editing of the blockchain. This type of blockchain is open for anyone can review anything at any given point of time on the public blockchain. Bitcoin and Litecoin are popular examples of public Blockchain. 

2) Private Blockchain: A private blockchain is a private property of an individual or an organization. Unlike public blockchain here there is an in charge who looks after of all the important things such as read/write or whom to selectively give the authority to do so or vice versa. For example a bankchain 

3) Consortium or Federated Blockchain: The third and last type of blockchain tries to remove the sole autonomy which gets vested in just one entity by using different private blockchains. 

So, instead of a single person in charge, you have several in charge. Basically, you have a group of companies or representative individuals coming together and making decisions for the best benefit of the whole network. Such groups are also called a consortium or federation that's why the name is a consortium or Federated Blockchain.  

Why do we need blockchain development?  

As mentioned above, the blockchain is trying to make the technology more useful for the people who need to maintain an indisputable record of transactions. This technology provides you the ultimate clarity and transparency and can be used as a very effective tool against corruption.  

With the blockchain development, all the transactions take place in a safe environment where all the details are encrypted with the generation of a unique number. However, the network will be aware of all the transaction.  There are several companies offering blockchain development companies in India offering a satisfactory result to different business verticals.