Blockchain technology has usage beyond financial transactions to improve the security and efficiencies of different business activities. Blockchain technology can help with applications requiring transparency on data and documents with a permanent time and date stamp. In the insurance sector, as an example, blockchain technology can help with customer onboarding, smart contracts, and fraud detection with blockchain document security. In manufacturing, you can use blockchain in supply chain applications and 3D printing.
Though many blockchain applications are there for banking and eCommerce, any transaction needing data immutability and the requirement to preserve the integrity of original data can benefit from blockchain technology. There are instances where the authenticity of data and documents is crucial, if not grave, in businesses, institutions, and even government agencies. Such organizations have intellectual property assets, property registry documents, contracts, medical files, chain-of-evidence documents, security camera footage, archived documents subject to audit, and other data and sensitive documents.
Blockchain is Decentralised
Rather than uploading the data to a cloud server or storing it in a single location, blockchain divides everything into tiny chunks and distributes them across the entire network of computers. It is a digital ledger of transactions that do not have a central control point. Each computer, or node, owns a full copy of the edger. Hence, one or even two nodes going down will not result in any data loss.
It powerfully cuts out the middle man, and there is no requirement to engage a third party to process any transaction. No need to trust a vendor or any service provider as you can depend on a decentralized, immutable ledger.
Nobody can Hack Blockchain-based Data
Though hackers can break into conventional networks and find all the data in a single source and exfiltrate it or corrupt it, the blockchain makes this extremely hard. The entire network decentralises, encrypts, and cross-checks the data. Once you record the information on the blockchain ledger, it is nearly impossible to change or remove without anyone noticing it.
Multiple nodes on the network confirm every legitimate transaction on the network. To successfully hack blockchain, you must hack most of the nodes simultaneously, which, however, is technically possible with adequate supercomputing power and time. It is beyond the capability of cybercriminals in the present time.
Blockchain Promises Encryption and Validation
Everything on the blockchain is encoded, and it’s possible to prove that nobody has altered the data. It has distributed nature and you can easily check file signatures across all the ledgers on all the different nodes in the network and confirm that nobody has changed them. If someone does alter a record, then the signature turns out to be invalid.
It potentially permits you to use the blockchain ledger to confirm that data backed up and stored in the cloud with any third-party vendors has gone unchanged even weeks, months, or years later. One cannot deny the fact that blockchain offers dependable, independent data verification. If you access any data on the blockchain, there would be a document authentication QR code. You have to scan the QR code and the secure QR code would reveal only the authentic data. And accessing the data is possible only if the hash value on the QR code matches the hash value on the QR code on the blockchain network.
The Bottom Line
Nothing is indeed impossible to hack and attack. However, it is also true that it looks like blockchain technology has come closest to immutability at its best. With blockchain, you can secure your sensitive and confidential data with ease and peace. Look for blockchain solutions with ProofEasy for implementing blockchain in your organization.