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Public Blockchain

Public Blockchain On-chain Scaling Degrades Decentralization: Microsoft Researcher

Public Blockchain On-chain Scaling Degrades Decentralization: Microsoft Researcher

Public Blockchain On-Chain Scaling Degrades Decentralization: Microsoft Researcher A team of Microsoft blockchain researchers has concluded that on-chain scaling a method employed by Bitcoin Cash and other cryptocurrencies is antithetical to decentralization and will not provide a network with the ability to operate at world-scale. On-Chain Scaling Not Compatible with Decentralization: Microsoft For the past year, Microsoft researchers have explored how blockchain and other distributed ledger technologies (DLT) can be leveraged to create digital identities for the billions of people who do not have reliable identification. In a notable divergence from the oft-repeated blockchain not Bitcoin refrain, Microsoft Identity Division researcher Ankur Patel wrote in a Monday blog post that several public blockchains, including Bitcoin, Ethereum, and Litecoin, provide a solid foundation for creating and securing decentralized digital identities (DIDs). However, Patel said that blockchains that increase network capacity through on-chain scaling, which involves raising the blocksize, will eventually experience degraded centralization and will not be able to function on a world-scale. While some blockchain communities have increased on-chain transaction capacity (e.g. blocksize increases), this approach generally degrades the decentralized state of the network and cannot reach the millions of transactions per second the system would generate at world-scale. The debate over on-chain scaling, of course, was one of the chief disputes that led to the Bitcoin Cash hard fork last August. While Bitcoin Core developers proposed scaling the Bitcoin network through second-layer protocols such as the Lightning Network (LN), Bitcoin Cash proponents argued that on-chain scaling not only fulfil Continue reading >>

Public Vs Private Blockchain Protocols: What's The Difference?

Public Vs Private Blockchain Protocols: What's The Difference?

Public Vs Private blockchain protocols: What's the difference? James Bennett , 19 Mar 2018 - Blockchain , Open Source Satoshi Nakamotos Bitcoin protocol was the first to successfully apply the concept of a distributed public ledger to peer-to-peer transactions. In line with the decentralized nature of the technology, Nakamoto released the protocol as open source meaning anyone could take the protocol, modify it and their own p2p transaction network. As new ideas came to the space, users began to find applications for blockchain technology outside of the p2p money use case. This article will look at how these different applications fall into one of two categories, and what is the difference between them: Public Vs Private blockchain protocols. Public protocols are open source and permissionless, allowing anyone to participate or benefit from the technology. Ethereum is one such public protocol that allows for users to build and run their own smart contracts without building their own ecosystem. Anyone can develop a decentralisedapplication (Dapp) on Ethereum so long as the purchase some Ether to use as GAS, this is like the fuel needed to run their software programs. Unlike public protocols, private blockchains require permissioned access and operate under the guises of a centralised organisation. The entry control procedures can vary from giving existing participants power to nominate future entrants to having a predetermined set of steps a user must complete for their access rights. Once an entity has joined the network, it will play a role in maintaining the blockchain in a decentralised manner. Since the system relies on internal participants to verify transactions there are not the same game theoretic incentive mechanisms in place to secure the network. Private blo Continue reading >>

5 Answers - What Is The Difference Between Private Blockchains And Public Blockchains Like Bitcoin? - Quora

5 Answers - What Is The Difference Between Private Blockchains And Public Blockchains Like Bitcoin? - Quora

What is the difference between private blockchains and public blockchains like bitcoin? A private blockchain is just like a public one when it comes to the distribute aspect of the data,multiple computers (nodes) are comneceted through a protocol and they exchange transactions and help mentain a common ledger. Unlike a public one the private blockchain is behind a firewall and can only be mined by computers that are on that network. It is also generally used just within a company, behind their firewall and is only available to the emplyees and systems on that company. You can say a public blockchain is a democracy where all the computers and organizations decide together where they are going and what changes to implement. In a private one, there is generally a dictatorship because everything is owned by one company. Have a look at . The private blockchain that NASDAQ is using. If you want to find out more about how the blockchain works have a look at I think that there's misunderstanding of what "private blockchain" means. If the blockchain would be totally private - like belongs to a few parties that totally trust each other - then it will defeat the whole added value of blockchain as a "trust machine". Such organization would be better of with adopting some existing database to serve as a ledger - like Oracle SQL where only trusted parties get read/write access. Private blockchain - is one where there are some parties - that somewhat trust each other, but not entirely. Like companies that compete with each other in some things, but want collaborate in other. Such companies can decide to expose the blockchain to everybody, but restrict those who can be miners. Or they just can decide that block considered to be "confirmed" whenever n out of m participants sign the blo Continue reading >>

Ibm Working On 'permissioned But Public' Blockchain Networks | Newsbtc

Ibm Working On 'permissioned But Public' Blockchain Networks | Newsbtc

IBM Working on Permissioned But Public Blockchain Networks Ricardo Esteves | April 4, 2018 | 1:30 pm International Business Machines Corporation, aka IBM, is developing permissioned but public blockchain networks in response to high demand for digital asset issuance, according to Jesse Lund, the newly appointed head of blockchain technology. IBM To Converge Public and Private Blockchains IBM has been heavily invested in the blockchain space for some time now as it offers a commercial platform for companies and developers wanting to experiment and work with the technology. The technology giant believes blockchain can disrupt governance and business, supply chain, healthcare, and many more industries. IBM is working inover 400 distributed ledger projects. While the company firmly advocates for blockchain, the technology is still maturing andmany are still figuring outhow to approach it in the way it gets mainstream adoption.This volatile and unregulated asset class has raised many doubts with security flaws, scams, and hacks , still prospering to this day. Blockchain as a technologyisgetting very positive feedback from experts and capital markets, despite some concerns regarding the energy consumption. Cryptocurrency as currency, is not as consensual. IBM may be exploring a middle ground, where cryptocurrencies can really change the financial paradigm as we know it. Jesse Lund, the new Head of Blockchain Development at IBM, has said in an interview that the company isseeing tons of demand for digital asset issuance across the board and this has caused the emergence of a new segment that could actually be one of the biggest segments, that is a permissioned but public blockchain network typology. The demand comes from executives from commodities trading platforms, central Continue reading >>

The Difference Between A Private, Public & Consortium Blockchain.

The Difference Between A Private, Public & Consortium Blockchain.

The difference between a Private, Public & Consortium Blockchain. Blockchain Marketplace : Multiven expose son projet au coeur de la Crypto Valley The difference between a Private, Public & Consortium Blockchain Intrepid ReviewAs financial institutions begin to explore the possibilities of blockchain technology, they are coming up with systems that complement their existing business models. A private or a consortium blockchain platform, as opposed to the public platform that Bitcoin uses, will allow them to retain control and privacy while still cutting down their costs and transaction speeds. In fact, this private system will have lower costs and faster speeds than a public blockchain platform can offer. Blockchain purists arent impressed. A private platform effectively kills their favorite part of this nascent technology: decentralization. They see the advent of private blockchain systems as little more than a sneaky attempt by big banks to retain their control of financial markets. Though the evil plot narrative is a bit much. If big banks can utilize a form of blockchain technology that revolutionizes finance, and if they are willing and able to pass these benefits onto their customers, then it is hardly an evil plot. the idea that there is one true way to be blockchaining is completely wrong headed, and both categories have their own advantages and disadvantages.[1] Lets take a deeper look at what these might be. A Blockchain was designed to securely cut out the middleman in any exchange of asset scenario. It does this by setting up a block of peer-to-peer transactions. Each transaction is verified and synced with every node affiliated with the blockchain before it is written to the system. Until this has occurred, the next transaction cannot move forward. Anyone Continue reading >>

What Is The Difference Between Public And Permissioned Blockchains?

What Is The Difference Between Public And Permissioned Blockchains?

Join 4,500+ attendees at Consensus 2018. Register Now! What is the Difference Between Public and Permissioned Blockchains? In our guide "How Does Blockchain Technology Work?" ,we introduced a description of the three technologies that make up blockchain technology:cryptographic keys, a distributed network and a network servicing protocol. Bitcoin is the most ambitious kind of blockchain. Anyone can use bitcoin's cryptographic keys, anyone can be a node and join the network, and anyone can become a miner toservice the network and seek a reward. Miners can walk away from being a node, return if and when they feel like it, and get a full account of all network activity since they left. Basically, anyone can read the chain, anyone can make legitimate changes and anyone can write a new block into the chain (as long as they follow the rules). Bitcoin is totally decentralized. It is also described as a 'censor-proof' blockchain. For these reasons, it's known by its widest description, a public blockchain. But, this is not the only way to build a blockchain. Blockchains can be built that require permission to read the information on the blockchain, that limit the parties who can transact on the blockchain and that set who can serve the network by writing new blocks into the chain. For example, Ripple runs a permissioned blockchain. The startup determines who may act as transaction validator on their network, and it has included CGI, MIT and Microsoft as transaction validators, while also building its own nodes in different locations around the world. A blockchain developer may choose to make the system of record available for everyone to read, but they may not wish to allow anyone to be a node, serving the network's security, transaction verification or mining. It's a mix-and- Continue reading >>

Bitcoin Block Explorer - Blockchain

Bitcoin Block Explorer - Blockchain

Like paper money and gold before it, bitcoin and ether allow parties to exchange value. Unlike their predecessors, they are digital and decentralized. For the first time in history, people can exchange value without intermediaries which translates to greater control of funds and lower fees. Search You may enter a block height, address, block hash, transaction hash, hash160, or ipv4 address... Continue reading >>

Private Or Public Blockchain - What's Right For You? | Draglet.com

Private Or Public Blockchain - What's Right For You? | Draglet.com

Public, Private and Consortium Blockchains A consortium blockchain ispart public,part private. This split works at the level of the consensus process: on a consortium chain, a pre-selected group of nodes control the consensus process, but other nodes may be allowed to participate in creating new transactions and/or reviewing it. The specific configuration of each consortium chain (i.e., which nodes have the power to authorize transactions via the consensus process, which can review the history of the chain, which can create new transactions, and more) is the decision of each individual consortium. Public, Private and Consortium Blockchains: Whats Right For You? When blockchain technology was introduced to the public in 2008 ( via Satoshi Nakamotos famouswhite paper ), it would have been hard to predict that private or consortium blockchains would become popular. But recently, theres been a lot of buzz about this in the digital currency community. Many companies are beginning to experiment with blockchain by implementing private and consortium chains, although some people are critical of this. This discussion not only centers on use cases and benefits, but whether non-public blockchains are an appropriate application of the protocol to begin with. In order to understand this debate, lets take a look at the differences between public, private and consortium blockchains. Learning about what makes each unique is important for decoding the hype and it can also help you decide which of these three might be best for you Public Blockchain This is the model of Bitcoin, Ethereum and Litecoin, and could be thought of as the original distributed ledger structure. For a number of reasons, it is still considered by many to be the prototype for all blockchains, although it is not wit Continue reading >>

Blockchain - Wikipedia

Blockchain - Wikipedia

For other uses, see Block chain (disambiguation) . Blockchain formation. The main chain (black) consists of the longest series of blocks from the genesis block (green) to the current block. Orphan blocks (purple) exist outside of the main chain. A blockchain [1] [2] [3] originally block chain [4] [5] is a continuously growing list of records , called blocks, which are linked and secured using cryptography . [1] [6] Each block typically contains a hash pointer as a link to a previous block, [6] a timestamp and transaction data. [7] By design, blockchains are inherently resistant to modification of the data. Harvard Business Review defines it as "an open, distributed ledger that can record transactions between two parties efficiently and in a verifiable and permanent way." [8] For use as a distributed ledger, a blockchain is typically managed by a peer-to-peer network collectively adhering to a protocol for validating new blocks. Once recorded, the data in any given block cannot be altered retroactively without the alteration of all subsequent blocks, which requires collusion of the network majority. Blockchains are secure by design and are an example of a distributed computing system with high Byzantine fault tolerance . Decentralized consensus has therefore been achieved with a blockchain. [9] This makes blockchains potentially suitable for the recording of events, medical records, [10] [11] and other records management activities, such as identity management , [12] [13] [14] transaction processing , documenting provenance , or food traceability . [15] The first blockchain was conceptualised in 2008 by an anonymous person or group known as Satoshi Nakamoto and implemented in 2009 as a core component of bitcoin where it serves as the public ledger for all transactions. Continue reading >>

Major Difference Between Private & Public Blockchain

Major Difference Between Private & Public Blockchain

What are the difference between Private & Public Blockchain? Private and Public Blockchain occurs when the financial enterprises start to explore the various blocks of the Blockchain technology. These two Blockchainsare coming up with business oriented models as to obtain the difference between the two. The private blockchain generates at a lower cost and faster speed than the public blockchain. In the previous years, the blockchain has grown to become an interesting subject globally. It is becoming an integrated part in the financial sectors all over the digital world. What are-the-difference-between-private-and-public-blockchain This is difference between Private and public blockchain. The main differences between the blockchains are whether its private or public blockchains. This is a point in blockchain industry as many spectators are arguing that private blockchains are not blockchains at all and that the very nature of blockchainschange because they diminish the third party to show the effect of transactions. The blockchainslike Ethereum and Bitcoin are blockchains which are easy to access for anyone. The main factor of a public blockchain is that no one controls the information which is on the blockchain or the laws of the blockchain. No member can the change the protocols of the blockchain according to the users and the information contained on the blockchain. Therefore the users of a public blockchain can put their complete trust in a third party in order to use the blockchain and any users of the public blockchain can trust the blockchain. The private blockchains are blockchains which are operated by an organization.This is only accessible to individuals who has been granted the permission to use the blockchain by its proof. Private blockchains are databases Continue reading >>

On Public And Private Blockchains

On Public And Private Blockchains

Over the last year the concept of private blockchains has become very popular in the broader blockchain technology discussion. Essentially, instead of having a fully public and uncontrolled network and state machine secured by cryptoeconomics (eg. proof of work, proof of stake), it is also possible to create a system where access permissions are more tightly controlled, with rights to modify or even read the blockchain state restricted to a few users, while still maintaining many kinds of partial guarantees of authenticity and decentralization that blockchains provide. Such systems have been a primary focus of interest from financial institutions, and have in part led to a backlash from those who see such developments as either compromising the whole point of decentralization or being a desperate act of dinosaurish middlemen trying to stay relevant (or simply committing the crime of using a blockchain other than Bitcoin ). However, for those who are in this fight simply because they want to figure out how to best serve humanity, or even pursue the more modest goal of serving their customers, what are the practical differences between the two styles? First, what exactly are the options at hand? To summarize, there are generally three categories of blockchain-like database applications: Public blockchains: a public blockchain is a blockchain that anyone in the world can read, anyone in the world can send transactions to and expect to see them included if they are valid, and anyone in the world can participate in the consensus process the process for determining what blocks get added to the chain and what the current state is. As a substitute for centralized or quasi-centralized trust, public blockchains are secured by cryptoeconomics the combination of economic incentive Continue reading >>

Private Blockchain Vs Public Blockchain

Private Blockchain Vs Public Blockchain

You cannot be a crypto investor or entrepreneur without having a real understanding of the differences between these types of blockchains as well as their implications. Even if they are based on similar principles, their operation is, in fact, different to all levels. So the tokens issued by these blockchains will not be assessed in the same manner. A blockchain is so-called public (or open) when anyone can become a member of the network without conditions of admission. In other words, anyone wishing to use the service proposed by the network can download the protocol locally without having to reveal his or her identity or meet predetermined criteria. A protocol is a computer program that could be compared to a Charter in that it defines the rules of operation of a network based on a blockchain. For example, the members of the bitcoin network download the Bitcoin protocol (through the intermediary of their wallet) to be able to join the network and exchange bitcoins, but the only condition is to have an Internet connection. It is different with a private blockchain (or closed) since the members of the network are selected before being able to download the protocol and therefore use the proposed service by the network. The mining capabilities and the system of consensus as a whole are centralized within the hands of the same entity. A network based on a private blockchain is therefore not decentralized in itself. Finally, consortium blockchains provide many of the benefits of private blockchains without focus the mechanism of the consensus between the hands of the same entity. In this article, we will mostly focus on the diffrence between public and private blockchain. The differences between these types of blockchains are based on the levels of trust existing among the Continue reading >>

Public Vs Private: The Great Blockchain Debate

Public Vs Private: The Great Blockchain Debate

Public Vs Private: The Great Blockchain Debate Both public and privateblockchainshave their roles to play to serve the underserved. Anson Zeall The blockchain is the greatest technological innovation of our time. It contributed to the massive wave of change and disruption in the financial industry. While blockchain has almost reached the mainstream in terms of recognition, acceptance of the system is still hindered by arguments of how it is best applied. If you still need to know the basics of blockchain, here is a simplified introduction to the concept and system: . Here is also a quick read on blockchains: . The debate between public and private blockchains has been ongoing for some time. Both sides support differing and equally valid opinions. The earlier personas of these two camps are as follows; The fans of public blockchains tend to have more liberal ideals, and are market driven capitalists. The earlier Bitcoin investors are the best examples of public blockchain supporters. Earlier Supporters of Private Blockchains The ones that support the private blockchains tend to be the ones who support the incumbents where a consortium is formed in order to form a rather exclusive network. R3 is a good example of this. As the ecosystem grows, the public blockchain camp starts to see the need for private blockchain in some instances and vice versa. The consensus public blockchain camp argued that volatility will dissipate once there is more volume. I disagreed from the beginning as the premise was already incorrect. The stock market has been in existence for over 300 years since the days of the tulip mania. Crisis happens over and over again, yet the volatility does not dissipate with size. With the same deductions, this is the same for public blockchains. We cannot expec Continue reading >>

The Difference Between Public And Private Blockchain

The Difference Between Public And Private Blockchain

Blockchain Unleashed: IBM Blockchain Blog The difference between public and private blockchain May 31, 2017 | Written by: Praveen Jayachandran Categorized: Blockchain Developers | Blockchain Explained | Blockchain Identity There are a number of explanations on what blockchain is and what exactly is the difference between Bitcoin and blockchain , but another area where I get many questions, is the difference between public and private blockchain. The similarities of public and private blockchain Many flavors of blockchain have evolved over the years and the terminology is often misconstrued. This is easy to do because public and private blockchain have many similarities: Both are decentralized peer-to-peer networks, where each participant maintains a replica of a shared append-only ledger of digitally signed transactions. Both maintain the replicas in sync through a protocol referred to as consensus. Both provide certain guarantees on the immutability of the ledger, even when some participants are faulty or malicious. The sole distinction between public and private blockchain is related to who is allowed to participate in the network, execute the consensus protocol and maintain the shared ledger. A public blockchain network is completely open and anyone can join and participate in the network. The network typically has an incentivizing mechanism to encourage more participants to join the network. Bitcoin is one of the largest public blockchain networks in production today. One of the drawbacks of a public blockchain is the substantial amount of computational power that is necessary to maintain a distributed ledger at a large scale. More specifically, to achieve consensus, each node in a network must solve a complex, resource-intensive cryptographic problem called a proo Continue reading >>

Types Of Blockchains

Types Of Blockchains

Blockchains & Distributed Ledger Technologies The Bitcoin White Paper was published by Satoshi Nakamoto in 2008; the first Bitcoin block got mined in 2009. Since the Bitcoin protocol is open source, anyone could take the protocol, fork it (modify the code), and start their own version of P2P money. Many so-called altcoins emerged and tried to be a better, faster or more anonymous than Bitcoin. Soon the code was not only altered to create better cryptocurrencies, but some projects also tried to alter the idea ofblockchain beyond the use case of P2P money. The idea emerged that the Bitcoin blockchain could be in fact used for any kind of value transaction or any kind of agreement such as P2P insurance, P2P energy trading, P2P ride sharing, etc. Colored Coins and Mastercoin tried to solvethat problem based on the Bitcoin Blockchain Protocol. TheEthereum project decided to create their own blockchain, with very different properties than Bitcoin, decoupling the smart contract layer from the core blockchain protocol, offering a radical new way to create online markets and programmable transactions known as Smart Contracts . Private institutions like banks realized that they could use the core idea of blockchain as a distributed ledger technology (DLT), and create a permissionedblockchain (privateor federated), where the validator is a member of aconsortium or separate legal entities of the same organization. The term blockchain in the context of permissioned privateledger is highly controversial and disputed. This is why the term distributed ledger technologies emerged as a more general term. Private blockchains are valuable for solving efficiency, security and fraud problems within traditional financial institutions, but only incrementally. Its not very likely that private Continue reading >>

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