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How Blockchain is Secure?



Fulminous Software
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A blockchain is a series of blocks that records data in hash functions with timestamps so that the data cannot be changed or tampered with. As data cannot be overwritten, data manipulation is extremely impractical, thus securing data and eliminating centralized points that cybercriminals often target. Furthermore, private analysts say that the Pentagon believes the Blockchain Technology could be used as a Cybersecurity shield. In an article by The Washington Times, analysts deem that using blockchain, the technological backbone of bitcoin, could dramatically improve security across the U.S. military, preventing mega hacks, tampering, and cyber-hijackings of vehicles, aircraft, or satellites. According to Dan Boylan of The Washington Times, the key to blockchain's security is that any changes made to the database are immediately sent to all users to create a secure, established record. With copies of the data in all users' hands, the overall database remains safe even if some users are hacked. This tamper-proof, decentralized feature has made blockchain increasingly popular beyond its original function supporting bitcoin digital transactions. Many cutting-edge finance firms, for instance, have used blockchain to expedite processes and cut costs without compromising security. Though blockchain has several advantages over other systems, there are still a few challenges in terms of compliance, regulations, and enforcement that will need to be addressed. For example, regulatory issues demand clarity over jurisdictions and how to comply with KYC (Know Your Customer) and AML (Anti-Money Laundering) laws. But progressively increasing demand and acceptance by corporations would help overcome these challenges sooner than predicted.