The blockchain technology can transform many sectors of industry and economy, enabling you to quickly transfer data (do the transaction) so that if necessary you can check and track.

At its core, the blockchain is a distributed registry that records information about each transaction in the chain is immutable. Normally the blockchain as a technology, although there are two main types: public and private (private).

The most famous public blackany are used in the field of cryptocurrency. For example, the bitcoin blockchain can be used to perform bitcoin transactions, and it is completely transparent.

This type of platform is not suitable for organizations that deal with sensitive information, such as commercial contracts or personal data of individuals.

Private organizations prefer to join a private blockchain, which allows “invited and allowed” users to conduct transactions so that no information about this was not open and could not accidentally get into the hands of third parties.

Private blackany provide different permission levels for users, and so access may be restricted and the information can also be encrypted with different degrees of difficulty in order to protect confidentiality.

The blockchain technology can be adapted to user needs.

So what’s the difference between private and public bloccano?

The blockchain can be applied in many fields — from accounting to agriculture. In fact, it is a distributed registry (log), which records transactions between users.

There are different types of blockchains. Some of them are open and public, some are private, available only to people that have the permission to use them.

The public blockchain is an open network. Anyone can upload it Protocol, to read, to write him a Supplement and to participate.

The public blockchain is distributed and decentralized. Transactions are recorded in the form of blocks and are connected to each other so that they form a chain. Each new block has a timestamp, and it checks host computers (nodes) to be written to the blockchain.

All transactions are public, and all nodes are equal. Data in the public blockchain unchanged: they cannot be changed after the blocks tested.

The most well-known public blockchain built openarena the cryptocurrency bitcoin. Another outstanding example is Ethereum, which allows you to create and run smart contracts.

Private blockchain is a network operated by one organization and in its work it is possible to participate only at the invitation of such organizations and appropriate her permission.

The participants the network should have permission to read, write, or check the blockchain. There are different levels of access to a private blockchain, and the information must be encrypted to protect privacy.

Private blackany allow organizations (companies) to use the technology of the distributed registry, while eliminating the possibility of leak or release.

However, this means that private blockchains are missing an important feature — decentralization. Some critics believe that private blackany is not blackany, and centralized databases which just use a distributed registry.

Private blackany faster, more efficient and more economical than the public, which require a lot of time and electricity to verify transactions.

How safe blackany?

In the private blockchain is controlled by the user access information, but it is less secure than public.

The public blockchain is completely transparent registry. Because it is decentralized, the information in it is encrypted and stored on multiple devices. This makes it impossible to hack. The more participants from the public blockchain, so it is more secure.

Public blackany often called free from censorship, and they are particularly resistant to DDoS attacks.

The data in the private blockchain, in turn, can be modified by its owner, and it is more vulnerable to hacking.

While the blockchain is a fairly new technology, but it has the potential to bring significant changes for the better in the world of Finance and business.

According to the materials of InTheBlack