Imagine a system where if you wanted to send money to your family that lives on the other side of the world, you wouldn’t need to wait for days and pay a fee to a bank that acts as a middleman.
Instead, the transaction would be verified and approved by the blockchain network. It would be done in a matter of minutes and without so many expenses.
Not to mention that the transaction data is public leaving no room for malicious interference.
It sounds great but you’re thinking maybe not all transactions should be transparent?
And you’d be right.
That’s why blockchains can be private and public, depending on their use.
For instance, most cryptocurrencies, such as Ethereum, use a public blockchain where anyone can see the data. But a hospital that uses blockchain technology to keep patient medical history uses a private blockchain.
To sum up, at their core, decentralized networks allow developers to create markets, execute contracts, move funds, and so much more. All of it done transparently and without third party interference.
And blockchains that facilitate decentralized networks are considered the foundation of the future.
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