If I say blockchain, you may think about Bitcoin. Although the two are very connected, they are actually two different things.

Blockchain is very useful for many things besides crypto-currency transactions.

For example, it is useful to create secure online identities, to have cheaper cloud spaces, and above all to eliminate intermediaries in financial transactions. Nice savings.

Despite being a technology that has already existed for about ten years, there are still many doubts and false beliefs about the blockchain.

Now I’ll explain in detail what it is. Many people are still not clear about what it is.

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The blockchain was created in 2008 together with Bitcoin. It was a kind of transaction log. The safest transaction log ever. This is undoubtedly its main feature.

It is a new technology, but it is not a cryptocurrency. At the most, we can say that it is essential for the existence of cryptocurrencies.

So what is it?

“The blockchain is simply a particular type of database.”

Unlike traditional databases, this is done with a chained series of blocks. This is where the name comes from.

Transactions are recorded in these blocks and are validated through a consensus mechanism. This mechanism is also very important, soon you will understand why.

I am an almost millionaire Italian entrepreneur. When I understood what blockchain really is, I thought it could also make my company more secure.

But here are all the features that will make it essential in our future:

It is a decentralized system; it is managed by a set of computers.

This means that the verification and authorization of the data take place without a central authority.

Here is the difference between the banks. Whenever you move money from your checking account to make a payment or buy a financial product, it is controlled and managed by the bank.

Today we are facing a revolution in this regard, but there are characteristics that also concern other uses. The use mentioned above is almost exclusive to electronic coins.

These other strengths affect other sectors, which I will tell you about later.

– It is super safe. Hacker proof.

The data is encrypted. It means that from a readable format they are converted into an encoded format that can be read or processed only after it has been decrypted.

“This system ensures that data cannot be intercepted and cannot be hacked.”

In addition, it avoids any attempt at corruption because the data are not entered by man.

Another key feature is:

– The presence of a timestamp effectively makes the data non-mutable without a report being drawn that shows what the change was.

– This mechanism allows you to check the blockchain if there have been fraudulent changes and tampering.

To sum it up:

Every movement of money has the approval of a blockchain calculation and not from a bank.

Every computer data that passes through the blockchain is very secure because it is encrypted.

Everything that passes by the blockchain is tracked, even if it is changed.

They seem like obvious features but in reality, they are a revolution in the world of the internet. Considering that today many things happen electronically.

It is stronger than conventional technology in terms of security, cyber defense, reliability, and scalability.

Private companies have already realized this.