There’s nothing wrong with not being able to fully understand blockchain yet. It’s pretty new technology in the scheme of things.

Many people have heard about the security benefits of the technology, but what is it that is actually making it more secure? Why are so many industries now choosing to use this tech to futureproof operations?

We’re trying to demystify some of the blockchain technologies out there and explain a bit more about how they work. You don’t have to be a computing major to understand the benefits and roughly how this tech is making such an impact.

How Different Industries Benefit from Blockchain Security

This is not a buzzword. It’s not a technology people are using just to look like they’re ahead of the game. Businesses and organizations from all sorts of industries are turning to blockchain because of its security advantages.

Healthcare providers use blockchain to keep patient data private and organised. Supply chain companies use it to ensure products are genuine. It helps them track everything from medicines to food items easily. Financial institutions have also embraced blockchain to speed up and protect their transactions.

Adopting blockchain for security has already been seen widely in online gambling. Casinos and betting sites have always needed robust systems to handle finances and protect user data. Blockchain solves many of these problems.

Crypto casinos allow players to deposit and withdraw using cryptocurrencies, eliminating third-party payment processors. Transactions are recorded publicly on the blockchain ledger. The payments become transparent and verifiable, making sure everything stays fair and honest.

Trust is another huge part of things. Blockchain-based casinos offer proof of fairness through publicly viewable records and Provably Fair technology. Because nobody can alter past records on the blockchain, the players know the results are genuine. Companies are pushing for Web 3.0 integrated technologies and are innovating in ways to make this intuitive. PeerGame Casino is built to integrate within a decentralized internet – the idea being to bring power and transparency to consumers (plus the security we’ve discussed).

Results that are provably fair are something more consumers are starting to expect. The trend is only likely to go one way in the future of gaming…

Decentralization Means No Single Point of Failure

DeFi has become one of the terms that people throw around in conjunction with blockchain. One of the main reasons blockchain is secure is its decentralized nature. Traditional databases are typically controlled by a single organisation or authority. This means if that organisation has a security problem, the whole system can be affected. But blockchain doesn’t work like that.

Instead of one organisation controlling the database, blockchain relies on a network of many computers worldwide. These computers are seen as nodes and work together to validate and store transactions. The blockchain network is spread out – it doesn’t have a single weak point. If one node goes down, others simply step in.

Security is always top of the agenda. This structure makes it much harder for the system to be disrupted or attacked. It is reliable in a way that centralized systems really can’t be. Even the wallets in cryptocurrency are designed to have more security and provide a way to keep people safer.

Cryptography – The Secret Codes That Protect Blockchain

This is where things could get complex. The term “crypto” has its origin in cryptography. The technology is another reason that things are more secure. Cryptography is basically the use of complicated maths to create special codes. These codes keep the data private and safe from unauthorized access.

We’ve not gone into huge detail on the complexities of cryptography, but it is interesting reading (for those with technical brains).

Blockchain technology uses cryptographic hashes. A hash takes information and turns it into a fixed-size code that’s unique. Even a tiny change to the original data would create a completely different hash. Every block in the blockchain has its own hash added to the hash of the previous block. This way, every block is connected securely. They’re links in a chain. Hence the name.

This structure makes blockchain tamper-proof. If someone tried to change data in one block, the hash would change completely. This would immediately alert the rest of the network that something isn’t right. The other nodes would refuse to accept the tampered block. That means it’s nearly impossible to secretly alter or delete data once it’s recorded.

Transparency – Everything in the Open

Transparency is another superstrength of blockchain. Every transaction on the blockchain is recorded publicly. Everyone can see exactly what happened and when (at least in terms of transactions).

In blockchain-based supply chains, every step of a product’s journey is recorded openly. This visibility means companies can track their products easily. It also makes it very hard for anyone to hide mistakes or dishonesty. People know they can rely on the information because it’s visible to everyone involved – if a coffee is recorded as being a high-quality single origin, then people will be able to trust this to be true!

Thanks PeerGame Casino for sponsoring this article.