The real value of blockchain

[adamcro]

I’m trying to figure out the REAL value of blockchain. For example creating social network on BC is totally useless, BC for cryptocurrency is the REAL value

Can someone explain what’s the real value, why would I build something on BC except for “decentralization”. If I can build something with other technology why would I use BC.

What is it that I can do ONLY with BC and cannot be created with any other tech?

Please help me see the value in BC because I still don’t see it

[btc_angela]

If you are talking about monetary value here, it's really hard to quantify it. But according to this article, they can save $50 billion per year in Logistics Industry. Another good example is in Land Registry services, we all know that around the globe, there are a lot of disputes in land specially in third world countries. Blockchain can help when all the records are transparent and permanent and it's going to be difficult to tamper the data itself.

But blockchain technology is not for everyone, specially if you are thinking of applying it on a small to mid-tier data sets. A good centralised database or relational database management system will be suffice enough, in my opinion.

[adamcro]

So blockchain is used for anti-corruption systems? Something that needs to be done so nobody can’t be bribed. Hmm actually that can’t be the case because systems are made on purpose to be altered

[shield132]

I’m trying to figure out the REAL value of blockchain. For example creating social network on BC is totally useless, BC for cryptocurrency is the REAL value

Can someone explain what’s the real value, why would I build something on BC except for “decentralization”. If I can build something with other technology why would I use BC.

Please help me see the value in BC because I still don’t see it

The problem is that the things around blockchain technologies are very dramatized because of commercial purposes. A lot of business attracts a lot of people by just using this word and it looks like blockchain is all in one magic thing, while in reality, it's not like that.

Blockchain is a decentralized system that is used to record transactions across many computers. It's secured from Cyber attacks and equipment destroy because stored data is available worldwide on a lot of computers and isn't stored on a single one. All computers automatically block any attempt that is directed to manipulation with data.

So where can Blockchain Technologies be valuable?
I'll give you one example and that's a land registry, that I'll explain:
The benefits of implementing of blockchain technologies in land title registry are record reliability and a boost of security. BC technologies make registry transactions more accessible, more transparent and much more secure. It's impossible to delete, edit or manipulate with data that's stored on Blockchain. The authenticity of records is verified by the identical hashes available on Blockchain and on a website of land registry (hash is a combination of symbols that are unique for each document).

[BrewMaster]

the blockchain on its own has no value at all specially when there are centralized blockchains. the technology is created to be used decentralized.
so far i have not seen any usage other than using the blockchain for creation of a currency and for that only bitcoin has been successful and maybe coins like monero that have focused on anonymity. and the real value in that case can be easily seen in the way bitcoin works.
there has been a lot of attempts, like what you said about social media, but they have either failed badly or ended up being centralized which is another type of failing.

[adamcro]

Ok so basically blockchain is used only for cryptocurrency and that’s it. For anything else it’s useless because everything else can be created with existing tech

[Velkro]

What is it that I can do ONLY with BC and cannot be created with any other tech?

Bitcoin and voting system. Can't get more real use cases for now.
Since there is no real application of blockchain other than Bitcoin for now then blockchain = Bitcoin.

Value is often how much people want to pay, how they feel its worth.

[lassdas]

Ok so basically blockchain is used only for cryptocurrency and that’s it. For anything else it’s useless because everything else can be created with existing tech

While it's true that it's actually used only for cryptocurrency, that doesn't mean it's useless for anything else.

Take the very first altcoin for example: Namecoin
which can be used as a decentralized, censorship resistant DNS alternative.
Pretty amazing if you ask me and can't be done without the blockchain.

[rexxarofmoknathal]

The blockchain technology is so valuable because it posses the ability to disrupt essentially everything we know about from supply chains to financial sectors, changing the voting systems and everything else in between. Blockchain can be so disruptive that many institutions and organisations have started researching into the filed for fear of not losing out once it will emerge as the global successor after the discovery of the internet.

[Yatsan]

@Brewmaster is right, the blockchain itself does not have its value. What gives the value is on how are you going to apply the blockchain, we have different fields to look onto simply because blockchain is a helpful technology as it records data that cannot be altered retroactively, in short term, it is immutable which might be the best solution to our very old problem, Corruption. I think the blockchain was really made for cryptocurrency to offer the anonymity of a user in dealing with transaction. On top of these things is the security given the decentralization, its algorithm is so secured that hacking it would be impossible that's why I believe that blockchain is the revolutionary technology.

[BrewMaster]

Ok so basically blockchain is used only for cryptocurrency and that’s it. For anything else it’s useless because everything else can be created with existing tech

i wouldn't say it is absolutely useless for anything else. but at the same time i can make this conclusion based on my observation. as i said i have not seen it be used for anything else successfully.

Take the very first altcoin for example: Namecoin
which can be used as a decentralized, censorship resistant DNS alternative.

that's the problem, "can be used" is very different from "is being used". for example could you show me a place where Namecoin is really being used as a DNS alternative in real world?

[tomahawk9]

For anything else it’s useless because everything else can be created with existing tech

Really? That's your conclusion?  Let me give you a couple of examples of what a blockchain can do outside of the cryptosphere:

- UEFA wants to use a blockchain: https://coingeek.com/uefa-announce-blockchain-based-mobile-ticketing-system-for-euro-2020/

- Tesla and Costco want to use blockchain: https://cointelegraph.com/news/cargosmart-tesla-and-cosco-to-pilot-blockchain-tech-in-cargo-release-process

- JP Morgan approves blockchain: https://www.bloomberg.com/news/articles/2020-02-21/jpmorgan-says-blockchain-is-laying-foundation-for-digital-money

Major companies around the world keep talking about blockchain, so you can hardly call it "useless".

[lassdas]

Take the very first altcoin for example: Namecoin
which can be used as a decentralized, censorship resistant DNS alternative.

that's the problem, "can be used" is very different from "is being used". for example could you show me a place where Namecoin is really being used as a DNS alternative in real world?

I'm well aware of the fact, that Namecoin isn't really used by anyone,
that's why I wrote "can be used".  

Doesn't change anything though, I still think it's pretty amazing and one of the few altcoins (if not the only one) I really like, maybe because it's not about money.

It's up to the people to use it, or not and so far, they decided not to.

[seoincorporation]

I’m trying to figure out the REAL value of blockchain. For example creating social network on BC is totally useless, BC for cryptocurrency is the REAL value

Social networks with blockchain aren't useless, we have the example of steem, they made a social network and a video platform where the users get coins as a reward for their contributions.

Can someone explain what’s the real value, why would I build something on BC except for “decentralization”. If I can build something with other technology why would I use BC.

The real value of blockchain is the technology behind it, is like if you ask yourself what's the real value of SQL, the value comes with the implementation it adopts. And not all the Blockchain projects are decentralized.

What is it that I can do ONLY with BC and cannot be created with any other tech?

Decentralized coins.

Please help me see the value in BC because I still don’t see it

This one is easy... got to https://coinmarketcap.com/ and sum all the Market Cap...there you will see the value of $200 Billions. Now you can se it 

[webtricks]

Ok so basically blockchain is used only for cryptocurrency and that’s it. For anything else it’s useless because everything else can be created with existing tech

You can create cryptocurrencies without using blockchain technology too. Same applies to everything else. What is blockchain? In simple words, a method of maintaining database where data is stored in blocks and hash of each block links to the next block, that's it! You can adopt this principle and apply blockchain for maintaining database for any project. It will neither make your website decentralized, nor tamper-proof unless you take care other stuffs as well.

When I talk about other stuffs, it includes the methodology of creating new blocks, place of keeping database and difficulty of tampering database.

Methodology of creating new blocks : If new blocks are added to blockchain on sole discretion of creator then your blockchain is not decentralized and adding no value. You can simply go forward and design your project with simpler database structure. If, there is some protocol of adding new blocks like in case of Bitcoin we have the protocol of adding new block when someone finds a hash whose value is less than the target difficulty, only then your blockchain is decentralized and adding value.

Place of keeping database : Next important thing is that where are you keeping the records of all blocks. Are these kept on single device or spread across number of devices where each device is keeping the copy of blockchain. If the storage is centralized then your blockchain can't be said decentralized and adding no value. On the other hand, if anyone can maintain the copy of database on his system then it would be difficult to temper data across all devices making your blockchain valuable.

Difficulty of tampering database : This is most important point. If you can manipulate the data that is stored in blockchain and re-write whole blockchain easily, then your blockchain is not decentralized and adding no value. The value of blockchain depends upon how difficult and costly is to manipulate the data in any block and re-hash the blocks above that. In case of Bitcoin, even manipulating one block less than the current height and mining two blocks above that to make that the longest valid chain is very very difficult which makes bitcoin decentralized up to great extent.


So here is your answer. You can use blockchain technology in any stuff you want no matter if it's cryptocurrency or a social media site. But if your blockchain is not fulfilling these three points then it's better you adopt simpler structure of database maintenance. On the other side, if your blockchain fulfills these three points then you can surely create any project no matter if its social media site or any kind of other utility.

[Assface16678]

There is a lot of benefits of using the blockchain and many people today are using this because it is trusted and encrypted which is the users favor also the transactions are transparent so both transactions of the users are good because it is easier to identify if the transaction is getting confirmation and process.
Many people would like to innovated and adopt this kind of activity because it is more secure about their information also it avoids getting too many expenses like the storage because some of the business today is with the use of file cabinet system which is already old and we are aiming to have a good storage of all of the information we need.

Ok so basically blockchain is used only for cryptocurrency and that’s it. For anything else it’s useless because everything else can be created with existing tech

You can create cryptocurrencies without using blockchain technology too. Same applies to everything else. What is blockchain? In simple words, a method of maintaining database where data is stored in blocks and hash of each block links to the next block, that's it! You can adopt this principle and apply blockchain for maintaining database for any project. It will neither make your website decentralized, nor tamper-proof unless you take care other stuffs as well.

When I talk about other stuffs, it includes the methodology of creating new blocks, place of keeping database and difficulty of tampering database.

Methodology of creating new blocks : If new blocks are added to blockchain on sole discretion of creator then your blockchain is not decentralized and adding no value. You can simply go forward and design your project with simpler database structure. If, there is some protocol of adding new blocks like in case of Bitcoin we have the protocol of adding new block when someone finds a hash whose value is less than the target difficulty, only then your blockchain is decentralized and adding value.

Place of keeping database : Next important thing is that where are you keeping the records of all blocks. Are these kept on single device or spread across number of devices where each device is keeping the copy of blockchain. If the storage is centralized then your blockchain can't be said decentralized and adding no value. On the other hand, if anyone can maintain the copy of database on his system then it would be difficult to temper data across all devices making your blockchain valuable.

Difficulty of tampering database : This is most important point. If you can manipulate the data that is stored in blockchain and re-write whole blockchain easily, then your blockchain is not decentralized and adding no value. The value of blockchain depends upon how difficult and costly is to manipulate the data in any block and re-hash the blocks above that. In case of Bitcoin, even manipulating one block less than the current height and mining two blocks above that to make that the longest valid chain is very very difficult which makes bitcoin decentralized up to great extent.


So here is your answer. You can use blockchain technology in any stuff you want no matter if it's cryptocurrency or a social media site. But if your blockchain is not fulfilling these three points then it's better you adopt simpler structure of database maintenance. On the other side, if your blockchain fulfills these three points then you can surely create any project no matter if its social media site or any kind of other utility.

Today we are using the blockchain into the world of cryptocurrency because it is easier to use because of a high level of security also on every information of the blocks it can create a new duplicate of information is the blocks with another private key which is a good thing because we can now freely safe on this kind of cases.

Also one of the most popular kinds of databases today is the cloud because it is more on the internet even there is trouble happens there is a backup in the cloud internet server which we can recover immediately the file.

[cabron]

There are lots of things that can be built on top of blockchain and I guess we all have seen it with smart contracts already. There were projects which we store files on the blockchain particularly music file. One example is the Musicoin project.  Although the file sizes are very limited, there are teams developing a project in which we can store big dumps on the blockchain.

You just have to be creative, I believe we can do more with blockchain. I think there was already a technology for electing officials.

[fiulpro]

See blockchain is not limited by cryptocurrencies, blockchain as a whole is this incredible system which has its implications everywhere you can think of .

From taxes to online documentation, block chain is more secure than the network that we are using right now .

_________________________________________________________

Let us first explain what a blockchain is :
Let us assume that we have 3 blocks , 1, 2, 3. Every block in the chain would have certain things for example:-

Hash of the block
Hash of the previous block
Data

Now the good thing is , all of them are connected, since the new block shows the hash of the previous block , except the first block which is the genesis.

Each block does take time for the confirmation which is more like 10 minutes. You might wonder why this time is important ? This time is actually something that makes sure that no one with a super fast computer can temper with it .

Therefore time lag is really really important thus creating implications about the lightning network.

Now it is not centralized and is dependent on p2p network therefore not one person but a whole lot of them can verify it and if they found that someone tempered with it , can make sure everything is safe and sound.

Therefore this ensures the data is safe .
The transfer takes time but is more secure than what we are using right now .
_________________________________________________________

So wherever we need security+documentation , we can use it there.

[kryptqnick]

I’m trying to figure out the REAL value of blockchain. For example creating social network on BC is totally useless, BC for cryptocurrency is the REAL value

Can someone explain what’s the real value, why would I build something on BC except for “decentralization”. If I can build something with other technology why would I use BC.

What is it that I can do ONLY with BC and cannot be created with any other tech?

Please help me see the value in BC because I still don’t see it

I am not sure that what I'll say is unique to blockchain (check out DAG which is also used to make cryptos, for instance), but it is what it's famous for. Blockchain makes it impossible to fake data and to change the data which previously entered the database. A good use-case is provably fair gambling where one can check any bet and make sure it was truly random (that the system did not tamper with the data). The verification procedure also seems useful for ticketing and voting, but then again there are easier ways to organize that with a fairly high degree of precision. The best use-case of Blockchain is IMO cryptocurrencies because it's extremely important that the money is impossible to fake, and blockchain offers that.

[serjent05]

Blockchain is a decentralized system that is used to record transactions across many computers. It's secured from Cyber attacks and equipment destroy because stored data is available worldwide on a lot of computers and isn't stored on a single one. All computers automatically block any attempt that is directed to manipulation with data.

I don't think that Blockchain is only a decentralized system, as it was discussed that blockchain can be both a decentralized and centralized system depending on the way it was implemented.

A blockchain can be either centralized or decentralized. It is important, however, that decentralized not be confused with distributed. While a blockchain is inherently distributed (meaning that many parties hold copies of the ledger), it is not inherently decentralized.

So where can Blockchain Technologies be valuable?
I'll give you one example and that's a land registry, that I'll explain:
The benefits of implementing of blockchain technologies in land title registry are record reliability and a boost of security. BC technologies make registry transactions more accessible, more transparent and much more secure. It's impossible to delete, edit or manipulate with data that's stored on Blockchain. The authenticity of records is verified by the identical hashes available on Blockchain and on a website of land registry (hash is a combination of symbols that are unique for each document).

I think the blockchain can be manipulated or hacked. 

Here is one example:

This criticism is most easily addressed by pointing to the vulnerability of public blockchains themselves. Take, for example, the Ethereum blockchain, which suffered a devastating exploit in June 2016. Someone found a coding loophole in a smart contract called “The DAO”, in which almost $250 million had been invested, and began draining its funds at speed. While this clearly violated the intentions of the contract’s creators and investors, its terms and conditions relied on the mantra that “code is law”. Law or not, less than a month later, the Ethereum software was updated to prevent the hacker from withdrawing the cryptocurrency “earned”.

So blockchain is used for anti-corruption systems? Something that needs to be done so nobody can’t be bribed. Hmm actually that can’t be the case because systems are made on purpose to be altered

I strongly agree with this one.  There is no such thing as perfect immutability especially a system that can be modified anytime.

As of the value of Blockchain, I got no idea how much it worth.