What is blockchain technology?

Most of you would have heard of Bitcoin and maybe some have heard about “blockchain” – well this article wishes to talk about the technology arising from blockchain.

The essence of this concept is that the Blockchain is a shared, immutable ledger for recording transactions, tracking assets and building trust.

Blockchain is:  a shared, immutable ledger that facilitates the process of recording transactions and tracking assets in a business network. An asset can be tangible (a house, car, cash, land) or intangible (intellectual property, patents, copyrights, branding). Virtually anything of value can be tracked and traded on a blockchain network, reducing risk and cutting costs for all involved.

That is important because a Business runs on information. The faster it’s received and the more accurate it is, the better. Blockchain is ideal for delivering that information because it provides immediate, shared and completely transparent information stored on an immutable ledger that can be accessed only by permissioned network members. A blockchain network can track orders, payments, accounts, production and much more. And because members share a single view of the truth, you can see all details of a transaction end to end, giving you greater confidence, as well as new efficiencies and opportunities.

1. Distributed ledger technology

All members have the same information: All network participants have access to the distributed ledger and its immutable record of transactions. With this shared ledger, transactions are recorded only once, eliminating the duplication of effort that’s typical of traditional business networks.

2. Immutable records

It is almost impossible to alter – No participant can change or tamper with a transaction after it’s been recorded to the shared ledger. If a transaction record includes an error, a new transaction must be added to reverse the error, and both transactions are then visible.

3. Smart contracts

To speed transactions, a set of rules — called a SMART CONTRACTS — is stored on the blockchain and executed automatically. A smart contract can define conditions for corporate bond transfers, include terms for travel insurance to be paid and much more.

The blockchain provides a method of dealing with others – individuals, companies and governments in an environment where there is little or no trust. So by removing a “trusted” mediator you remove the need to depend of an unknown 3rd party.

AR SOAR: Business Services in association with and powered by AR LAW SERVICES: Specialist Blockchain Lawyers has the expertise to help business design a purpose built blockchain solution and assist with all the regulatory issues that may arrise along the way.

AR SOAR: Business Services in association with and powered by AR LAW SERVICES: Specialist Blockchain Lawyers can help with logistical issues: tracing and tracking produce, with security issues: protecting privacy, personal and bio information and helping with smart contract issues: what to do when things go wrong.

So if you or anyone you know has need of a blockchain solution, talk to us. (Free initial 10 Minute Chat).

Email us today.

Be advised this blog is to be understood as general information only. Before you make any decisions or take any action we urge you to get legal advice. This blog is not legal advice it is general information only. For legal advice make an appointment with AR LAW SERVICES: Specialist Blockchain Lawyers https://www.arlaw.com.au/consultation/

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