Individual essay nguyendangminhtri AEN T122WSB 6 21000960

SCHOOL OF ASSIGNMENT COVER SHEET STUDENT DETAILS Student name: Nguyễn Đăng Minh Trí UNIT AND TUTORIAL DETAILS Unit name: Individual Essay Tutorial group: Lecturer or Tutor name: Student ID number: 21000960 Unit number: Tutorial day and time: Mr Ryan ASSIGNMENT DETAILS Title: What is blockchain and how it is utilized? Length Due : 1200 date: 11/4/2022 Home campus (where you are enrolled): Date submitted: 11/4/2022 DECLARATION I hold a copy of this assignment if the original is lost or damaged I hereby certify that no part of this assignment or product has been copied from any other student’s work or from any other source except where due acknowledgement is made in the assignment I hereby certify that no part of this assignment or product has been submitted by me in another (previous or current) assessment, except where appropriately referenced, and with prior permission from the Lecturer / Tutor / Unit Coordinator for this unit No part of the assignment/product has been written/produced for me by any other person except where collaboration has been authorised by the Lecturer / Tutor /Unit Coordinator concerned I am aware that this work will be reproduced and submitted to plagiarism detection software programs for the purpose of detecting possible plagiarism (which may retain a copy on its database for future plagiarism checking) Student’s signature: Note: An examiner or lecturer / tutor has the right to not mark this assignment if the above declaration has not been signed What is blockchain and how it is utilized? Nguyen Dang Minh Tri - 21000960 AEn-T122WSB-6 11/4/2002 Mr.Ryan Gabriel In today's technologically advanced world, the need for modernization is increasing The increasing usage of technology is showing signs of improvement Blockchain technology introduced its first widespread application, Bitcoin, in 2009 Since then, the use of blockchains has increased as a result of the development of various applications such as cryptocurrencies, decentralized finance (DeFi) applications, non-fungible tokens (NFTs), and smart contracts Blockchains are best known for maintaining a secure and decentralized record of transactions, which makes it hard to change or manipulate the data On the other hand, blockchain also has many risks and limitations, such as its low transactions per second or its data storage limitation This essay mainly focuses on the definition of blockchain, how it is used, and the benefits and drawbacks of blockchain in the age of technological development A blockchain can be defined as a distributed database that is shared among the nodes of a computer network A blockchain acts as a database, storing information in a digital format However, there is one difference between a database and a blockchain According to Adam Hayes (2022), the difference between a typical database and a blockchain is how the data is structured A blockchain organizes data into groupings called "blocks," each of which contains a collection of data The data is structured into blocks, once the data fills the block, the block will chain onto the previous block Which causes the data to be linked in a chronological order Whereas a typical database structures its data into tables The concept of blockchain was outlined in 1991 by researchers Stuart Haber and W Scott Stornetta in a paper called " How to Timestamp a Digital Document" However, until January 2009, blockchain technology had its first real application, Bitcoin Bitcoin’s creator wants to create a digital currency that would allow two strangers to transact online without the need for a third party like a credit card company or a payment processor Actualizing this plan requires a system that would eliminate the " double spending" problem, which is when people use the same money more than once They solve the problem by creating a network that continually checks Bitcoin's movement The Blockchain is that network The main concept is a public ledger with copies distributed among several nodes, which are usually individual computers that have copies of the ledger (John, 2022) Blockchain technology has many benefits as it has many useful applications But there are also many disadvantages First, blockchain technology has a high level of security The blockchain network must verify the legitimacy of a transaction after it has been recorded Now, thousands of computers on the blockchain scramble to verify that the purchase's data is correct The transaction is added to the blockchain block after it has been validated by a computer Each block on the blockchain has its own unique hash, as well as the hash of the previous block The hash code of a block changes when the information on it is changed in any way The hash code of the block after it does not Because of that, it's difficult to change information on the blockchain without being noticed Also, blockchain can reduce transaction fees The blockchain eliminates the need for third-party verification, as well as the fees that come with it Moreover, the majority of blockchains are made up entirely of open-source software, meaning that everyone can view their code This allows auditors to check the security of cryptocurrencies like Bitcoin, and anyone can suggest changes or improvements to this blockchain system On the other hand, Blockchain also has some limitations Although blockchain can save customers money on transaction costs, it is not a free technology Despite the high costs of mining bitcoin, consumers continue to utilize more electricity to validate blockchain transactions That's because miners are compensated with enough bitcoin for their time and effort when they add a block to the bitcoin blockchain However, miners will need to be compensated or otherwise incentivized to validate transactions on blockchains that not use cryptocurrencies Also, there are many illegal trading and activities on the blockchain network The Silk Road, an online dark web illegal-drug and money laundering bazaar that operated from February 2011 until October 2013, when it was shut down by the FBI, is possibly the most referenced example of blockchain being used for unlawful transactions ( Adam, 2022) This system has both advantages and disadvantages It allows anyone to access financial accounts, but it also makes it easier for criminals to transact Many have claimed that the positive uses of cryptocurrencies, such as banking the unbanked, outweigh the negative uses, especially as the majority of unlawful behavior is still carried out using untraceable cash Since 2009, the use of blockchain technology has increased due to the development of various applications Blockchain applications are far more than just bitcoin and cryptocurrency With its ability to increase openness and fairness while also saving businesses time and money, technology is influencing a wide range of industries in ways ranging from contract enforcement to government efficiency (Daley, 2018) There are some popular blockchain applications that everyone has heard of once One of the most important applications of blockchain is cryptocurrency More than 10,000 more cryptocurrency systems are now running on the blockchain The Blockchain allows Bitcoin and other cryptocurrencies to operate without the need for a central authority by distributing their operations over a network of computers This not only lowers risk, but it also removes a lot of the transaction and processing fees Another application of the blockchain is non-fungible tokens, or NFTs Non-fungible tokens are frequently thought of as a method for acquiring the rights to digital art Because the blockchain prevents data from being duplicated, placing an NFT on the blockchain ensures that only one copy of a work of digital art exists This might make you feel like you're buying tangible art, but without the hassles of storage and upkeep One application that we rarely see is voting Only eligible voters may vote, and votes cannot be tampered with if blockchain technology is used Moreover, it can make voting as simple as hitting a few buttons on your smartphone, thus increasing voter participation Simultaneously, the cost of holding an election would be significantly reduced Blockchain technology can be used in Logistics and supply chain tracking Blockchain technology has the potential to secure Internet of Things networks.The Internet of Things (IoT) is making our lives simpler, but it's also allowing unscrupulous actors access to our data and control over critical systems By storing passwords and other data on a decentralized network rather than a single server, blockchain technology can provide greater security Additionally, because a blockchain is basically unchangeable, it provides protection against data manipulation In conclusion, blockchain technology has numerous advantages but also has many drawbacks Thanks in no small part to bitcoin and cryptocurrencies, blockchain is finally gaining a reputation for itself, with many practical uses for the technology already being implemented and researched Blockchain technology has the potential to make corporate and government operations more precise, efficient, secure, and affordable It also reduces costs by eliminating third parties In the future, more and more applications of blockchain technology will appear as the blockchain technology ecosystem rapidly changes Reference list Daley, S (2018, December 5) 25 blockchain applications & real-world use cases disrupting the status quo Built In https://builtin.com/blockchain/blockchain-applications Hayes, A (2022, February 16) Blockchain, Explained Investopedia https://www.investopedia.com/terms/b/blockchain.asp John, B (2022, January 24) What Is the Blockchain and What’s it Used For? PCMAG https://www.pcmag.com/how-to/what-is-the-blockchain-and-whats-it-used-for Levy, A (2021, October 25) 15 Applications for Blockchain Technology The Motley Fool https://www.fool.com/investing/stock-market/market-sectors/financials/blockchain-stocks/blockchainapplications/#:~:text=Blockchain%20technology%20can%20provide%20greater What is a blockchain? (n.d.) Www.coinbase.com https://www.coinbase.com/learn/crypto-basics/what-is-ablockchain ARO 00380 08/15 ...What is blockchain and how it is utilized? Nguyen Dang Minh Tri - 21000 960 AEn- T122WSB- 6 11/4/2002 Mr.Ryan Gabriel In today's technologically advanced world, the need for modernization... risks and limitations, such as its low transactions per second or its data storage limitation This essay mainly focuses on the definition of blockchain, how it is used, and the benefits and drawbacks... main concept is a public ledger with copies distributed among several nodes, which are usually individual computers that have copies of the ledger (John, 2022) Blockchain technology has many