2. OVERVIEW
➢Introduction to Blockchain
➢Brief History of Blockchain
➢Technology
➢Current Applications
➢Advantages
➢Disadvantages
➢Future Scope
➢Conclusion
➢References
➢Questions
3. Introduction
A Blockchain is a type of Data structure which works on peer to peer
network in which every block is connected to every other block
through a Direct Network
It does not require any centralised Authority such as in Internet.
4. History
➢ They created “Bitcoin: A Peer to Peer electronic cash System”
for electronic cash System without relying on trust.
➢ First the concept of Blockchain was given by a Group of
People under the name Satoshi Nakamoto from Japan in
2009
5. Technology
➢ Blockchain consist of a series of Blocks in which every next block is
linked to its previous block.
➢ Each block contains their Block ID as well as previous Block ID
6. ➢ Each Block in the blockchain contains a summary of all the transactions in
the block using a Merkle Tree.
➢ A Merkle tree also known as a binary hash tree , is a data structure used
for efficiently and verifying the integrity of large sets of data.
7. Someone requests a
transaction
The requested transaction is
broadcast to a P2P network
consisting of computers,
known as nodes
The network of
nodes validate the
transaction using
cryptography.
Once verified, this
transaction is
represented as a new
block.
The new block is then
added to the existing
blockchain.
The transaction is
complete
How Blockchain works?
8. Current Applications
1. In Cryptocurrency
1. BITCOIN
❖ A Bitcoin is a peer-to peer version of electronic cash system that allow
payments to be sent directly from one party to another without going
through a financial Institution.
❖ It is a electronic payment system that is based on cryptographic proof
instead of trust.
❖ Thus enabling parties to directly transact with each other without the need
for a trusted third party.
9. ❖ In Bitcoin each and every transaction is listed on Blockchain and each and
every block can identify the Transaction . Thus enabling Transparency.
“Bitcoin gives us, for the first time, a way for one Internet
user to transfer a unique piece of digital property to another
Internet user, such that the transfer is guaranteed to be safe
and secure, everyone knows that the transfer has taken
place, and nobody can challenge the legitimacy of the
transfer. The consequences of this breakthrough are hard
to overstate.”
— Marc Andreessen
11. Recent Breakthroughs in Bitcoin
❖ In December ,2017, the value of 1 BTC crossed $17,900 which
is equal to ₹13 Lakh and is highest till date.
❖ Government of Japan declared Bitcoin as a Legal Currency in
Japan.
❖ Smaller value of currency has been launched called Satoshi
where
1 satoshi = 0.00000001 BTC
❖ IBM opened a blockchain innovation research center in
Singapore in July 2016
12. 2. Ripple
❖ It was first developed in 2004 by Ryan Fugger.
❖ It’s main focus is on Banking Markets.
❖ Ripple allows for cross-border payments for retail customers,
corporations, and other banks.
❖ Ripple simplifies the [exchange] process by creating point-to-point and
transparent transfers in which banks do not have to pay corresponding
bank fees.
2. Ethereum
❖ Developed by Vitalik Buterin in 2013.
❖ It main use is for the Smart Contracts between Parties.
13. 2. In Distributed Data Storage
1. IPFS (Interplanetary File System)
❖ A Peer-to-Peer Hypermedia Protocol that makes web faster,safer
and more Open.
❖ In this each file and all of the blocks within it are given a unique
fingerprint called Cryptographic Hash.
❖ It removes duplications across the network.
❖ Thus it makes possible to distribute high volumes of data with high
efficiency.
14. 3. Smart Contract
❖ It is a computer protocol intended to digitally facilitate,verify,or
enforce the negotiation or a performance of a contract.
❖ It allows the performance of credible transactions without third
parties.
❖ It is a program that enforces the contract built into the code.
15. Advantages
➢ It is a system based on cryptographic proof instead of Trust
based system.
➢ It makes system more secure.
➢ It improves traceability.
➢ It creates a direct link between two parties.
➢ It makes decentralization possible.
➢ It makes the transparent system.
➢ It is not possible to hack Blockchain.
16. Disadvantages
➢ Extremely Volatile
➢ As the Blockchain becomes large the computing power
required to add a new block increases.
➢ Complex Technology
➢ Increased Anonymity
➢ Implementation Challenges
➢ Threat to be used in illegal activities and threat to
country’s own currency
18. Conclusion
Blockchain is an emerging technology that will be certainly going
to benefit the Human Society.It will ensure security and
transparency in Future Applications
19. References
● Nakamoto,Satoshi(2009):A peer to peer electronic cash system
● Andreas M. Antonopoulos (2017) Mastering Blockchain(Programming the Open
Blockchain), 2nd edn., CA 95472: O'Reilly Media.
● Miraz,M.H. and Ali,M.,2018. Applications of Blockchain Technology Beyond
Currency.arXiv preprint arXiv:1801.03528.
● Gruner,A.muhle, A. and Meinel, C.,2018. On the relevance of Blockchain in
Identity Management.
● Ramachandran,G.S., Radhakrishnan, R. and Krishnamachari,B.,Towards a
Decentralized Data Marketplace for Smart Cities.
● http://www.noahdatatech.com/blockchain-and-api/
● IPFS is the Distributed Web https://ipfs.io
● https://www.slideshare.net/pothiq/introduction-to-blockchain-technology-
109678098
● http://ogitsfresh.com/wp-includes/how-to-sell-my-bitcoins-for-cash/what-is-
blockchain-technology-ppt.php
