At present, trust is the basis of many interactions and exchanges every day. We put the money to the bank believe that it was safer there. We provide information from each other based on that they will not share them with other people without previous permission. We also put a lot of trust in pieces of paper – money, land notes, transaction information, etc. But these papers can be easily stolen, forged, or changed. At present while we move towards computerized information, data can still be hacked and leak easily.
Blockchain is a series of records or data distributed through computer networks so that there is no central computer or database that holds information, instead, each computer contains data that makes it a completely transparent system. Why blockchain is very impressive because of its insufficientness. Each exchange, transaction, or note entered into the database is placed and verified by a large group of trusted computers before being included as a block into a chain of various exchanges, transactions, or other notes. After entering, the “block” information cannot be changed or removed because it means changing or removing chains on all computers simultaneously that is almost impossible.
The social impact that Blockchain technology can have extraordinary and can be carried out to resolve many world problems facing today in various fields. In most developing countries, agriculture contributes to the main part of their GDP; But many farmers suffer due to lack of money, lack of land, and the lack of various resources needed for agriculture. Even if a farmer has a plot of big land, often recorded incorrectly. Property titles also tend to be susceptible to fraud, as well as expensive and labor intensive for granted. Blockchains can be implemented to digitize land and farmers no longer need to fear someone to hack the database and commit fraud on land ownership because all types of recording will become more efficient.
This technology will not only tell you who currently has land, but can also notify you who previously owned land so it was very easy to track the title chain. Blockchain can update notes correctly on which parts of the land they have and how many are produced from the land, which allows farmers to get the right amount of funds needed.
Among many other regions, Blockchain technology can contribute to the health care sector. Maintenance of public health records is a constant problem in many countries without being influenced by doctors and patients. By making ‘big books’ decentralized medical data, we can remove paper traces in health care and make patient medical records available for patients and doctors easily and efficiently. It also eliminates fear of missing medical files. Such changes are not only convenient but need where the confidentiality of doctors is increasingly important.
At present, Blockchains are mainly used in finance. Blockchains can accurately record transfers between people, and because of each transfer with a minimum at no cost, it has the potential to disrupt current financial organizations that make money by collecting costs for each transaction or transfer. This makes what is called a peer-to-peer network, where third parties are not needed for transactions.
In the financial world what it means is that if someone wants to buy something, usually the bank and place / place where you buy, will take a small portion of what you pay for. And because there are no fees for transactions in Blockchain or transaction costs are minuscule compared to transaction values, mostly if not all money directly to the creator or distributor of products.