Blockchain is a shared, immutable ledger that stores data of any kind and can record information about transactions, smart contracts, cryptocurrency, NFT ownership and tracking assets in a business network. An asset can be intangible (copyrights, branding, intellectual property, patents,) or tangible (a house, car, cash, land). Virtually, anything of value can be traded and tracked on a blockchain network.
Business runs on information, and blockchain is ideal for delivering that information. Blockchain’s public ledger and inherent security measures make it a prime technology for almost every single sector. Blockchain is essential as it:
- Provides shared, immediate and completely transparent information which is stored on an immutable ledger.
- Tracks payments, orders, production, and accounts.
- Creates a decentralized distribution chain that gives everyone access to the document at the same time.
India’s blockchain strategy: Using block chain to resolve business and governance process
Niti Aayog recognized several crucial areas blockchain technology will considerably profit the country.
Known as Blockchain: The Asian country Strategy — Towards sanctioning easy Business, easy Living and easy Governance, the 59-page policy paper is that the 1st of two-part papers to be revealed by NITI Aayog. The primary discussion paper covers the fundamentals of distributed technology, its potential framework for Asian country, the implementation challenges, lessons from NITI Aayog’s own PoCs, its use cases, and suggestions for India’s national blockchain strategy.
A part of the document states, “New data can be added to a blockchain only with an agreement between the various nodes of the blockchain network, a mechanism known as distributed consensus. Every node of the distributed network has its own copy of block chain’s data and checks the other nodes’ data authenticity – if one node changes its local copy, the other nodes reject it. New data is added to the new block, and once added, it is immutable. Older data can neither be deleted nor modified because a snapshot of it is captured in the blocks of data that come after it.”
According to NITI Aayog, governments should offer and provide special attention to localised networks wherever peer-to-peer transactions will build additional socio-economic worth.
NITI Aayog has conducted PoCs in four areas to assess the ability of distributed ledgers in providing and improving potential hurdles and increased potency in execution, like track and trace of medication within the company, claim verification and approval for the disbursement of fertilizer subsidies, verification of university certificates, and transfer of land record possession.
Blockchain integration in monetary transactions won’t solely save time and cost, it’ll additionally create the group action process and authentication way more seamlessly. Further, Blockchain will be a superb tool to observe fraudulent wealth accumulation measures. Additionally, Blockchain is capable of managing problems like double and unauthorized disbursement.
The author is Tanisha Gupta.