Emerging block chain technology is revolutionizing cybersecurity in various ways.
There are many applications that we can use blockchain, not just through payment.
Bitcoin and blockchain technology were one of the most talked about digital trends in the last couple of years. So, what is a bitcoin and why is there so much commotion over this trend? Bitcoin is an online currency that can be sent and received by anyone in the world, relying on computers to control the transfer and creation of money without human intervention, which results in low costs, no government corruption, and super-fast transfer. It utilizes “blockchain” technology, which is essentially a giant open source digital ledger on which transactions are listed. The open source allows anyone to see every transaction so nobody can lie about where they sent money, meaning that though there is no personal information attached to the blockchain, organizations can still track your transactions if they know your “wallet” address. This is very similar to how traditional banks track your transactions but more efficient and has more potential.
So what’s all the commotion about if it’s so similar to traditional banking? Being able to move money quickly, anonymously, and securely is notoriously difficult. Have you ever wired money? It’s currently the fastest and cheapest way to send money. It can take up to 5 days for people to get money and banks can charge close to $100 per transactions. With bitcoin, you are able to send hundreds of thousands of dollars, with only 2 dollars in fees, in less than an hour, proving to be the much more efficient and effective method. However, the greater significance of blockchain technology is that it isn’t limited to simply payments, this technology can be implemented into various processes and systems, meaning that it can vastly improve cybersecurity for many different fields. With the rise of blockchain technology, our society can see a lot of improvements and developments within cybersecurity. Here are some ways blockchain is revolutionizing cybersecurity.
Making Passwords Irrelevant
Blockchain allows businesses to authorize users and devices without the need of a password, removing the human component from the authorization process. This can drastically decrease the potential of a cyberattack because simple login authorization processes in a centralized system is one of the biggest weaknesses of cyber systems, especially if users have a very weak password. With blockchain, this process will be fortified due to its strong authorization attributes. In addition, a decentralized system will improve the security as well.
In every business, there are multiple mediums of communication, whether it may be email, telephones, or chat rooms. Chat rooms have become an essential aspect of communication due to its informal and easy to use characteristics. However, these characteristics allow chats to be easy to hack, access, and steal from. With a blockchain decentralized system, chats can become more protected because the chats metadata is scattered throughout the blockchain’s ledger. This means that users don’t need to link any other means of communications to their chats in order to use it, thus increasing the security.
With blockchain, users can trace every transaction because everything is time-stamped and signed digitally, meaning that companies will have a record of every transaction and are able to locate the corresponding party. This feature increases the system’s authenticity because every transaction is pinned on a user, meaning that you will always have a map of who’s touched the transaction. This can significantly decrease the potential for fraud and identity theft. Blockchain is the technology that will restore trust and reassurance to users when it comes to payment and money transactions.