Is Blockchain the Future of Online Security?
The blockchain is best known for its use in cryptocurrency, such as Bitcoin. It is used for keeping a decentralized record of crypto transactions and blockchains do this securely and without the use of a third party. All information in a blockchain database is stored electronically in a digital format and different forms of data can be stored on a blockchain but the most popular use at this time is as a ledger for transactions, such as crypto. Thanks to the secure nature of blockchain, is it the future of online security?
How is Blockchain Secure?
Before we investigate the prospect of blockchain being the future of online security, we need to understand how secure blockchain is today. When blocks are created in the blockchain and complete, new blocks are added in chronological order. The new blocks are added to the end of the chain, and this makes it extremely difficult for anyone to go back and alter any of the data in previously completed blocks. There are timestamps on each block, and this acts as an added layer of security. For any hacker to successfully enter a blockchain and steal digits assets or data from someone else, they would need to control and change over 50% of the blockchain, so they own the majority copy. This type of action would require massive resources and a lot of money, making it almost impossible. Even if someone tried to pull it off, the changes to the blockchain would not go unnoticed and it is likely the other owners would take steps to avert any such attack.
Many people continue to be wary when it comes to making payments online. Entering a credit card number is seen as a risk by those who do not use the internet regularly, even though many security features are in place to prevent hackers from stealing credit card details. In the future, making payments online using debit and credit cards may be replaced by using cryptocurrency. With the transactions taking place on the blockchain, as described above, security is excellent and even if someone tried to hack the blockchain, it would hardly be worthwhile for the value of the digital assets of the average person. Some online brands already accept cryptocurrency as payment, including casinos, and making payments using crypto at a casino is one of the ways blockchain will act as the future of online security.
There has been much discussion concerning the personal identity and privacy in recent years. Many industry experts believe that by 2030 or sooner, every individual and their assets will have blockchain identities. There is a fear that today’s identity systems provide little security, and ‘big brother’ is always watching. The blockchain could change that and reduce the risk of security breaches. Efficiency when confirming identity, such as tax records, will be improved using blockchain and it could be used for keeping health records, employment records, and government records safe. All this information could be stored on the blockchain within the next decade, meaning it could easily be the future of online security by 2030.