In recent years, technology has evolved so greatly and tremendously reaching almost every aspect of life. Providing improved, easier, better and more secure ways to carry out mundane functions. One cannot fully appreciate the goodness of these advanced technologies without mentioning the evolution of Blockchain. The term Blockchain is commonly found on the lips of people who participate in cryptocurrency, digital security or online investments.
Blockchain in simple terms refers to a cryptography based structure that stores digital data in blocks that are connected to one another, forming chains, hence, the name Blockchain. Transaction data are stored into a block and after the block is filled up, it is attached to the previous block on the chain, giving it an organized and chronological arrangement.
Blockchain is based on principles of decentralization, cryptography and concensus such that it is usually difficult to hack such systems. The data stored in the Blockchain are usually given a particular identity code that is different from all other ones that have existed so that they can never be reused.
The whole essence of Blockchain is to make digital information that is stored on it to be available for people to see but not to be edited, deleted or destroyed. This sort is security is endured when you use Bitcoin Prime as your exchange media.
For every data stored in the blocks, there are 3 vital information about it which include
- Details of the transaction such as the date of the transaction, time it was made and the amount of the exchange
- Information on all participants in the transaction
- A unique identity code (algorithm) that differentiates one block from every other one in the chain.
With these, it may seem almost impossible for there to be any security issues with Blockchain. No doubt initially, it was really difficult but because Blockchain is the most commonly used for digital transactions, it has drawn the attention of several cyber hackers and over the years, some issues have been identified and the so called “absolute security” may not be appropriate for Blockchain any longer, unless these issues are properly taken care of.
Loose Ends On Blockchain Transactions
Indeed, the security measures put in place for Blockchain can be very difficult to hack. However, what about the other parties involved in the transactions? For instance, the wallet where the coin is deposited to or the payment processors, smart contracts and the likes.
The attention has since been on Blockchain being secure with little or none to the security of the other parties involved in the transaction. Most of these parties do not have near the kind of security offered by Blockchain and this might be a loose end for hackers to get through to steal from clients.
Each day, each minute, as both old and new investors participate in trading, the data required for the Blockchain to secure becomes larger. This may pose a threat later on as the volume of data required for the Blockchain to process becomes plenty. Cyber hackers can use routing attacks to expropriate data on its way to the IP (internet provider) address.
Apart from the fact that through routing attacks, hackers can have access to private information and monetary benefits, another dangerous effect of routing attacks is that they are not easily detectable. The whole hack occurs even before the information gets to the owner with everything still looking normal.
Blockchain sure does have a strong security that can be difficult to breech. However, it is important not to overlook the other ways that cyber fraudsters may be able to access the clients data and funds in order to guarantee an all round cyber protection.