It could be argued that, in many situations, confidentiality is not needed and transparency is preferred.
For example, with Bitcoin, confidentiality is not an absolute requirement; however, it is desirable in some scenarios.
From Initiation to Immutable Confirmation
A more recent example is Zcash, which provides a platform for conducting anonymous transactions.
This scheme will be discussed in detail in , Alternative Coins.
Other security services, such as non-repudiation and authentication, are also provided by blockchain, as all actions are secured using private keys and digital signatures.
Immutability: This is another critical feature of blockchain: once records are added to the blockchain, they are immutable.
There is the remote possibility of rolling back changes, but this is to be avoided at all costs as doing so would consume an exorbitant amount of computing resources.
For example, with Bitcoin if a malicious user wants to alter previous blocks, then it would require computing the PoW once again for all those blocks that have already been added to the blockchain.
Why This Matters for Blockchain Technology
This difficulty makes the records on a blockchain essentially immutable.
Uniqueness: This blockchain feature ensures that every transaction is unique and has not already been spent (double-spend problem).
This feature is especially relevant with cryptocurrencies, where detection and avoidance of double spending are a vital requirement.
of transactions on the blockchain is being researched very actively, and advancements are already being made. It could be argued that, in many situations, confidentiality is not needed and transparency is preferred. For example, with Bitcoin, confidentiality is not an absolute requirement; however, it is desirable in some scenarios. A more recent example is Zcash, which provides a platform for conducting anonymous transactions. This scheme will be discussed in detail in , Alternative Coins. Other security services,
Key Points to Remember
- It could be argued that, in many situations, confidentiality is not needed and transparency is preferred.
- For example, with Bitcoin, confidentiality is not an absolute requirement; however, it is desirable in some scenarios.
- A more recent example is Zcash, which provides a platform for conducting anonymous transactions.
- This scheme will be discussed in detail in , Alternative Coins.
Going Deeper: Advanced Concepts
such as non-repudiation and authentication, are also provided by blockchain, as all actions are secured using private keys and digital signatures. Immutability: This is another critical feature of blockchain: once records are added to the blockchain, they are immutable. There is the remote possibility of rolling back changes, but this is to be avoided at all costs as doing so would consume an exorbitant amount of computing resources. For example, with Bitcoin if a malicious user wants to alter previous blocks, then it would require computing the PoW once again for all those blocks that have already been added to the blockchain. This difficulty makes the records on a blockchain essentially immutable. Uniqueness: This blockchain feature ensures that every transaction is unique and has not already been spent (double-spend problem). This feature is especially relevant with cryptocurrencies, where detection and avoidance of double spending are a vital requirement.
Conclusion
of transactions on the blockchain is being researc represents one of the many innovative layers that make blockchain technology so powerful and transformative. As distributed systems continue to evolve, a solid understanding of these core concepts becomes increasingly valuable — not just for developers, but for anyone building, investing in, or working alongside blockchain-powered systems.
Whether you are just starting your blockchain journey or deepening existing expertise, mastering these fundamentals gives you the tools to think clearly about decentralized systems and make smarter decisions in this rapidly evolving space.