Blockchain: An Immersive Walkthrough
By: Samuel Swizz
Tags: Ethereum, Blockchain, Coding, Bitcoin, Software Development

Blockchain: An Immersive Walkthrough

By Samuel Swizz on The Capital

Blockchain? Did you say blockchain? In 2018, Glassdoor reported that there was a 300% increase in blockchain job openings in the United States alone, excited right? Okay, let me walk you through what it is. Ever gotten a strange debit alert over nothing? Sure you have, it is one of the perks of being a Nigerian. Ever been worried about the safety and privacy of your data and posts on social media? Again, you have. After all, we all witnessed the United States Congress tear Mark Zuckerberg apart over the Cambridge Analytica scandal. Situations like this are what the blockchain technology seeks to reduce and gradually erase. Blockchain as a technology is deeply rooted in the idea of a decentralized, immutable, and secure architecture. Decentralized, in the sense that there is no one responsible for controlling data and the general process of a system. In stark contrast to the current state of the internet, each individual has autonomous control over information and personal details shared. In this case, the privacy of every user is maintained and personal data is secure. Blockchain being immutable means that it can not be altered or changed. Any data that is registered into a blockchain is unable to undergo any form of alteration or modification. This feature acts as the gateway into the last feature which is security. Since data in the blockchain can’t be manipulated or altered, the threat posed by hackers and criminals with ulterior motives is extinguished. So a simple definition would be that it is a public ledger that holds together transactions in the form of blocks to ensure its immutability, transparency, and security without the need for a central authority.

For most, the term blockchain is synonymous with bitcoin. The presence of the huge cryptocurrency exchange website: blockchain.com all but promotes the faux school of thought. It is necessary to note that the blockchain is the foundation on which the bitcoin amongst other cryptocurrencies like ethereum is built on. Bitcoin was its first major use and it was created by a mystery name who went by the alias Satoshi Nakamoto. He sought to put an end to the crafty ways of existing financial institutions and give each individual the power to have total control of one’s wealth and bypass middlemen when engaging in transactions. Looking around today, we can all attest to the fact that his dreams became a reality. He succeeded in creating a digital currency that is not just secure but can be easily transferred. Each transaction performed with the currency is hashed and entered onto a block. Hashing is a process in which the contents of the transaction are converted from a readable format into a secure and incomprehensible format. To ensure the immutability of this chain of blocks, every block is linked to each other in such a way that any alteration to a block renders succeeding blocks invalid. To achieve consensus, Satoshi opted for the Proof of Work. A system where entries of transactions into the chain are handled by members who have performed a series of complex actions. This is also referred to as the Mining process. Incomplete transaction hashes are pushed out by the bitcoin platform and miners are required to perform highly complex algorithms to find the missing symbols in the hash. Such calculations can only be performed using a special type of computer and also require a tremendous consumption of electricity. At the end of such calculations, a certain amount of cryptocurrency is given off as a reward. This heralded a new era in the financial ecosphere and the whole process was lauded by people at the time. The strengths of this new technology were used extensively in the financial world but many people believed it could be applied with maximum effectiveness outside that world and in other spheres of life. This ambition led to the introduction of the Ethereum platform. The ethereum platform while providing similar features like its older counterpart also provided an avenue where people could develop their blockchain application in any area whatsoever and enforce rules and constraints using Smart Contracts.

As mentioned earlier, this new and growing tech seeks to provide solutions and hugely enhance efficiency in various aspects like security, transparency, accountability, and lots more. Certain fields can benefit immensely from tapping into the power of the blockchain. Such fields include real estate, education, election systems, healthcare amongst others. Taking the real estate industry as an example, assets like lands, houses, and related documents can be safely stored and be accounted for. Cases of missing documents and illegally owned properties are not rare and with the aid of this technology, this can be addressed. There is also the prospect of the voting system being revamped completely. This overhaul is being explored and would involve the storage of votes onto a secure blockchain where they are shielded from the threat of modification and alteration. If fully implemented, this would mark a revolution and a major turning point in the electoral system. Files can also be stored digitally in a way that enhances its security. The applications of the blockchain technology are not just limited to the option mentioned above, it can be employed in all walks of life because security and transparency is an issue that requires addressing in practically everything.

Most times, the ledger is public and permissionless. This is the foundation for the Ethereum platform where we can develop DApps. DApps is an acronym that stands for Decentralized Applications. We enforce the standards and constraints with which the app works with using smart contracts. Smart contracts can be simply said to be a computer protocol that is intended to verify, facilitate, and enforce the standards which an Ethereum DApp is to run. It is written with Solidity on the Ethereum platform. While the Ethereum platform was public and permissionless, some felt it was not suited to the needs of businesses. It was believed that for the blockchain to be implemented with great success in that area, it should be private and its permission regulated. This is how the Hyperledger platform came into play, its major features are the fact that it is private and permission. This means that access to this ledger can be restricted to just organization personnel. It also employs the use of smart contracts but opts for Chaincode in place of Solidity to develop theirs.

Currently, there is a severe need for skilled personnel and experts in this field. It is relatively a new career path and not many people have ventured down its road. Due to this current situation, the few blockchain engineers in existence are in demand and command huge salaries all over the world. This trend is just the start as many industries and companies are waking up to the realization that blockchain can take their outputs to a whole new level. It is now a no brainer why there was a huge 300% increase in opportunities and this was in the US alone. It is just sad that most of these openings are still left unfilled because there are few blockchain engineers at the moment. Blockchain engineers average a salary between $150,000 and $175,000 per annum. To put that in the Nigerian perspective that’s equivalent to being in the range of N58,575,000 and N68,337,500. So this is the perfect time to capitalize on the extraordinary industry demands and become skilled in this field.

We are nearly at the end of our immersive walkthrough. I find it very exciting to expose people to the potential and capabilities of this unique platform and even more exciting when I think about the revolutionary effects it could have on life. It is still pretty much the genesis and there is an unlimited ceiling to what we can achieve with the power of the blockchain. Just like the great technologies of old, this is an opportunity to become a part of a movement that will alter the landscape of technology, businesses, and life. Opportunities in this field are not limited to writing codes, this is just a piece of the puzzle. One can become a blockchain product manager, create content relating to the technology or become a blockchain legal consultant amongst lots more. It is the start of something great and with this walkthrough, I hope I’ve enlightened you on the beauty and potentials of this phenomenon called the Blockchain.