Chapter 1: Blockchain — from Intranet to Internet

Bitcoin is a decentralised blockchain, which does peer to peer electronic transaction without the need for a centralised trusted parties like Banks or Visa network, to authorise, verify and settle the transaction.

Satoshi Nakamoto with Bitcoin (Nakamoto) brought a system where two parties can execute and validate a transaction without the need for a trusted third party. This is a revolutionary milestone which through the technology known a blockchain brings trust in the system without trusting a centralised entity, which may become fraudulent.

The commodities like oil act as a building block of other resources like paint or as a fuel for automobile industries. In the similar way, with an increase in the utilisation and interoperability among blockchain, this will lead to broader research and development of use cases and adaptability in different sectors.

Interoperability is one of the critical element in making blockchain development from the current Intranet to the Internet world, where the distinct decentralised network (termed as Intranet) can intercommunicate among different blockchains leading to the growth of a new Internet. The work on Sidechain (which extends the existing blockchain to a child blockchain) and cross-chain (which extend the intercommunication among distinctly working blockchains) are some of the leading advancements in making blockchain usable in different use cases.

University of Edinburgh | Blockchain | Artificial Intelligence | Payments