Let's learn and grow together Kubers. Last week, we looked at what are the four main types of blockchains.
03 Jul 2023, 15:08
Let's learn and grow together Kubers. 📚
Last week, we looked at what are the four main types of blockchains.
- Public blockchains (done) ✅
- Private blockchains (today)
- Consortium blockchains
- Hybrid blockchains
Today, let's look at private blockchains.
Private blockchain
A blockchain network that works in a restrictive environment like a closed network, or that is under the control of a single entity, is a private blockchain.
While it operates like a public blockchain network in the sense that it uses peer-to-peer connections and decentralization, this type of blockchain is on a much smaller scale.
Instead of just anyone being able to join and provide computing power, private blockchains typically are operated on a small network inside a company or organization.
They're also known as permissioned blockchains or enterprise blockchains.
Advantages
The controlling organization sets permission levels, security, authorizations and accessibility. For example, an organization setting up a private blockchain network can determine which nodes can view, add or change data.
It can also prevent third parties from accessing certain information.
You can think of private blockchains as being the intranet, while the public blockchains are more like the internet.
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205 Jul 2023, 08:05
Let's learn and grow together Kubers. 📚
Today, we will look at the fourth main blockchain (Consortium).
Consortium blockchain
The fourth type of blockchain, consortium blockchain, also known as a federated blockchain, is similar to a hybrid blockchain in that it has private and public blockchain features.
But it's different in that multiple organizational members collaborate on a decentralized network.
Essentially, a consortium blockchain is a private blockchain with limited access to a particular group, eliminating the risks that come with just one entity controlling the network on a private blockchain.
In a consortium blockchain, the consensus procedures are controlled by preset nodes.
It has a validator node that initiates, receives and validates transactions. Member nodes can receive or initiate transactions.
Advantages
A consortium blockchain tends to be more secure, scalable and efficient than a public blockchain network. Like private and hybrid blockchain, it also offers access controls.
Let's learn and grow together Kubers. Today, we will look at the fourth main blockchain (Consortium). Consortium blockchain.
Let's learn and grow together Kubers. 📚
Today, we will look at the fourth main blockchain (Consortium).
Consortium blockchain
The fourth type of blockchain, consortium blockchain, also known as a federated blockchain, is similar to a hybrid blockchain in that it has private and public blockchain features.
But it's different in that multiple organizational members collaborate on a decentralized network.
Essentially, a consortium blockchain is a private blockchain with limited access to a particular group, eliminating the risks that come with just one entity controlling the network on a private blockchain.
In a consortium blockchain, the consensus procedures are controlled by preset nodes.
It has a validator node that initiates, receives and validates transactions. Member nodes can receive or initiate transactions.
Advantages
A consortium blockchain tends to be more secure, scalable and efficient than a public blockchain network. Like private and hybrid blockchain, it also offers access controls.
04 Jul 2023, 13:19
Let's learn and grow together Kubers. 📚
Today, we are going to look at the third main blockchain (Hybrid blockchains).
Four main types of blockchains.
- Public blockchains (done) ✅
- Private blockchains (done) ✅
- Hybrid blockchains (today)
- Consortium blockchains
Hybrid blockchain
Sometimes, organizations will want the best of both worlds, and they'll use hybrid blockchain, a type of blockchain technology that combines elements of both private and public blockchain.
It lets organizations set up a private, permission-based system alongside a public permissionless system, allowing them to control who can access specific data stored in the blockchain, and what data will be opened up publicly.
Typically, transactions and records in a hybrid blockchain are not made public but can be verified when needed, such as by allowing access through a smart contract. Confidential information is kept inside the network but is still verifiable.
Even though a private entity may own the hybrid blockchain, it cannot alter transactions.
When a user joins a hybrid blockchain, they have full access to the network.
The user's identity is protected from other users, unless they engage in a transaction. Then, their identity is revealed to the other party.
Advantages
One of the big advantages of hybrid blockchain is that, because it works within a closed ecosystem, outside hackers can't mount a 51% attack on the network. It also protects privacy but allows for communication with third parties.
Transactions are cheap and fast, and it offers better scalability than a public blockchain network.
Let's learn and grow together Kubers. Today, we are going to look at the third main blockchain (Hybrid blockchains).
Let's learn and grow together Kubers. 📚
Today, we are going to look at the third main blockchain (Hybrid blockchains).
Four main types of blockchains.
- Public blockchains (done) ✅
- Private blockchains (done) ✅
- Hybrid blockchains (today)
- Consortium blockchains
Hybrid blockchain
Sometimes, organizations will want the best of both worlds, and they'll use hybrid blockchain, a type of blockchain technology that combines elements of both private and public blockchain.
It lets organizations set up a private, permission-based system alongside a public permissionless system, allowing them to control who can access specific data stored in the blockchain, and what data will be opened up publicly.
Typically, transactions and records in a hybrid blockchain are not made public but can be verified when needed, such as by allowing access through a smart contract. Confidential information is kept inside the network but is still verifiable.
Even though a private entity may own the hybrid blockchain, it cannot alter transactions.
When a user joins a hybrid blockchain, they have full access to the network.
The user's identity is protected from other users, unless they engage in a transaction. Then, their identity is revealed to the other party.
Advantages
One of the big advantages of hybrid blockchain is that, because it works within a closed ecosystem, outside hackers can't mount a 51% attack on the network. It also protects privacy but allows for communication with third parties.
Transactions are cheap and fast, and it offers better scalability than a public blockchain network.