Blockchain technology in the Industry 4.0

Discover what blockchain is in the industry 4.0 and how it relates to Bitcoin
January 3, 2022 by
Blockchain technology in the Industry 4.0
Boot & Work Corp. S.L., Fernandez Queralt Martinez

Blockchain definition

Blockchain is a public ledger of all transactions on the Bitcoin network, and it can record transactions between two parties in an efficient and verifiable and permanent manner. It is called “blockchain” because transactions are grouped into “blocks” and each block is chained to the previous one, hence the name.

Blockchain is the technology that underpins cryptocurrencies like Bitcoin and is used in industry 4.0 to record any transaction, as it has a wide range of applications in many industries. Provides a secure, decentralized, and permanent way to store data.

Blockchain technology has been changing the way everyone thinks about transactions. It has the potential to be the foundational technology to power the next generation of the internet, plus it is a type of database that can be shared across multiple locations.
Blockchain technology - What is blockchain - Blockchain in the Industry 4.0

What is blockchain?

Blockchain explained

Blockchain technology was introduced in 2008 as the database behind the digital currency Bitcoin, when Industry 4.0 was starting. Since then, it has garnered much attention and has been used in other industries to keep records of transactions. It is a decentralized, public ledger where information is stored in a network of nodes. Each transaction is recorded in a block of data, and then linked to the previous block, making the chain. This process is called “Mining”. The reason blockchain is so secure is that it uses complex encryption to link each block to the others in the chain.

Blockchain Bitcoin - What is blockchain - Blockchain in the Industry 4.0

Thus, despite the fact that each blockchain has millions of users, it is very difficult to change or delete any data on it. This is because to change data on a blockchain, you would need to change it at every node in the network, which is impossible. It is this feature of the blockchain that has made it so appealing to businesses, who are constantly looking for ways to keep data secure.

Security in the blockchain

The blockchain is all about decentralization. The blockchain is a peer-to-peer distributed ledger and it eliminates the need for a third party such as a bank or other financial institution, and allows people to securely exchange money without the need for a middleman.

You can change the way a transaction is done by using the blockchain’s capabilities. The blockchain is public, so information is shared with everyone in the network. People who use the blockchain can also see and verify the transactions.

Security in the blockchain 1 - Blockchain in the Industry 4.0
Security in the blockchain 2 - Blockchain in the Industry 4.0

The blockchain is decentralized, so information is not held by a single entity, but is instead recorded on many computers across the globe. The blockchain is constantly growing, so it’s never possible to change or remove data from the blockchain.

As a result, you get a shared database where people can trust that the information is correct and cannot be changed. In other words, the blockchain can never be altered or tampered with.

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Blockchain technology in the Industry 4.0
Boot & Work Corp. S.L., Fernandez Queralt Martinez January 3, 2022

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