Blockchain Characteristics

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Well we are well familiar with how special blockchain is, it's a powerful technology and it's been shaping finance more than we know as cryptocurrency is built on it but because of it's special and unique nature it makes it have more applications even beyond finance.

Today I will share some of the characteristics of blockchain that makes it truly special and unique.

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Some characteristics of blockchain

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Blockchain is cost efficient and it achieves this by successfully making sure there is no intermediary as centralized system which are often expensive to use are due to them acting as third party but here in blockchain it's not so because blockchain relies on distribute consensus which makes it possible for blockchain to greatly reduce transaction cost and this makes blockchain to be very practical and suitable especially in the financial sectors because of it's ability to process transactions with very low cost.

Blockchain is also decentralized which is another appealing characteristics of blockchain, there is no single or central authority that overseas and authorize things or in charge of decision making in the blockchain network rather a distributed network of nodes are how data's and transactions are managed on the blockchain, and this is really one of the characteristics that makes blockchain really appealing as people love the freedom it gives.

Blockchain is also a transparent network, in that with blockchain there is little to hide and we can easily see everything that is happening on the chain, public chain has the record of all the transactions and everything there is visible to all and remains unchanged and can be audited easily by anyone who wants clarity about how things is done or any other issue, the transparency of the blockchain network is what really helps to make users trust it and this ensures it's integrity.

Apart from the fact blockchain is transparent it's immutable, yes transparency and immutability makes it truly special in that not only are the datas recorded on the public chain visible for all but they can't be changed which means once recorded in it will always be there, no hacker on earth have yet been able to alter information on the blockchain and I really doubt there would ever arise one, so immutability is a special characteristics of blockchain network helping to guard it against fraud.

Blockchain also takes pride in being one of the worlds best secured system making it impregnable, one can try but will find it hard to breech the network as they blockchain network utilise advanced cryptographic techniques to ensure that users data are well protected and every transaction are secured and depending on the consensus mechanism the network utilise it could help to add to the chain security like PoW and PoS I.e proof of work and proof of stake.

Well just like I mentioned above proof of work and proof of stake often help to add to the security of a network and what are those well they are called consensus mechanism which is another characteristics of blockchain, yes blockchain needs this consensus mechanism either in helping the chain validate it's various transactions or to help and maintain its integrity, so blockchain help has consensus mechanism as one it's characteristics, we have different consensus mechanism depending on the chain apart from proof of stake and proof of work we have delegated proof of stake, we have proof of brain we have proof of delegated authority amongst many others so yes consensus mechanism is one of the characteristics of blockchain.

Blockchain also have ability to tokenize asset which is in line of many of it's fine characteristics, it's ability to tokenize real life asset makes it really unique, assets like land and art works even music amongst other things could be tokenized by blockchain apart from NFTs and crypto physical assets like real estate are very well able to be tokenized by blockchain so that's just the beauty of it.

In blockchain it's very easy for transactions to be traced, yes traceability is one of the features of blockchain because each transaction are time-stamped making it easier for every transaction to be easily traced back to where it was sent and in an event of any need for auditing it makes it very easy.

This traceability feature of blockchain has found great use in supply chain and logistics and it's really a beauty because things could easily be accounted for in blockchain.

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Conclusion

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These are some of the unique features/characteristics of blockchain and truly it makes it one of best system or technology in this modern era having every feature which makes it a prize in the market and applications in every sector, it's decentralized, secured, immutable, traceability and consensus mechanism which makes it really one of a kind.