...
source: https://www.oreilly.com/ideas/understanding-the-blockchain
The technology concept behind the blockchain is similar to that of a database, except that the way you interact with that database is different.
...
For developers, the blockchain concept represents a paradigm shift in how software engineers will write software applications in the future, and it is one of the key concepts that needs to be well understood. We need to really understand five key concepts, and how they interrelate to one another in the context of this new computing paradigm that is unravelling in front of us: the blockchain, decentralized consensus, trusted computing, smart contracts, and proof of work/stake. This computing paradigm is important because it is a catalyst for the creation of decentralized applications, a next-step evolution from distributed computing architectural constructs.
Source: On Distributed Communications Networks, Paul Baran, 1962
But this is not just a computing phenomena. Decentralized applications are going to enable a decentralization trend at the societal, legal, governance, and business levels because there is a race to decentralize everything and give power to the edge of the networks. So, let’s get ready to understand these concepts.
...
The graph and table below illustrate these classifications, and I will narrate them, sequentially.
Source: Courtesy of William Mougayar
The currency-related segment targets money transfers, payments, tips, or funding applications. The end-user typically goes to an exchange or uses their own wallet to conduct such transactions, benefiting from transaction cost reductions, speeds in settlements, and freedom from central intermediaries. Today’s exchanges are centralized, but it’s likely we’ll see another generation of decentralized trusted exchanges. And although the current bitcoin wallets today are “dumb” wallets, they could become smarter, via an ability to launch smart contracts.
...