All technology is evolving faster, and most people are working to make the technologies get better with time. Robots, flying cars, and the latest gadgets simplify one’s daily tasks; everything is technology related nowadays. If one wants to improve one’s way of life, that person must know the technology, its features, its functioning, and its pros and cons. Just like all of these aspects, people want to secure their money, make smooth transactions, keep all of its track, and easily access their money’s data. For this purpose, many countries are focusing on the digital side to fulfill the demand of their people. Due to this, many people are attracted to the blockchain.
When one talks about safe, secure, smooth transactions with all the manageable and recorded data, which can easily be trustable, then only one word comes to mind: Blockchain. It is a fantastic network of people where one can confirm the details of all their transactions directly without asking a centralized body or taking any other authority’s help or advice. One of the secure sites for digital transactions operations is the official site. Its functioning is super easy and can be understood effortlessly. That’s one of the fundamental reasons why most business people, industrialists, and other financial bodies are captivated by the charms of blockchain. All of the data (information) is assembled into groupings that are termed blocks in the blockchain. There are three types of blockchains, and the most common type is a public blockchain.
A public blockchain is one of the most popular and famous types of blockchain where new participants are welcome anytime. It does not consist of any hard and fast rules. Neither any single authority can not decide on behalf of the participants, nor can that person enforce any rules on all the participants. Anyone can be a part of the transactions In a public blockchain. A single person cannot decide how a particular blockchain evolution should occur. All the participants have equal rights to audit, write or read the ongoing activities within a public blockchain. This makes the public chain decentralized and autonomous.
A digital currency or digital coin is assigned to every participant to protect the public blockchain and keep it from being collapsed. Hence, they behave reasonably without taking undue advantage. This helps the public blockchain to run smoothly.
The most common examples of Public blockchain include the following:
Let’s see the functioning of Bitcoin as an example, as it is the most common example of Blockchain. It is widely used as a digital currency throughout the world. The more profitable and costly a bitcoin gets, the more fairly the participants have to behave. This will prevent losses, and there will be more gains and profits as the participants won’t be able to exploit it. Thus, it will result in a more safe and more secure Blockchain.
There are many advantages of a public blockchain. These are listed below:
Due to the incentives set by the cryptocurrency, public blockchains are safe and secure. These are fraud-free, and can easily track all the details of their transactions.
Due to the higher number of blocks in a public blockchain, it is almost next to impossible for hackers to invade this public network’s privacy and details, making public blockchain highly protected and accessible.
Each participant gets an updated copy after every transaction, which minimizes the chances of any kind of fake transactions or fraudulent copies. At the same time, keeping the details transparent for all the participants of a public blockchain.
There are several disadvantages of public blockchains. These are as follows:
The speed of transactions is a bit slow in the public blockchain due to the higher number of blocks that focus on the security of the transaction data.
The energy consumption rate is relatively high because it requires the hardware components to run faster with some unique algorithms to prove the working of transactions.
One of the significant drawbacks of a public blockchain is there is no complete privacy. Every participant can open the details of every transaction by any participant and their address with other essential details.