The biggest concern regarding the blockchain is the security aspect, although this is also the technology’s biggest strength. Blockchain offers a framework which has built-in security features. Data in the blockchain is secured through cryptography, consensus, and decentralization.
What is Blockchain Security?
In most blockchains, data is structured in blocks and every block stands for a group of transactions. Each block is also connected to the last one in a chain so that it cannot be tampered with. All transactions must be validated by miners and agreed upon through a consensus model.
The blockchain is also decentralized because of participation of miners across a globally-distributed network. There is no one point-of-failure as no user can unilaterally change transaction records. But security can be different according to blockchain type.
Blockchain networks may differ according to participants and who enjoys access to data. So, networks can be public or private. This tells you who the participants are, who have permission, and how they can get access to it.
Public blockchains will allow everyone to join and participants remain anonymous. It uses internet-connected nodes for validating transactions and achieving consensus. The Bitcoin is a public blockchain which gets consensus through mining. All computers on the Bitcoin blockchain are “miners” trying to solve complex cryptographic puzzles.
Private Blockchains will use identity to confirm participation or access to privileges. They only allow known organizations to take part in the network. The organizations have a “business network” comprising of private members only. It is also a permissioned network which achieves consensus through “selective endorsement”. This network requires access and identity controls. Private networks can be controlled tightly and preferred for regulatory reasons.
Security of the blockchain can be compromised because of code exploitation. For example, DAO, a VC fund, was robbed of $60 million when it used a decentralized blockchain because of code exploitation. Again, almost $73 million worth of BTC was stolen from Bitfinex, a Hong Kong-based exchange. Bithumb, a reputed exchange, was hacked recently when hackers stole $870,000 worth of BTC. Hackers will use phishing, routing, 51% attacks, and Sybil attacks to hack.
World Blockchain Summit: To be held on 13th October at Dubai, this will connect governments, regional businesses, tech entrepreneurs, blockchain developers, and investors.
Empire Fintech Conference: This conference will be held at New York on 19th October, to discuss future trends of startups and fintech.
ELEV8CON, Las Vegas is the premier conference on DLT, blockchain, digital assets, and investment strategies.
Money20/20 USA is the world’s biggest financial services summit.
Crypto Valley Conference at Rotkreuz, Switzerland, will bring researchers, developers, lawyers, CEOs, and government officials to discuss blockchain’s future.
Web Summit Lisbon 2021 at Lisbon will gather industry leaders for discussing future of commerce and finance.
LA Blockchain Week in November, 2021 to be held at LA is the leading summit on blockchain investments and mainstream adoption. And also provides insights into how to buy ripple safely which is the 7th largest cryptocurrency in the market for making global payments.
ConV2X 2021 is a virtual conference for bringing together digital health and tech to build a new healthcare system.
D4A Democracy4All at Barcelona is for discussing blockchain technology as a tool to get good governance.
AIBC Summit Europe to be held at Malta in November is for bringing thousands of investors in AI, blockchain, fintech, Big Data, and IoT.
Blockchain Expo Europe at Netherlands is for looking at impact of blockchain on growth of key industry verticals.
Decentralized 2021 will focus on political and business implications of the blockchain.
Digital Asset Summit 2021 at London is a crypto-focused conference for fintech and asset-management professionals.