For the first time in history, an immutable, decentralized ledger exists on a global scale, eliminating the need for middlemen, complex auditing systems, and long settlement times. Open (permissionless) protocols mean settlements no longer depend on connecting fragmented legacy systems. Additionally, because the ledger is append-only (existing records are immutable), it provides a high degree of accountability, with blockchain timestamping built-in.
The most commonly used methods for ensuring consensus on a blockchain are Proof of Work and Proof of Stake. They ensure truthful consensus by making the costs of manipulating the network greater than the pro t to be made from such deceitful transactions. For example, on the Bitcoin blockchain, the cost of censoring new transactions at the time of this writing would be billions of dollars. Few entities have the capability to pull o such an attack, and as the network grows, the cost of attacks increases, making them increasingly improbable.
The most popular blockchains are decentralized. Transactions are algorith- mic and the security of the network is maintained by thousands of indepen- dent nodes. Block-chain systems eliminate the need to trust the operators of a centralized system. Without a single source of truth to lobby, blackmail, or bribe, the decentralized model greatly reduces the chance of regulatory cap- ture. Blockchain technology opens the possibility of more transparent markets that are less susceptible to the control of nancial oligopolies operating within a regulatory environment they have helped create. Long live HIVE and BLOK. GLTA