Your life is bombarded by news reports, colleagues, and friends talking about how blockchain technology is changing the world. But while many talk about blockchain, very few truly understand what it is and why it will revolutionize practically every industry imaginable. Thankfully, by the end of this article, you will be one of the few who understands this traditional “tech buzz word.”
I can throw technical terms at you to describe how blockchain functions, including Markle trees, distributed ledgers, and cryptographic hashes. However, for simplicity’s sake, I will use a simple analogy to help individuals who are not well-versed in computer science understand blockchain and realize its significance.
Imagine that you are a congressman in government who is involved in creating and passing laws. Whenever any single congressman would like to pass a new bill, it must be voted on by every other congressman in order to make it official. Additionally, whenever a new bill is passed, every congressman is alerted and given a list of the new bills that are passed.
Now, why is this important? If a congressman wanted to pass a bill himself, he couldn’t. If he added a new law to his own copy of the bills, then it would not be valid; everyone else would have a correct copy of successfully passed bills which would contradict the congressman’s altered version.