What Are The Types Of Blockchain?

Blockchain is a technique for storing data that makes it difficult or impossible for outside parties to alter, hack, or manipulate the system. A distributed ledger, or blockchain, is a network of computers that replicates and disperses transactions between themselves. In this blog, we have discussed the types of blockchains; to know more, join Blockchain Training In Chennai offered by FITA Academy. 

Blockchain technology is a framework that uses many databases, referred to as the “chain,” connected by peer-to-peer nodes, to store public transactional records or blocks. This type of storage is commonly known as a “digital ledger.”

1)Private Blockchain Networks

Private blockchains are typically effective for private companies and organisations operating on closed networks. Private blockchains allow businesses to tailor network characteristics, accessibility and permission choices, and other critical security features. A single authority manages networks using private blockchains.

2)Public Blockchain Networks

Public blockchains are the source of Bitcoin and other cryptocurrencies, and they also contributed to the rise in popularity of distributed ledger technology (DLT). Additionally, public blockchains aid in the removal of some obstacles and problems, including centralisation and security holes. DLT distributes data throughout a peer-to-peer network instead of storing it in a single place. Information authenticity is confirmed via a consensus process; two popular consensus techniques are proof of stake (PoS) and proof of work (PoW). 

3)Permissioned Blockchain Networks

Permissioned blockchain networks, often called hybrid blockchains, are private blockchains that grant specific access to individuals who have been granted authorisation. Organisations usually set up these kinds of blockchains to combine the best features of both worlds, and they allow for better organisation when deciding who can join the network and in which transactions.

4)Consortium Blockchains

Consortium blockchains are similar to permissioned blockchains, consisting of public and private components. The difference is that several organisations manage a single consortium blockchain network. These blockchains can provide superior security once they operate, although they can be more challenging to set up initially. Consortium blockchains are also the best option for working with several organisations simultaneously.

5)Hybrid Blockchain

Combining public and private blockchains results in hybrid blockchains. A hybrid blockchain has transparent and private sections visible to the public and only available to particular, approved individuals. Hybrid blockchains are, therefore, perfect for usage in situations where privacy and openness must be balanced. For instance, confidential information can be kept private in supply chain management while allowing numerous parties to access particular information.

Thus, the different types of blockchains are Private blockchain networks, Public blockchain networks, permissioned blockchain networks, Consortium blockchains and Hybrid blockchains. Enrolling in the Best Training Institute In Chennai can give you the skills and knowledge to excel in this technology.