Blockchain is getting busy in the future. Many companies have shown interested in investing in Blockchain. There are many reasons behind the investors to invest. It may be easy to handle the cryptocurrency than the database. The market of cryptocurrency is gonna hit the transaction value. It follows incentive models to maintain the network in control.
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Blockchain Vs Traditional Database
A traditional database is getting old to maintain the data with a wide variety of features. It may have pros but as the future is dependent upon the time, thus the blockchain gets hype into the market. Most of them get confused between the term cryptocurrency and blockchain.
Blockchain is a type of block that is used to distribute the cryptocurrency under a network, where cryptocurrency is said to be a digital currency. Thus the blocks are easy to maintain the data than the traditional method called database. Thus I have listed out the difference between the traditional database and the blockchain.
It’s Easy to Control
When you compare the mechanism of database and blockchain, you might notice the difficulties of handling the system. The database follows a CRUD system that allows it to create, read, update, and delete. Blockchain carries a function to just insert the data. It makes the operation simple than the database. The required operation to maintain the data follow data that is a cryptocurrency, where the database doesn’t follow the chain to secure the network so that it can’t easily control data flow with the time.
Each block can control easily by its flow when it crosses via the cloud. The cloud technology creates data usage with more efficient usage than the database. Multiple databases are difficult to control whereas multi-data in a blockchain can easily control. Each data can be operated easily than the traditional database as it doesn’t allow the user to access the information when it is required.
The network plays a Vital Role
Blockchain carries out the data via the network which has been designed to maintain its security level against the hackers but the database follows the centralized method to secure the data. It may be easy to get track the information of data as it is in the same location. The decentralized method of blockchain allows the system to be secure more than the database method. Each block has been designed with a complex network.
The network follows the user data by the user-id which is created for the respective users, through which the user can easily control their data but the traditional database doesn’t have this type of feature. Due to its unavailability of the network system as blockchain, the database cannot sync with the image of blockchain.
Each node of the network has been crucially patronized by the engineers to restrict the hackers from the system of the database as it follows the centralized pattern. The blockchain consist of following tokens which is responsible for the network operation.
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Currency tokens
This token is an important player in the blockchain. It classified as currencies, which can describe the mean into payment for goods and services as an external service for the blockchain platform to run the token.
Let me explain you with an example, the mechanism of blockchain is about cryptocurrency as a bitcoin which replaces the currency into digital money. Where bitcoin holders can able to buy and sell the product and services from the shops, online retailers, and other merchants.
Utility tokens
This token is for the investors who were investing in terms of cryptocurrency as their digital assets. You can access in terms of the name as product or any kind of service. For example, the cryptocurrency holder can exchange the digital currency with their native cryptocurrencies for customers to reduce the trading price.
The major difference between the currency and the utility token is access to the function with a cryptocurrency issuer. The holder can access the trading price to get reduced by using the token. Tokens are majorly developed by EOS and Ethereum. These are said to be the utility tokens. Each token can be used on a single platform. It is said to be the decentralized app (dApp).
Investment/asset tokens
It is one of the important token classified as complicated. This token requires an important security-wise. These tokens are said to be the assets that play a vital role in the investment. These assets are distributed by the company itself that has created.
Auditable History
By using the blockchain, it is possible to track the history of transfer by the holder with certain limits but the database can make this kind of activity. Thus it will be more beneficial in terms of auditing history when any hacking kind of activity is taking place. Although the tracking is complicated in the blockchain the holder can avoid the tracking threats.
Cost It Requires
The cost of maintaining the blockchain is higher than the database. This is due to the maintenance of the digital currency through the network. Thus it is important to maintain the network with the higher priority of secure.
Whereas the database requires few possibilities to be secured as it is decentralized. Thus as many nodes are there in-network, it will be more secure to eliminate the hackers to track. The cost might be affecting the supply and demand when it comes to the largest sector of products and services.
Conclusion
The database is known for secure in the past but when it comes to future the blockchain gets hype in the market. Each process of blockchain is dependent upon the block which can share the currency using the smart contacts. Each node of the network is well constructed with its property. The design cannot allow the invader to interpret the blocks.
It has been maintained by a strong chain of networks. As I mentioned above the future of blockchain developers is getting raise and the demand will increase gradually. I hope the above content might give you information about the difference between the blockchain and the database.
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