What is Block chain technology?

• If any organization want information to be shared between the employees, they use database which store information , few employees has the rights to view, edit , delete information , few employees has the only rights to view . Even classified information stored in such a way that it can not be deleted or edited . The risk is if the central server which stores the data got corrupted or damaged then all information will get lost .

• Blockchain is a specific type of database. It differs from a typical database in the way it stores information; blockchains store data in blocks that are then chained together. 

• As new data comes in it is entered into a fresh block. Once the block is filled with data it is chained onto the previous block, which makes the data chained together in chronological order.

• Different types of information can be stored on a blockchain, but the most common use so far has been as a ledger for transactions.

• In Bitcoin’s case, blockchain is used in a decentralized way so that no single person or group has control—rather, all users collectively retain control.

Example 1:

• Currently India has 140 crore people . Government decide to adopt block chain.The structure will be like this.

• Every individual has :

1. Personal profile –This covers his birthplace permanent address, his parent's information, gender, date of birth.

2. Education profile : school ,collage and all education record

3. Professional or occupational profile

4. Financial profile – investments ,liquid cash, property records, insurance, vehicle

5. Health profile- each time he or she visit hospital his health block will be generated.

6. Biometric profile : available in Aadhar like fingerprint , facial recognition.

All the above 6 together is ONE SET OF INFORMATION CREATED INITIALLY with a crypto key.

The most important point is these information’s will be shared with LAND REVENUE , FINACIAL INSTITUTION, SCHOOLS , COLLAGE , HOSPITAL , COURT OF LAW AND ALL DEPARTMENTS NETWORK COMPUTERS.

Network computers VERIFY IT WITHOUT EDITIING then one block created.

Say the persons health, financial profile changing frequently all those change transactions will get recorded and CHAINED to the INTIAL CREATED BLOCK without editing it. The person who will add these information's are crypto miners.

Example 2:

Say I open a Paddy to Rice processing unit of maximum per day capacity 100 kilo paddy. I fixed a price to process paddy to rice not interims of money rather in terms of rice for each kilo paddy I will process I will charge 50-gram rice . Also, I will pay my workers salary in rice. I will meet all other expenses like electricity, machine repair, rent etc by giving them rice. If any one refuse I will sale rice and pay in currency, however I will try maximum not to pay in currency.

Business Flow 1: End of day some one come to me to process 1 kilo of paddy when my daily working capacity is exhausted. I can convince him to buy the stored processed rice which is with me instead of processing his paddy. In return I will keep the paddy from him and give him the equivalent rice after deducting milling cost Rice.

Business Flow 2: since I have created buffer paddy raw material for me day following this deal my per day capacity reduce to 99 kilo and I will charge 55 grams of rice on exchange of milling the 1000 grams of paddy.

Business Flow 3: As the demand grows one day will come when people will come to me to process their paddy, but they will find it is attractive to exchange the paddy with rice rather processing it . Same time if I fall short meeting the exchange demand I can redirect my customers to take from my employees, service providers whom I am paying rice for their service.

End result my employees , suppliers , customer all will have a quantitative Bargen to gain from their deal without going through the main currency network.

Total milling capacity is no of maximum NODES which will not increase, RICE the finished good is the mode of exchange is the CRYPTO CURRENCY. Raw material PADDY is the project , I as a business entity Is the BLOCK CHAIN which has customers, employees, suppliers as member of block.