Ways Blockchain Is Being Used In Software Development

As blockchain technology continues evolving, we’re seeing how it penetrates different business areas and industries and completely revolutionizes them. Undoubtedly, this technology is proving to be a disruptive and powerful solution that goes beyond the crypto world. As the number of blockchain use cases continues growing, let’s take a look at how it impacted software development and what are organizations in this industry using blockchain technology for.

Cryptocurrency Software

Nowadays, we have various cryptocurrencies with different protocols, but the blockchain is the technology that supports all of them. The data carried in the blockchain is a ledger of crypto coin transactions. For instance, one line in the blockchain might proclaim that one person sent 100 Bitcoins to another person. Each of these lines is verified with PK and SK, digital signatures of blockchain. These signatures will change depending on the data and are one-way computed.

Blockchain technology solved the issue of double-spending, a situation occurring when someone makes a copy of a digital currency and then goes and spends it twice. Due to blockchain, the second transaction that aims to be done through the same method would be rejected as that particular crypto coin is already recorded on the chain. This facilitated the use of cryptocurrencies for many users who were seeking a solution to cases of potential fraud. This is where custom software programmers are helping to improve blockchain technology to avoid any negative consequences.

Smart Contracts

Smart contracts allow for the contract to be automatically executed once the input demands from two or more parties are met. A smart contract is written in code, enabling parties in the contract to eliminate the need for an intermediary as the contract is self-executing. Once a smart contract is placed on the blockchain, it cannot be changed. If there is a need to change a contract, it will be stored as a separated version of the contract, meaning the original version cannot be altered.

This is a more cost-effective solution that serves many individuals and organizations looking to replace traditional contracts with a more modern, accurate, secure, and affordable option. Smart contracts can be utilized across all industries and contexts and those seeking to implement them will either need to have advanced development skills or reach out to a professional who will create the contract for them.

Decentralized Apps

Decentralized apps, also known as distributed or DApps, are applications running on a decentralized network. When compared to traditional web apps, DApps don’t run on a centralized server. Instead, they are distributed on a network of peer-to-peer (P2P) computers. The similarity between these two app types is that their front-end code and user interfaces can be written in almost any code.

The first blockchain platform that started using DApps was Ethereum, and most of such apps are still concentrated there. Because of its smart contract support, Ethereum enables developers to program and run apps that are autonomous and immutable on the virtual machine (EVM).

MVP Development

Blockchain MVP development refers to the process of developing the most efficient version of a blockchain application but with minimum functionality. If you’re wondering ‘What is MVP?’, the acronym stands for a minimum viable product, a basic application or website version that is ready enough to be launched. This concept helps companies establish their virtual representation quickly and make improvements aligned with user feedback.
Usually, an MVP blockchain development will follow the proof of concept blockchain development.

The proof of concept is a verification process that questions whether the idea has the potential in the real world or not. It is often used by companies when launching new products and services and requires extensive development skills to be done successfully.

In Final Words

Although these are the most common scenarios for the application of blockchain technology, there are new ones arising as the technology keeps evolving. Blockchain technology has converted into an answer to many problems organizations across different industries have been facing for years or even decades. It will be interesting to see how blockchain developers evolve their set of skills and bring new solutions to the table, completely changing the landscape of this community.