Serving as the entertainment editor of VR Today magazine, Paul Trowe uses his experience as a video game developer to ensure the fairness of editorial content. Paul Trowe maintains a professional interest in several computing trends, including much-discussed blockchains.
The concept of blockchains is simple and radical: a single, open-source accounting system that is shared by all users. It records every bitcoin transaction in individual blocks that cannot be deleted or altered. The system downloads this immense record to every connected computer, bypassing traditional technology that restricts access to financial information to centralized institutions.
Each block is encrypted, preventing tampering by outside parties. The system is transparent - users can look at any transaction.
Blockchaining has some hurdles to overcome before it gains wider acceptance. New blocks appear every ten minutes, adding to a huge database that is difficult to manage and store. Processing a transaction can take up to 30 minutes, and universally accepted software to access blockchains has yet to appear. Perhaps more importantly, consumers often have difficulty understanding the novelty of blockchains.
Questions of permissions have yet to be addressed. Who maintains blockchains, and as they grow, who will qualify new users? How will managers ensure the accuracy of the information in each block, and which persons will be able to see that information?
Still, the future has great potential, as financial institutions investigate the advantages of blockchains and look toward building blockchains of their own.
