Blockchain is set to change the future. That is why it is logically one of Topsector ICT’s key enabling technologies. It is also why so many other sectors of the economy, including Top Sectors, use it to help with their innovations – innovations that are needed to boost economic growth and make the Netherlands more competitive, but also to overcome a range of important societal challenges such as the energy transition, healthcare problems and climate change.
Fake news, data breaches, stagnating flows of goods: more and more, digital systems are becoming critical systems. These complex systems need to be reliable but also flexible, verifiable and universally accessible. To achieve this, systems need to be decentralised, and this is where blockchain can play an important role.
What is blockchain?
In simple terms, blockchain is a new type of database: one that keeps records of transactions. A blockchain is made up of small blocks of information with digital signatures of all the parties involved – without any intervention from outside. The information is always stored in encrypted form, using cryptography, and spread across a computer network with multiple “nodes”, as they are called. Every block contains information about the previous block, and this creates a long chain of information that is impossible to hack. All the instructions in the database are automatically copied onto all the computers, for added security in the event of a hack or power outage. Another feature is that it is impossible for anyone, acting by themselves, to store or modify any information in the database. This prevents anyone from doing any harm. Besides being secure, blockchain also encourages cooperation. The technology is transparent and it creates smart and efficient processes – potentially leading to lower costs.