Despite being a technology in its early stages, blockchain holds the potential to offer solutions to numerous challenges we encounter in our contemporary, interconnected world. So today, we are going to talk about the blockchain with a special emphasis on Ethereum which is currently the most popular blockchain in use. NOTE: This will provide you with a broad overview of blockchain technology; we won't delve into the intricate details in this post. For a deeper understanding, feel free to explore this article.

Blockchain: a brief explanation

According to the above-linked article:

A blockchain is a highly secure and reliable network that records data in a distributed ledger that is not controlled by a central authority.

In a nutshell, the blockchain is essentially a technology that makes use of techniques like cryptography and mathematical calculations along with code to automatically validate transactions carried out on it without the need for a middleman or any other form of a central authority to be involved. As a consequence of its design, the blockchain possesses a set of unique advantages that facilitate trust among participating parties. Foremost among these advantages are decentralization, enhanced security, data integrity, transparency, and reliability. etc. In a way, you can see the blockchain as the technology which will return power to the people.

But how can it work without middlemen? Is that possible? And if so, is it optimal? To answer these questions you may have, let's consider an example in the realm of payments. Imagine you're a parent looking to transfer funds to your beloved child. Completing this task through a widely used online payment gateway (such as Flutterwave) would generally entail the following simplified steps:

• You specify an amount to send to your child

• The gateway sends a request to your bank to initiate the transfer

• Your bank confirms the availability of funds for the transfer, sending a response to the gateway

• The gateway then communicates with your child's bank to validate his/her details

• The gateway's bank work in tandem with your bank to send the amount stipulated to your child's bank

• Your ward's bank receives the money, credits his/her account sending confirmation to the gateway.

• You and your child are then notified of the transaction's completion

Throughout this process, we find ourselves relying on precisely three intermediaries: your bank, the payment gateway, and your child's bank. Any of these entities could encounter failures at any stage, leading to potential setbacks. Moreover, their involvement might expose our data to potential misuse driven by conflicting business agendas, without seeking our prior consent. This constitutes the existing process. Below, you'll find a comparable process utilizing the blockchain instead:

• You specify the amount to send to your child

• Your wallet creates a digital transaction containing the details you specified and signs the same using your private key.

• Your transaction is broadcast to the entire network.

• Miners (People who maintain the network) compete globally for the chance to validate your transaction.

• A miner successfully validates your transaction and adds it to a new block.

• other nodes validate the new block using a consensus mechanism.

• Once added to the network, your child's wallet receives the confirmation and the funds are now in his/her wallet.

As evident from the illustration above, leveraging the blockchain eliminates the necessity for any intermediaries, rendering the system less susceptible to breakdowns and enhancing the security of your data. This aligns with your desire for increased security, doesn't it?

Blockchain generations at a glance

Generation 1: Bitcoin

Created by the mysterious person (or group) going by the pseudonym Satoshi Nakamoto, Bitcoin would be the first successful application of the technology that would come to be known as the Blockchain. The primary objective of Bitcoin is to establish a digital currency that operates autonomously, free from control by central governments and traditional financial institutions.

A major drawback of first-generation (Gen 1) blockchains is that they were entirely application-specific and could not be fully reprogrammed for use in other applications. To read more about Bitcoin, check out this article.

Generation 2: Ethereum

During the second generation (Gen 2) of blockchain development, the focus shifted towards crafting blockchain technologies that could be customized and programmed to suit a wide array of specific user applications. This led to the creation of the Ethereum platform and the introduction of Smart Contracts which are bits of code that carry out specified operations on the blockchain when certain preconditions are met. These advancements resulted in the utilization of blockchain across industries beyond its initial financial origins. To read more about the Ethereum platform, check out this article.

Generation 3: Where We Are Now

In the third generation (Gen 3), the quantity of blockchain technologies and platforms has notably expanded, with newcomers like Polygon and Solana entering the scene in 2017 and 2020, respectively. Additionally, the spectrum of applications for this technology has grown more diverse. It's accurate to state that this generation's emphasis has primarily been on cultivating the non-financial use cases of blockchain technology.

So, How Do I Start?

If you've followed the earlier sections and find yourself intrigued about entering the blockchain/web3 field as a developer, you're in luck. Embarking on a journey to understand the blockchain involves delving into a few key areas:

• A foundational grasp of object-oriented programming and familiarity with web2 technologies such as HTML, CSS, and JavaScript are essential starting points.

• Learn a lot of Solidity. Here's a tutorial on that.

• Being open to enrolling in programs that broaden your understanding is crucial. Here are some programs, courses, and resources that I currently find valuable and utilize:

  • Ayaversity: click here

  • Web3 University: click here

And with that, you should now possess fundamental insights into what the blockchain is, its evolutionary stages, and the actionable steps you can take to become a blockchain developer. If you found this article valuable, I invite you to join my newsletter. I share intriguing content like this every Saturday. Thank you for reading. Till the next time.

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