- Hashed Out
- Posts
- Hashed Out Vol.2: The Blockchain 101 Edition
Hashed Out Vol.2: The Blockchain 101 Edition
A deeper dive into blockchain
Scott Kasten
March 20, 2024
Hashed Out V2: The Blockchain 101 Edition
Welcome to the second issue of Hashed Out, a bimonthly newsletter from Argot (www.argotagency.io) that serves as a guide for those looking to learn the basics of the web3 space. In time, our vision is to create a forum where web3 enthusiasts and newcomers can come together to explore the new digital world. Hashed Out seeks to provide you with all the resources and insights you need to go from web3 virgin to web3 virtuoso.
As the sherpa for your expedition into the new digital great beyond, we promise to make the complicated feel simpler, connect you to the most important data and resources from the builders, researchers, and creators that are shaping web3, and respond to your needs as we grow together.
In This Issue- Table of Contents
Ok Hashers, are you ready to get started learning blockchain? I know I am! Let’s go!
Blockchain 101: The Engine of Web3
Estimated Read Time: 15 minutes
Introduction
As the internet moves into its next phase, known as Web 3, one technology stands out for its revolutionary impact: blockchain. Imagine a world where digital information is carved into virtual stone, immutable, and shared across a network of computers, democratizing access and control. That's blockchain for you! At its core, blockchain is a distributed ledger technology, a novel method for recording transactions and tracking assets in a network. Its brilliance lies in its ability to maintain a secure and decentralized record of transactions, offering a new paradigm of trust and transparency in digital interactions. This technology is not just a foundation; it's the backbone of Web3, which promises an internet rebuilt on principles of openness, user sovereignty, and decentralization.
The blockchain’s genesis story is almost as fascinating as its potential. Bitcoin debuted in 2009 as the underlying technology of Bitcoin, which was conceptualized by a person (or group) under the pseudonym Satoshi Nakamoto. Although initially devised to support Bitcoin, blockchain quickly transcended its first use case. What began as the backbone of cryptocurrency has morphed into a versatile platform for a range of applications far beyond just financial transactions. Today, blockchain technology is the foundation upon which diverse sectors, including healthcare, supply chain management, digital identity verification, and even voting systems, are building more transparent, efficient, and secure systems. This evolution from a novel currency initiative to a cornerstone of digital innovation showcases blockchain's remarkable adaptability and its transformative potential across various industries.
So let’s dive deeper into blockchain technology, exploring its key features, types, applications, and what the future for blockchain might be. Whether you're a crypto enthusiast or a newcomer eager to understand the blockchain buzz, this journey is sure to illuminate the profound impact of blockchain on our digital world.
Case Study: De Beers & Blockchain in the Diamond Industry
Estimated Read Time: 4 Minutes
Introduction
This week our case study looks at De Beers and how the diamond industry giant is using blockchain to verify the ethical sourcing of their diamonds in order to combat the blood diamond market.
Editorial: Why Blockchain Matters More Than Ever
Estimated Read Time: 7 minutes
Introduction
I think that it has become increasingly clear that we have entered into the transition towards a new era where digital innovation will transform the fabric of our daily lives on a scale on par with the two major industrial revolutions and perhaps eventually even the printing press. While the poster child for this shift has had many faces of the moment, currently in the form of artificial intelligence (AI), the emergence of blockchain technology stands out as a beacon of potential for a more secure, transparent, and equitable digital future.
At its core, blockchain offers a decentralized platform that challenges the traditional centralized systems which have dominated our economic, social, and political landscapes. While media darlings like crypto, NFTs, and now A.I., get the spotlight they are the fun toys we get to play with. They are the equivalents of the light bulb, the telephone, or the Ford Model T of the 2nd Industrial Revolution. Blockchain on the other hand is the equivalent to the new electric and communications grid, or the assembly line, it is the infrastructure that was required for the toys to work. This editorial explores the transformative potential of blockchain technology and its increasingly crucial role in shaping a trust-based digital society.
Connections- Curated Links for the Curious
Understanding Smart Contracts
Ethereum.org provides a foundational introduction to smart contracts, likening them to a digital vending machine for ease of understanding.
IBM offers insights into how smart contracts work, emphasizing their benefits such as speed, efficiency, accuracy, trust, transparency, and security.
Bunzz covers the technologies behind smart contracts, detailing Ethereum's ecosystem and standards like ERC-20 and ERC-721, among others, and provides a guide to building smart contracts.
The Evolution of Blockchain Technology
Investopedia traces blockchain's history from its inception with Bitcoin to its current status as the underlying technology of a new generation of internet applications.
Shiksha Online provides a history of blockchain from 1991 to 2024.
Harvard Business Review offers an analysis of blockchain's potential impact on the economy and how it could change the way we live and work. Harvard Business Review: The Truth About Blockchain. (Note: This article is a bit dated, but HBR is always good)
Blockchain and Security
Norton explains the security mechanisms of blockchain, including its use of encryption and consensus models to prevent fraud Norton: How Does Blockchain Work?.
Tech Target provides a comprehensive look at blockchain security, covering potential vulnerabilities and how they are addressed.
The Environmental Impact of Blockchain
Nature Communications presents a study on the environmental impact of Bitcoin mining, highlighting the need for sustainable solutions.
The Conversation discusses the shift from proof of work to proof of stake and its implications for blockchain's environmental impact.
Blockchain in Different Industries
Forbes explores blockchain applications in 15 industries that could benefit from blockchain technology.
Stanford University provides an assessment of blockchain use cases.
Future Trends in Blockchain
Elliptic provides the top five regulatory trends for 2024.
Techopedia forecasts the top blockchain trends for 2024.
Did you miss out on the first issue of Hashed Out? See it here!
The News Drop- Web3 News You Can Use!
The Wrap
For those requiring a TLDR or just want a fast recap here it is:
Introduction to Blockchain:
Blockchain is a distributed ledger technology crucial for secure, decentralized record-keeping.
It serves as the backbone of Web3, emphasizing openness, user sovereignty, and decentralization. Originated with Bitcoin, blockchain's applications have expanded well beyond cryptocurrency.
Understanding Blockchain Technology:
Blockchain is a digital ledger spread across numerous computers, validating the accuracy of each entry. This setup ensures no single control point, promoting a transparent and secure environment.
How Blockchain Works:
Blockchain functionality is broken down into blocks, cryptography, and consensus mechanisms.
Transactions are grouped in blocks, secured by cryptography, and added to the chain through mining or other consensus mechanisms.
Key Features of Blockchain:
Decentralization: Eliminates single points of control, distributing power across the network.
Transparency: Transactions are visible to all network participants, enhancing trust.
Immutability: Once recorded, data cannot be altered, ensuring transaction integrity.
Consensus Mechanisms: Vital for transaction validation and network agreement without central authority.
Types of Blockchains:
Public Blockchains: Open, permissionless systems exemplified by Bitcoin and Ethereum.
Private Blockchains: Restricted access, often controlled by a single organization for specific applications.
Consortium Blockchains: Governed by a group of organizations, blending elements of private and public blockchains.
Hybrid Blockchains: Combine features of public and private blockchains for tailored access and privacy control.
Blockchain Use Cases
Beyond cryptocurrencies, applications include smart contracts, supply chain management, voting systems, and identity verification.
The Future of Blockchain:
Potential integration with AI, IoT, and quantum computing could unlock new efficiencies and models.
Challenges include scalability and regulatory issues, with ongoing efforts towards solutions like Layer 2 protocols and international regulatory frameworks.
The evolution of blockchain technology continues to promise significant social and economic changes, aiming for a future defined by trust, transparency, and inclusivity.
A Look Ahead
Ok, it’s about time to roll the credits! Where do we go from here? Cryptocurrencies 101! In our next edition we will be covering the basics of cryptocurrencies, Bitcoin, Ethereum, and other coins as well as the concept of digital money and how to buy, store, and use crypto.
Also coming soon is the release of The Weekly Hash, which is our weekly curation-based news and resources update to keep you on top of the fast moving world of web3.
One last call, if you haven’t already hit the subscribe button below to stay in the know. We have a lot of great stuff ready to be released and we would love for you to join our community and grow with us.
Already subscribed? Share with a friend!
I hope that you enjoyed this edition of Hashed Out. There is much more to come and your feedback is invaluable to how we will grow. If you have questions or comments drop us a line.
Ok Hashers, that’s The Wrap. Many thanks!
(Cue awesome exit music of your choice)
Dr. Scott
