With Bitcoin making news all over the world, India is also exploring ways of adopting Blockchain Technology for its own good. The testimonial to this was during Covid-19 lockdown, there was a surge of opening the highest Demat account in the capital market.
This shows that both beginners and professionals were opting to learn a new skill for profitability and investment. Also, India’s increasing engagement on digitization has widened the scope of Blockchain in India.
In the wake of demonetization in 2019, the Indian economy is already experiencing a paradigm shift which is from cash to cashless. Indian citizens have already ventured around reliable and transparent mechanisms like UPI, Paytm, and Google Pay.
Going by the reports of Indeed’s data, there is a huge demand for blockchain technology as well as blockchain associated jobs in India, especially the Southern Part of India.
Bengaluru, being the tech hub of India, is leading in providing Blockchain dominated jobs to skillful employees. It accounts for close to 36% of all job posts related to Blockchain technology in India.
It is closely followed by Pune, Chennai, Hyderabad, and Mumbai. Although the above mentioned top five job destinations are for Blockchain technology in India.
What is Blockchain?
It is fundamentally a decentralized database that tends to store online transactions while maintaining security services like confidentiality, transparency, integrity, and anonymity, etc.
Blockchain usually consists of a block number, timestamp, nonce, along with the cryptographic hash of the previous block and transaction information.
A few of the popular blockchain platforms used for developing enterprise applications include Ethereum, Hyperledger, Bitcoin, Hydrachain, IBM Blockchain, ByChainDB, etc.
Role of Such Technology
Distributed Ledger Technologies(DLT), as well as blockchains, are presently the fast-paced evolving technologies having huge potential in different sectors.
There are several bitcoin exchanges in India dealing with cryptocurrency trading. Bitcoin now has spread its dominance into the mainstream applications beyond just being a technical innovation.
Today, this technology has been delivering growth in sectors like supply chain, finance, asset ownership, identity management, healthcare and many more.
Advantages of Blockchain Technology
- Such technology will allow smart devices for speaking to each other better and hassle-free.
- Blockchain is all about ensuring the highest degree of accountability which solves a great degree of manipulation.
- The data is customer-specific maintaining the online identity and reputation of its users.
- Cryptocurrencies will allow the removal of illegal intermediaries involved in the transfer of assets.
- The data entered in the blockchain are based on an immediate system that can help in preventing as well as money laundering activities.
Challenges of Blockchain Technology
- Verifying all the transactions is a mammoth task that requires a huge amount of electricity.
- There needs to be security about the private key wing as well. Also, the private key wing must maintain confidentiality while revealing information to third parties.
- It is also essential to have a clear cut back up of the private key so that accidental loss can be prohibited.
- Scalability is a major challenge when it comes to the deployment of blockchain technology. Even though the transaction networks can process thousands of transactions per second, bitcoin can only process 3 to 7 transactions per second along with ethereum which is 15 to 20. This is where speeding up the scalability is an essential requirement for speeding up the transactions.
No doubt Blockchain has huge potential, several bitcoin exchanges in India have their own share of challenges. It is important to look upon those to create a fine balance for its deployment and development in India.