What Is Blockchain 4.0?
Cryptocurrency has come a long way, gaining popularity and acceptance since Satoshi Nakamoto first founded blockchain. The world of crypto has seen the successive release of three versions of blockchain; blockchain 1.0, blockchain 2.0, and blockchain 3.0. With a fourth one on the horizon; blockchain 4.0, there have been a lot of talks.
These different versions of blockchain have been released successively to tackle obstacles faced by its predecessors, that is, blockchain 2.0 tackled issues with blockchain 1.0 and so on. There have been debates whether the release of blockchain 4.0 is necessary, it seems to come too soon given that the previous versions have not been developed to their full potential. However, you can neither truly understand what blockchain 4.0 is nor the reason behind its release by knowing a little about the previous blockchain.
The Evolution of Blockchain
As you now know, it all started with bitcoin in the blockchain 1.0 era, the highlight of its release was the ledger of transactions. Blockchain was majorly based on its ability to record transactions over many computers. It is incorruptible, with no central authority. Problems emerging regarding scalability, interoperability, sustainability, and speed led to the need for blockchain 2.0.
Then came blockchain 2.0 boasting smart contracts. This computer protocol had the responsibility of digitally facilitating, verifying, and enforcing the performance of a contract. The cryptocurrency Ethereum brought about smart contracts. This blockchain didn’t tackle speed and interoperability well, so blockchain 3.0 was developed
EOS, Dfinity, and Cosmo are Blockchain 3.0‘s fore-runners. The blockchain is still trying to fix the failings of its predecessors even now. Although, it has brought about ease of transactions between different platforms
What does Blockchain 4.0 have to offer?
One important thing you need to know is that blockchain 4.0 is not here yet although there have been a lot of insights as to what it highlights concerning its purpose.
A particular platform just as the likes of Bitcoin and Ethereum in the name of Seele has come up. They have been the major platform around the Blockchain 4.0 hype. The platform has released highlights of what it hopes to achieve. These highlights can be very helpful in knowing what this new era of Blockchain is all about.
- Heterogeneous Forest Network
This idea leads to the development of a multi-industry and cross-domain. To simply understand this, you might need to know that a heterogeneous network is simply a network consisting of multiple devices, computers, operating systems, and protocols. It also boasts of isolated transactions with better security.
- Matrix-Proof-of-Work Consensus Algorithm
This has been tagged as a solution to tackle malicious attacks that would arise from the proposed lightning network that aims at greatly improving the latency of transactions by creating a private channel for nodes involved in payment, receipt, and transfer.
- On-chain and off-chain sharing
Blockchain 4.0 would see the side by side use of on-chain and off-chain sharing. On-chain sharing makes transactions slow since it requires authentication by several participants. Off-chain sharing, however, offers faster transactions using code-based payment mechanism to exchange assets.
- Value internet
This refers to an online platform that supports the transfer of one’s assets like; stocks, security, and scientific discoveries amongst others.
To Wrap It Up
We all know the many things the blockchain offers. Now, imagine an advanced form of that. That’s what Blockchain 4.0 is.