The ‘Winners’ and ‘Losers’ of Blockchain integration into higher Ed
Blockchain is a relatively recent achievement in the field of technology. ‘Relatively’ in this case means over a decade old, actually.
But still, the term ‘blockchain’ is very much hit or miss for an ear of an average user. Some (especially those interested in cryptocurrency and banking) are intimately familiar with this concept. Others have only heard the word once or twice.
The blockchain technology itself was actually outlined in the distant 1991. But it wasn’t until over a decade later that its first real-world application saw the light and could distinctively be called a success.
Its main principles were applied while creating a cryptocurrency that later gained a massive following. It has also sparked heated controversy in the field of the global economy.
But cryptocurrency is not the only way to apply the blockchain system. The economic field served as testing grounds to develop a proof of concept. And the experiment was very much a success.
Now the technology is slowly but surely making its way into a variety of other fields. Today, there are a variety of sphere where blockchain technology has been implemented in terms of improvement of databases and security. It is extremely popular among those services which strive to serve on the basis of complete confidentiality. Various services like EssayPro apply blockchain technology to store data and avoid any kind of fraud or data leakage.
Higher education is one of the most perspective fields for the development and implementation of blockchain technology. The benefits or rather flaws of the transition is not as obvious as they might seem.
What Is Blockchain
Before jumping into reasons why not everyone thinks blockchain might be a good idea, let’s have a cursory glance at the basic question – What is blockchain?
Despite its popularity, many still have trouble explaining the concept of this technology. Granted, you don’t have to know how it works in order to use it. But it helps with in-depth analysis, so let’s get into it.
As early as in 1991, pioneers of the industry were attempting to create a system that would allow storing files securely, with a minimized possibility of tampering. We can clearly see the blockchain concept here.
The solution is the following – a sort of a shared database. And that’s what blockchain is at its core. A giant database multiplied and stored on the computers of the blockchain network.
Information (for example, the data on your transaction) is stored in blocks that are added at the end of the chain (hence the name). Each block has a specific identifier called hash that lets users of that database to locate the information they need quickly.
Each block also stores the hash of the previous block, making it extremely hard to tamper with the database.
Bitcoin is one of the most popular applications the blockchain technology has found to date. This cryptocurrency is using the blockchain database to store information about its transactions. It also encourages users to add their computers as a node in a blockchain network by rewarding it with a certain amount of the currency (the process commonly known as mining).
However, unlike traditional currencies that are largely regulated by some sort of central authority (a bank or a government, for example), cryptocurrency is not regulated by anyone. It’s a peer to peer system created, used, and controlled by regular users. This is why it has been a topic of heated discussions, and some institutions have spoken against its usage.
Winners
The main advantages of blockchain technology for higher education institution stems directly from the way it was designed.
The secure and transparent database is exactly the kind of fresh alternative high ed institutions are longing. And it can easily be applied all across the board from scheduling to certification and personal information storage.
While not completely impervious to attacks, blockchain is an extremely secure platform. It can be used to keep track of financial transactions. Storing student accreditation and certificate information will ensure that the certificates themselves are stored and sufficiently protected rather than just record the fact of their signing.
Another benefit is the open format of the database. Every system that is moved to the blockchain database can be accessed and viewed by anyone. This can be used to create transparent systems, allowing institutions to work more efficiently and be more responsive. Not to mention the opportunity to completely move away from tedious paperwork.
Certain countries (like China, India, Ecuador, Morocco) have restricted the use of cryptocurrency on a legislative level. Others (Vietnam, Pakistan, Algeria, Bolivia) have outright banned it. The caution world governments employ when dealing with blockchain-based cryptocurrency is understandable. However, the negative consequences of its use on the global economy are yet to reveal themselves.
Losers
Despite all the great advantages the usage of blockchain grants, there are still many questionable details about it. Those are being pointed out by certain skeptical institutions all over the world. And most of its weaknesses are directly connected to the strengths.
Some things had to be cut to create a system this secure. And knowing the system’s flaws is as important as keeping track of its benefits.
The most obvious flaw is the sheer amount of resources needed to operate such a database. Adding a single block requires calculating its hash, which is done by an extremely complex equation.
With relatively small-sized databases, this can be pulled off seamlessly. But the growing demand means that performance issues can become a factor in the nearest future.
Secondly, there is also the fact that the blockchain database is accessible to virtually anyone. That makes it pretty much impossible to pick and choose who and when will have access to your personal information.
This is not exactly a flaw per se as we can work around it. However, it severely limits the fields of blockchain technology application.
On the Last Note
So, as you can see, blockchain technology has come a long way since its creation in the nineties. Its cryptocurrency application has sufficiently proven that it can and will work if used correctly.
Step by step, it’s making its way into other spheres of our day-to-day life, higher education being but one of them. And there are multiple benefits it can offer to make it better, such as:
- Eliminating paperwork;
- Creating a secure platform for data storage;
- Ensuring transparency;
- Modernizing outdated procedures.
However, like most things in life, blockchain is a two-sided coin. Applying it correctly is the key to success. Failing to understand its disadvantages can lead to pretty nasty consequences down the line.
At the frontlines of blockchain implementation, banks do not seem to rush to invest in cryptocurrency.
They do gradually implement small blockchain databases for personal use, though. Furthermore, they slowly recognize its value in fields other than cryptocurrency.
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