There is no doubt that in the past decade, blockchain has evolved a lot. It began with bitcoin, which provides public blockchain — the first type of blockchain. We can consider bitcoin’s blockchain as the first generation of blockchain technology.
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Currently, there are several types of blockchain technology and each type serves its purpose and assists to solve a particular or a set of issues. Do you want to know about the different types of blockchain? This guide talks about different types of blockchain.
There are several blockchain networks such as public, private, permissioned or built by a consortium.
Public Blockchain
A public blockchain is one where anyone can join and can be part of it, such as Bitcoin. Cons might include the need for weighty computational power, little or no privacy for transactions, and feeble security. These are important considerations for enterprise use cases of blockchain.
Private blockchain
Similar to a public blockchain network, a private blockchain network is a decentralized peer-to-peer network. But here is the twist, one organization governs the network, controlling who can participate, executing a consensus protocol, and maintaining the shared ledger. This can significantly boost trust and confidence between participants, depending on the use case. this type of blockchain can be run behind a corporate firewall and even be hosted on-premises.
Permissioned blockchain
A permissioned blockchain network can be set up by businesses that set up a private blockchain. It is necessary to take note that public blockchain networks can also be permissioned. These places restrict who is allowed to participate in the network and in what transactions. Participants need to get an invitation or permission to join.
Consortium blockchains
Multiple organizations can distribute or split the responsibilities of maintaining a blockchain. These already selected or pre-selected organizations determine who may submit transactions or has authority to access the data. A consortium blockchain is ideal for business when all participants need to be permissioned and have a shared responsibility for the blockchain.
