The blockchain technology is a rapidly evolving and one of the most practical innovations for businesses operating with cloud computing. It transforms enormous data processing and documentary control in secure and cost-effective ways.
The blockchain tech in cloud computing has proven to be beneficial so let’s take a deeper dive into the concept.
Hyperledger is an open-source application by the Linux foundation. It’s a type of blockchain technology that uses identical blockchain copies to make it exponentially challenging to manipulate any data in unauthorized ways. The advantage of this application is that the centralized authority controls and knows the authorized users and the users maintain the hyperledger blockchain by their efforts. Its peer-to-peer network in the centralized method of record-keeping creates a complete audit trail, which brings us to the next benefit of blockchain in cloud computing.
Permanent Audit Trail
When merged with cloud computing, the records collected can be shared in the cloud system and maintained by parties for audit verification. That said, a permanent record of transactions is created in blockchain. The ‘proof of history’ function is another exciting innovation under the blockchain technology that works with the delete function but is verifiable. This process also provides the cloud computing network with a record of time. While blockchain provides an audit trail of the transaction in the current order, the proof of history function creates a permanent timestamp on the transaction date.
Ownership Tracking More Efficient
When cloud computing is combined with blockchain, it gives rise to many opportunities for management of valuable things efficiently like stock ownership, legal documents, or real estate titles. When one shifts to cloud computing technology, the archive process of clearance for stock transfers improves the system dynamically within microseconds.
Increased Data Security
When data is encrypted point-to-point in storage or while it’s in transit, the security of the data increases, transaction of data through blockchain adds a third layer of protection. The single-point data storage has a higher risk of data breach which is why distributed data storage is considered superior. In fact, in many countries, data files are broken into fragments and encrypted and stored under multiple notes to increase its security.
Increased Private Key Security
It is common knowledge that encryption uses private keys for protection to authorize transactions from unauthorized use. So, when this feature of the blockchain tech is utilized in cloud computing, the process includes two-step verification for transaction authorization and helps improve the security of private keys. The more the verification responses in a process, the more difficult it becomes for unauthorized access to occur.
Interesting Read: Disclosing Cloud Computing Myths
Did you know that smart IoT devices deny checking in with a centralized server for decisions related to the management of data? That’s certainly true! A common example is the facial recognition that needs only to check with the authorized person’s encrypted data and not with any other server. In this case, the note operates until there is a check for updates. And when multiple copies of the database get lost, the cloud storage access to the official document makes it faster and easier.
The combination of blockchain technology with cloud computing leaves us with a broad geographical diversity and network resilience. For the organizations using cloud computing solutions globally, this is an option for you to maintain data in various physical locations.
Conclusion: Blockchain technology works exceptionally well with cloud computing. It caters to edge computational needs, massive improvement processes, and decentralized data storage to emerge in powerful ways.