The newly exploding fields of Big Data and Data Science are being adopted by more and more organisations as the need for crunching data to produce valuable output intensifies.
There is a fairly new actor in the field of secure communications too, which is Blockchain technology. This tech is used to send money securely around the globe within the BitCoin network.
BlockChain is the most advanced data encryption technology and is causing Tsunami waves in the world of Banking and Finance as a way to bolster data transmission security. In today’s world of cyber criminality, it is fast becoming a must in all types of banking applications.
How does BlockChain work in principle?
BlockChain basically works by removing the need for any middleware processing or an external agency. It provides a virtually un-hackable level of data encryption, which can be easily scaled depending any companies own individual data security needs.
It would take many years of computer processing power to be able to crack the level of encryption that it offers. This makes trying to penetrate and hack into the data too much of a headache for any hacker to bother with.
Penetration into all sizes of organization large or small
BlockChain technology is being adopted right now by many different organisations both large and small. It is no longer just for Financial Institutions!
For Banks the secure delivery of data to another Bank or client is paramount.
If data is corrupted, modified or altered then financial loss is a real possibility, potentially bringing the entire banking system into disrepute!
Security of data transmission is therefore why many companies, not just for cash transfer, would likely benefit from adopting this new blockchain technology into their It systems.
Implementing Blockchain processing
Existing IT data transmission methods will have different security vulnerabilities; hackers can then therefore exploit these deficiencies to gain access to the underlying data.
Security of the data packets in transmission is where BlockChain comes to the fore. Blockchain encryption technology securely bypasses many of the existing potential exploits within older less secure methods and offers additional layers of protection. Lets delve a little deeper!
Blockchain in more detail
To help explain how it all works, UK Penetration Testing experts Security Audit Systems are here to help with a summary of what makes it all tick!
- Blockchain technology consists of ‘miners’ and ‘hosts’. The data ‘miners’ are computers that are spread across the globe, calculating a solution to a very sophisticated equation.
- Blockchain uses a branch of arithmetic called ECDSA, an acronym for ‘Elliptic Curve Digital Signature Algorithm’. The data miners use a branch of encryption mathematics called Asymmetric Key Cryptography.
- When a transaction enters into the network data miners will use their combined processing power to solve the transactions ECDSA equation. The transaction will then be verified from the data in the output solution, which is matched up to the data string in the header that was first input into the algorithm.
- When a match has been made, the transaction is added to a network of ‘ledgers’ which is essentially the accounting system of blockchain. All completed ‘solved’ transactions are stored in it for future accounting use.
- The final data output solution is protected by Paired public/Private key technology. This means that a hacker will not be able to corrupt or modify the solution record by the blockchain. Encryption can be set depending on the level of protection desired by all of the parties in the transaction.
For further guidance on your security issues, seek out penetration testing and blockchain experts such as the team at Security Audit Systems.