What Is the Basic Attention Token (BAT)?

What Is the Basic Attention Token (BAT)?

by | Nov 21, 2018 | Blockchain, Crypto wiki

With an ever-increasing struggle for internet users’ attention, more groups are considering innovative ways of using marketing for the benefit of the consumer. BAT (Basic Attention Token) hopes to position itself as the token of the world of digital advertising.

How does BAT work and what problems does it try to solve?

BAT promises to create a transparent network, where those interested in receiving or selling advertising services, are free to do so without the involvement of intermediaries, in a healthy, competitive environment.

what is BAT?

The BAT token is meant to be used to power the Brave network, set up by the developers using the ERC20 technical standard. Brave is a browser service that can also act as a marketplace to be used by those selling or buying advertising.

How does BAT hope to meet its objectives?

The project’s biggest calling card is the involvement of Brendan Eich, BAT’s founder. Eich is best known for his participation in the developing of Mozilla and Firefox, projects he helped co-found. Eich’s reputation alone was enough to garner a lot of attention for BAT.

The other members of the BAT team share an impressive background in the world of services and internet services, having worked for the likes of Yahoo, Evernote, or AOL.

There is another element that works in favour of BAT. It’s the general anti-ad attitude of the vast majority of internet users. BAT promises to offer a revenue system for those targeted by ads. As the name suggests, BAT’s objective is to convince users to provide them with their attention in exchange for BATs. And similarly, advertisers will receive BATs in proportion with the level of attention users provide them.

Competitors and possible drawbacks

BAT was conceived with the ERC20 system in mind. At the time of writing, Ethereum blockchain technology continues to be highly popular in the crypto world. BAT will to remain dependent on Ethereum and subject to be influenced by the possibility of its popularity fluctuating.

The Brave network will also need to fight against several high profile competitors, among them CDX (a representative of alt-media), Bitclave, or AdEx (a company with a similar vision to BAT).

Distribution and roadmap

BAT set an ambitious roadmap, with confidence helped by the company able to raise a large sum of money in the ICO stage ( $35M). Initially, 1 billion tokens, of the total amount of 1.5 billion, were put on sale.

The developers held a further giveaway at the start of 2018. The number of users on the Brave network also increased, with an estimated 5 million downloads at the time of writing. The company also claims to have over 18,000 verified Brave publishers.

Basic Attention Token (BAT)

Conclusion

Yes, there is undoubtedly a real market need for advertisers and their customers to connect without additional interference. There also exists a real need for the consumers to feel they are genuinely rewarded for the amount of attention they decide to invest in various marketing campaigns.

The Brave browser and the accompanying BAT token aim to offer a solution to these issues. Indeed, the hurdles they will need to overcome will be high, and the competitors they face will present a challenge. However, how the project has developed, the level of interest it has garnered from users, promises to make it an exciting prospect for the future.

What is Cryptography?

What is Cryptography?

by | Nov 9, 2018 | Blockchain, Crypto wiki

Cryptography is a system of protecting data and communications through the use of codes that only individuals for whom the data is meant can read and procedure. The pre-fix “crypt” means “hidden” or “vault” and the suffix “graphy” stands for “writing.”

Information security employs cryptography on several degrees. Cryptography also assists in non-repudiation.

Cryptography can also be referred to as cryptology.

An early illustration of cryptography was that the Caesar cypher, used by Julius Caesar to shield Roman army secrets. Every letter in a message has been substituted using the letter 3 spaces to the left from the bible, this understanding has been basically the key that encrypted the message. Caesar’s generals understood this to decode the letters that they just had to change each into the right, whilst the data stayed secure if intercepted by Caesar’s enemies.

Modern cryptography functions on precisely the exact same degree, albeit with much greater levels of sophistication.

In computer engineering, cryptography describes protected communication and information techniques based on mathematical theories and a pair of rule-based calculations known as calculations to change messages in a way that are tough to decode. These deterministic algorithms are utilized for cryptographic key generation and electronic signing and verification to protect data privacy, internet browsing online and confidential communications like credit card transactions and also email.

Cryptography techniques

Cryptography is closely linked to the areas of cryptology and cryptanalysis. It includes methods like microdots, merging words using pictures, and other strategies to hide data in transit or storage. Nonetheless, in the modern computer-centric planet, cryptography is most frequently connected with scrambling plaintext (standard text, sometimes known as cleartext) into ciphertext (a process called encryption), then again (called decryption). People who practice this area are called cryptographers.

  1. Confidentiality: the data Can’t Be realized by anybody for whom it had been accidental
  2. Integrity: the data Can’t be changed in storage or transit between sender and intended recipient with no alteration being discovered
  3. Non-repudiation: the creator/sender of this data Cannot deny at a later point Their intentions in the production or transmission of this data
  4. Authentication: the sender and recipient may verify each other’s identity and the origin/destination of this data

Procedures and protocols which fulfil some or all the above-mentioned criteria are called cryptosystems. Cryptosystems are often considered to refer solely to mathematical processes and computer applications nonetheless, they also contain the regulation of individual behaviours, like picking hard-to-guess passwords, logging away systems that are artificial, rather than talking sensitive processes with outsiders.

Cryptographic algorithms

Cryptosystems utilize a set of processes called cryptographic algorithms, or cyphers, to encrypt and decrypt messages to procure communications among computer programs, devices like telephones, and software. A cypher package utilizes one particular algorithm for security, yet another algorithm for message authentication and another for key trade.

This procedure, embedded in protocols and composed in applications that run on operating systems and networked computer programs, involves private and public key generation for information encryption/decryption, digital signing and verification for information authentication, and key exchange.

Types of cryptography

Single-key or symmetric-key encryption algorithms produce a predetermined length of pieces called a block cypher using a secret key the creator/sender utilizes to encipher information (encryption) and the recipient uses to decode it. The standard is mandated by the U.S. government and broadly utilized in the private industry.

In June 2003, AES was accepted by the U.S. government for classified information. It is a royalty-free specification employed in hardware and software worldwide. AES is the successor to the Data Encryption Standard (DES) and DES3. It uses more key lengths (128-bit, 192-bit, 256-bit) to prevent brute force and other attacks.

Public-key or asymmetric-key encryption algorithms utilize a set of keys, a public key associated with the creator/sender for encrypting messages and a private key that only the originator knows (unless it is exposed or they opt to discuss it) for decrypting that information.

The kinds of public-key cryptography include RSA, used extensively on the internet; Elliptic Curve Digital Signature Algorithm (ECDSA) used by Bitcoin; Digital Signature Algorithm (DSA) adopted as a Federal Information Processing Standard for digital signatures by NIST in FIPS 186-4, and Diffie-Hellman key trade.

To preserve data integrity in cryptography, hash functions, which yield a deterministic output signal from an input value, are utilized to map information to predetermined data size.

In a blockchain, cryptography is primarily utilized for two functions:

  1. Securing the identity of the sender of trades.
  2. Ensuring the previous records can’t be corrected with.

Blockchain technologies use cryptography as a method of shielding the identities of consumers, ensuring transactions are done securely and procuring all data and storages of significance. Consequently, anyone using blockchain may have absolute confidence that once a thing is listed on a blockchain, it’s done so legally and in a fashion that keeps safety.

Read more about the Blockchain tech.

Despite being based upon a similar frame, the sort of cryptography employed in blockchain, specifically public-key cryptography, is much better suited to the purposes linked to the technologies compared to symmetric-key cryptography.

What is Public-Key Cryptography?

Public-key cryptography, also called asymmetric cryptography, signifies an improvement on conventional symmetric-key cryptography since it allows data to be moved via a public key which could be shared with anybody.

Rather than using a single key for encryption and decryption, as is the case with symmetric key cryptography, separate keys (a public key and a private key) are used.

A combination of a user’s public key and personal encrypt the data, whereas the recipients private key and sender’s public key decrypt it. It’s not possible to figure out exactly what the private key is based on the public key. Thus, a user may send their public key to anyone without worrying that somebody will access their own private key. The sender may encrypt files they may be convinced will simply be decrypted by the intended party.

Additional via public-key cryptography, a digital signature is generated, procuring the integrity of this information which has been exhibited. This is accomplished by mixing a consumer’s’ private key together with the information they want to signal, via a mathematical algorithm.

Considering that the actual data itself is a part of the electronic signature, the system won’t recognize it as legitimate if any portion of it’s tampered with. Editing the smallest aspect of this information reshapes the entire signature, which makes it obsolete and false. By these means, blockchain technologies are capable of ensuring any information being recorded onto it’s correct, accurate and untampered with. Digital signatures are what provide the information listed on a blockchain its own immutability.

Cryptography concerns

Attackers can bypass cryptography, hack computers which are accountable for data encryption and decryption, and exploit weak implementations, like the use of default keys. But, cryptography makes it more difficult for attackers to get data and messages protected by encryption algorithms.

What is the blockchain technology?

What is the blockchain technology?

by | Oct 9, 2018 | Blockchain, Crypto wiki, Cryptocurrency

The blockchain technology is the brainchild of a person or group of people known by the pseudonym, Satoshi Nakamoto. But since then, it has evolved into something greater, and the main question every single person is asking is: What is Blockchain?

Originally devised for the digital currency, Bitcoin,  the tech community is now finding other potential uses for the technology.

“Bitcoin is first and foremost a currency; this is one particular application of a blockchain. However, it is far from the only application. To take a past example of a similar situation, e-mail is one particular use of the internet, and for sure helped popularise it, but there are many others.” – Dr Gavin Wood, Ethereum Co-Founder

What is Blockchain Technology?

Picture a spreadsheet that is duplicated thousands of times across a network of computers. Then imagine that this network is designed to regularly update this spreadsheet and you have a basic understanding of the blockchain.

Read to understand how a basic blockchain works How to Run a Blockchain on a Deserted Island with Pen and Paper

Information held on a blockchain exists as a shared — and continually reconciled — database. This is a way of using the network that has obvious benefits. The blockchain database isn’t stored in any single location, meaning the records it keeps are truly public and easily verifiable. No centralized version of this information exists for a hacker to corrupt. Hosted by millions of computers simultaneously, its data is accessible to anyone on the internet.

“The blockchain is an incorruptible digital ledger of economic transactions that can be programmed to record not just financial transactions but virtually everything of value.” – Don & Alex Tapscott, authors Blockchain Revolution (2016)

Why use the blockchain technology?

Blockchain technology is like the internet in that it has a built-in robustness. By storing blocks of information that are identical across its network, the blockchain cannot:

  • Be controlled by any single entity.
  • Has no single point of failure.

Bitcoin was invented in 2008. Since that time, the Bitcoin blockchain has operated without significant disruption. (To date, any of problems associated with Bitcoin have been due to hacking or mismanagement. In other words, these problems come from bad intention and human error, not flaws in the underlying concepts.)

The internet itself has proven to be durable for almost 30 years. It’s a track record that bodes well for blockchain technology as it continues to be developed.

The blockchain network lives in a state of consensus, one that automatically checks in with itself every ten minutes.  A kind of self-auditing ecosystem of a digital value, the network reconciles every transaction that happens in ten-minute intervals. Each group of these transactions is referred to as a “block”. Two important properties result from this:

  • Transparency data is embedded within the network as a whole, by definition it is public.
  • It cannot be corrupted altering any unit of information on the blockchain would mean using a huge amount of computing power to override the entire network.

In theory, this could be possible. In practice, it’s unlikely to happen. Taking control of the system to capture Bitcoins, for instance, would also have the effect of destroying their value.

“Blockchain solves the problem of manipulation. When I speak about it in the West, people say they trust Google, Facebook, or their banks. But the rest of the world doesn’t trust organizations and corporations that much — I mean Africa, India, the Eastern Europe, or Russia. It’s not about the places where people are really rich. Blockchain’s opportunities are the highest in the countries that haven’t reached that level yet.” – Vitalik Buterin, inventor of Ethereum

Blockchain: A network of nodes

These computers, which are part of the blockchain network, are called nodes. Every time a transaction occurs it has to be approved by the nodes, each of whom checks its validity. Once every node has checked a transaction there is a sort of electronic vote, as some nodes may think the transaction is valid and others think it is a fraud.

Each node has a copy of the digital ledger or Blockchain. Each node checks the validity of each transaction. If a majority of nodes say that a transaction is valid then it is written into a block.

What is a Blockchain block?

A block is a container data structure. In the Bitcoin world, a block contains more than 500 transactions on average. The average size of a block seems to be 1MB. A block is composed of a header and a long list of transactions. Let’s start with the header.

what is blockchain blocks

The header contains metadata about a block. There are three different sets of metadata:

  • The previous block hash. Remember that in a blockchain, every block is inherited from the previous block because we use the previous block’s hash to create the new block’s hash. For every block N, we feed it the hash of the block N-1.
  • Mining competition. For a block to be part of the blockchain, it needs to be given a valid hash. This contains the timestamp, the nonce and the difficulty. Mining is another crucial part of the blockchain technology, but it is outside the scope of this article.
  • The third part is a Merkle tree root. This is a data structure to summarize the transactions in the block. And we will leave it at that for now. More on this later.

This dependence of one pair on the previous pair makes it a chain, thus getting its name — Blockchain (a chain of blocks).

The whole family of blocks is the Blockchain. Every node has a copy of the Blockchain. Once a block reaches a certain number of approved transactions then a new block is formed.

The Blockchain updates itself every ten minutes. It does so automatically. No master or central computer instructs the computers to do this.

As soon as the spreadsheet or ledger or registry is updated, it can no longer be changed. Thus, it’s impossible to forge it. You can only add new entries to it. The registry is updated on all computers on the network at the same time.

Blocks in Blockchain are tied to the next block by hashes. If data in one block is modified, hashes need to be recalculated for all the following blocks and since calculating the hash is a very resource intensive operation, it gets practically impossible to do that and hence the network rules out the invalidated block. The calculation of the hash is called mining. Here are some Crypto Mining Business Model Used Worldwide

Bitcoin is the result of mining. 

All the computers on the blockchain network, keep a copy of the full blockchain, so if one block or one complete chain at a particular computer or multiple computers is modified, the whole network tries to compare it with their own copies of the full chain.

The users’ safety when using the blockchain technology

In the case of blockchain technology, private key cryptography provides a powerful ownership tool that fulfils authentication requirements. Possession of a private key is ownership. It also spares a person from having to share more personal information than they would need to for an exchange, leaving them exposed to hackers.

Authentication is not enough. Authorization – having enough money, broadcasting the correct transaction type, etc – needs a distributed, peer-to-peer network as a starting point. A distributed network reduces the risk of centralized corruption or failure.

This distributed network must also be committed to the transaction network’s recordkeeping and security. Authorizing transactions is a result of the entire network applying the rules upon which it was designed (the blockchain’s protocol).

Authentication and authorization supplied in this way allow for interactions in the digital world without relying on (expensive) trust. Today, entrepreneurs in industries around the world have woken up to the implications of this development – unimagined, new and powerful digital relationships are possible. Blockchain technology is often described as the backbone for a transaction layer for the Internet, the foundation of the Internet of Value.

Not all decentralized systems are Blockchain! The Blockchain technology is a particular type of decentralized system that has a unique property. 

In fact, the idea that cryptographic keys and shared ledgers can incentivize users to secure and formalize digital relationships has imaginations running wild. Everyone from governments to IT firms to banks is seeking to build this transaction layer.

Authentication and authorization, vital to digital transactions, are established as a result of the configuration of blockchain technology.

The idea can be applied to any need for a trustworthy system of record.

It is this difference that makes blockchain technology so useful – It represents an innovation in information registration and distribution that eliminates the need for a trusted party to facilitate digital relationships.

Yet, blockchain technology, for all its merits, is not a new technology.

Rather, it is a combination of proven technologies applied in a new way. It was the particular orchestration of three technologies (the Internet, private key cryptography and a protocol governing incentivization) that made bitcoin creator Satoshi Nakamoto’s idea so useful.

what is the future of blockchain?

 

Is blockchain technology part of the future?

Most significant companies will run business processes on their private blockchains.

  • Private blockchains: Within the next years, major companies will conduct several business processes on their own private, permissioned corporate blockchains. Employees, customers, vendors, and service providers at each company will be able to securely access that company’s private blockchain via strong cryptographically authenticated transactions.
  • Consortia blockchains: Many companies will have started to build bottom-up consortia blockchains with a small number of counterparties in their ecosystem collaborating on a small number of use cases to share trusted source-of-truth infrastructure, supply or value chains.
  • Business use of public blockchains: Some companies will employ public Ethereum with their use cases that employ the same stack of blockchain components that they have purchased or built for their private Ethereum-based implementations.

 

Important points of the blockchain technology:

  1. A Blockchain is a type of diary or spreadsheet containing information about transactions.
  2. Each transaction generates a hash.
  3. A hash is a string of numbers and letters.
  4. Transactions are entered in the order in which they occurred. The order is very important.
  5. The hash depends not only on the transaction but the previous transaction’s hash.
  6. Even a small change in a transaction creates a completely new hash.
  7. The nodes check to make sure a transaction has not been changed by inspecting the hash.
  8. If a transaction is approved by a majority of the nodes then it is written into a block.
  9. Each block refers to the previous block and together make the Blockchain.
  10. A Blockchain is effective as it is spread over many computers, each of which has a copy of the Blockchain.
  11. These computers are called nodes.
  12. The Blockchain updates itself every 10 minutes.

Sources dev.to hackernoon.com blockgeeks.com coindesk.com cointelegraph.com