The niTROn summit was held in San Francisco this January 17th and 18th. At some point during the proceedings, Justing Sun (Tron’s CEO and founder) shared the stage with NBA star Kobe Bryant. We know what you’re thinking. Mr. Bryant’s presence is one of those brilliant PR and marketing moves we all have come to expect from Tron and its leader.
And you could think indeed that having a star athlete give the keynote speech and then share a discussion with Mr. Sun is cool but utterly irrelevant. You could think so for sure, but you’d be wrong. It just so happens that Mr. Bryant owns a venture capital firm and is an expert investor which is why his participation was actually important.
Both men shared the stage under a banner that read “Two entrepreneurs, one stage”. At some point during their conversation, Mr. Sun had this to say about Tron (but it applies to blockchain technology in general):
“You don’t need to trust me, trust #TRON or trust other users, all you need to trust is the math & the blockchain.”
So what did Mr. Sun mean with that statement? Stay with us as we try to explain it to you in this article.
Mr. Sun didn’t mean that you shouldn’t trust him, or Tron, or blockchain technology. As a matter of fact, you should. What he said is that you don’t need to do it. Why? Because the whole point in a blockchain is that things will work out fine whether you trust it or not.
You see, the central idea in blockchain technology is not a cryptocurrency or cryptographic technology, decentralized applications or smart contracts. The whole point in a blockchain is to ensure that people who don’t know each other at all and that have no reason to trust each other (or even if they do distrust each other) have a system that will ensure that both parties will deliver on their commitments for any given transaction. Everything else (the tokens, the math, the tech, the apps, and the contracts) are just tools designed to facilitate and secure that exchange.
And how is this possible, we hear you ask? The main ingredient in the recipe is decentralization. Every active node in a blockchain holds a copy of the whole blockchain, and updated ledger and every other crucial piece of data (which varies from protocol to protocol) and they work on the idea of “consensus”.
That means that every node must agree on a change in the blockchain such as a ledger update. No single authority can take any decision, because there is no single authority. The network decides every new step forward as a whole. And that’s why it’s safe, that’s why you can trust it.
The thing is that when everything is stored in a system that works in a single system (that can include several computers, but the relevant point here is that the decision-making process is centralized), if you can fool the central authority you can get away with murder. That’s what hackers do, very successfully sometimes.
But you can’t do that in a blockchain. Why? Because you would need to fool the whole network. There are more than 10,000 Bitcoin nodes active in the world today. If you suddenly decide you want to hack Bitcoin, you’d need to hack at least 51% at the same time so that the consensus algorithm approves the blocks you want to inject so the network does your bidding. And that is just impossible in practical terms. Granted it’s happened to weak blockchains like Verge or Ethereum Classic. Weak is the key word here, good blockchains are really very sturdy.
And that’s why you don’t need to trust the system much in the same way that you don’t need to trust the Sun to go up every morning.
[Image courtesy of Pixabay]
Disclaimer: All information provided through this article should not be regarded as investment advice, nor should be taken for granted for crypto trading purposes. Before making any investment or trading plans, make sure to inquire about the information diligently by carrying out your very own research. Thank you.