Blockchain can be defined as a type of digital ledger that records and distributes transactions while protecting data integrity and availability. “Of the confidentiality, integrity and availability (CIA) triad, blockchain is trying to solve the integrity issue,” says cyber expert Dustin Brewer in the “Breaking Down Blockchain” episode of the ISACA Podcast. Some blockchains are heavily decentralized, while private industry groups control others. Blockchain’s core functionality is to maintain the integrity of data and systems, but it is not alone in this endeavor. There is no shortage of databases that strive to do the same, making it important to identify blockchain’s unique strengths and possible uses.
Often associated with the global decentralized currency Bitcoin, blockchain is a distributed network system that uses decentralized participants to reach a consensus rather than a central authority, which grants it more speed, security and transparency. Accordingly, blockchain minimizes cost compared to traditional centralized systems. But the power of blockchain extends far beyond cryptocurrency. Blockchain has already been proven effective for use in the healthcare, manufacturing, finance and real estate industries. Its immutable, transparent and autonomous qualities enable it to disrupt current products, processes and even entire business models.
Blockchain is capable of lowering costs dramatically, speeding up transactions and opening the door to microtransactions, crowdfunding and more. This is technology with significant potential. But, as with any new technological innovation, vulnerabilities do exist and should be accounted for before implementing. Individuals, organizations and entire governments can fall victim to cybersecurity risk stemming from blockchain’s increased attack surface or misappropriated cryptographic keys. These issues can be mitigated with proper risk assessment and strong security measure implementation.
ISACA® cybersecurity experts Dustin Brewer and Frank Downs further explore the context and conquests of blockchain on the “Breaking Down Blockchain” episode of the ISACA podcast. Brewer and Downs introduce blockchain, discuss how it relates to cryptocurrency and the cloud, and name applications where it may prove useful.
To listen to this podcast, visit the Breaking Down Blockchain page of the ISACA website or stream it on Apple Podcasts, Google Play, Podbean, Spotify or Stitcher.