It seems that cryptographers are on the search for the technology that would aid in the growth of of study, cryptography, to the next level, and blockchain is believed to be the answer. Insights from market analysts have shown that blockchain-based cryptography carries the potential to protect data from unauthorised access due to hashing, which is the practice of using an algorithm to map data of any size to a fixed length.
According to Statista, a database company, in 2021, global spending on blockchain solutions was projected to reach $6.6 billion. Market predictions have shown that spending on blockchain solutions will grow in the upcoming years, which is expected to reach approximately $19 billion by 2024. “Cryptography-backed security is considered to be one of blockchain’s tested security features. Decentralisation and immutability in blockchain can make cryptography-based blockchain networks secure, transparent, and openly available. With the advent of quantum computing, there have been questions about whether blockchain-based cryptography could be decrypted using quantum computers. However, new techniques in cryptography such as Homomorphism, among, can ensure that this never occurs,” Pratik Gauri, co-founder and CEO, 5ire, a blockchain-based platform, told FE Blockchain.
It is believed that blockchain-backed cryptography is based on a public ledger which is distributed among all the nodes in the network. As a result, it becomes difficult for anyone to tamper with the data or to hack into the system. On the basis of data by 101 Blockchains, a blockchain-based research platform, blockchain leverage the concept of real-world signatures whereas cryptography methods utilise advanced mathematical codes. The integration of both can ensure that the individuals for whom the transaction or data is intended can obtain, read, process, and ensure verification around the authenticity of the entire process.
“The advantages of cryptography in blockchain are encryption, immutability, security, scalability, non-repudiation, hacker-preventive measures, among others. In the long-term, blockchain-based cryptography can enable the transformation of operating models across different industries. In the context of blockchain, decentralisation refers to the transfer of governance, control, and decision-making from a centralized entity to a distributed network of nodes,” Sathvik Vishwanath, co-founder and CEO, Unocoin, a cryptocurrency exchange, highlighted.
Reportedly, companies such as NVIDIA (NVDA), Coinbase (COIN), Riot Blockchain (RIOT), PayPal (PYPL), IBM, Microsoft, Intel, among others, have started to augment blockchain-based cryptography applications to their ecosystem. Further, sectors such as insurance, real estate, healthcare, cybersecurity, banking, supply-chain management, among others, are expected to benefit in this context.
Moreover, future market predictions expect blockchain-based cryptography to be at the forefront of the digital market. The potential benefits of blockchain-based cryptography can go beyond just economic and technological capacity, and help address real-world problems. As reported by upGrad, an online education platform, since blockchain is yet to witness its mainstream usage in society, there are different opportunities for professionals to explore and develop their careers in the field, especially for cryptography in blockchain.
“The future of blockchain-based cryptography looks promising as more and more businesses are starting to realise its benefits. It is likely that this technology will become mainstream in the near future and will revolutionise the way we do business,” Srinivas L, CEO and CTO, Rooba.Finance, a blockchain and smart contract platform, mentioned.