Role of Blockchain in Cloud Computing

Introduction

In this blog, we will learn about the role of Blockchain in Cloud Computing, but before that let’s get to know what is Blockchain technology and cloud computing.

Blockchain is a distributed, unalterable ledger that makes it easier to record transactions and track assets in a business network. An asset can be physical (house, vehicle, cash, or land) or intangible (intellectual property, patents, copyrights, branding). Almost anything of value may be recorded and exchanged on a blockchain network, minimizing risk and costs for all individuals involved. Blockchain technology is the bottom base of many cryptocurrencies, e.g., Bitcoin, Dogecoin, Ethereum, etc.

Cloud Computing is the on-demand access to computing resources—applications, servers (physical and virtual), data storage, development tools, networking capabilities, and more—hosted in a remote data center controlled by a cloud services provider over the internet (or CSP). 

Let's see what is Role of Blockchain in cloud computing is.

Role of Blockchain in Cloud Computing

Blockchain technology is a revolutionary data storage developed for Bitcoin and digital money. The decentralized nature of blockchain technology distinguishes it from traditional databases. A central database, like in a typical database, does not exist. However, the information is stored on a network of nodes.

The majority must approve any changes to node data; therefore, blockchain technology is incredibly secure. There is no single point of failure since if one node fails, it does not affect the others.

Cloud computing uses blockchain technology, allowing users to outsource their computer needs. Because of its decentralized structure, the Blockchain has the potential to change the way we perform cloud computing. As a result, users may browse the internet and do peer-to-peer computations without relying on servers or other infrastructure.

It's also useful for cloud storage since it keeps data safe and tamper-proof. Companies can be confident that their data is safe and secure.

Many sectors utilize Blockchain and IoT, known as BCoT (Blockchain Cloud of Things). It is being researched as a potentially vast field for various industrial uses. Because traditional CoT infrastructures are built on centralized communication mechanisms, they have ineffectiveness issues.

Advantages of Integrating Blockchain into Cloud Computing

When cloud computing is combined with blockchain technology, the primary issues of security and privacy are solved. Blockchain also contributes to greater transparency by establishing a decentralized and distributed trust structure.

Data deletion from one computer does not remove data saved on other blockchain network devices. As a consequence, there is no risk of data loss or modification. The data on a blockchain is immutable. It enables precise documentation of data consumption, including where, when, and how it is utilized and who is using it. Blockchains are regulated by codes, eliminating the need for third-party regulations and making them a more secure option. 

Blockchain is transforming industries such as healthcare, agriculture, finance, and banking. Cloud computing has become crucial in today's corporate world that excess reliance and accompanying risks might be dangerous. The security, compliance, and centralized design of the cloud may pose a considerable business risk.

On the other hand, Blockchain substantially influences storage, transactions, and business operations. As a result, merging Blockchain with the cloud increases security and decentralization while improving authorization, privacy, and efficiency.

Similarities between Blockchain and Cloud Computing

1. Cost
   Blockchain technology removes the need for any middlemen in commercial transactions, letting two parties communicate directly. As a consequence, no additional charges are incurred.
   On the other hand, cloud computing eliminates the need for software and hardware purchases. Users are also excluded from paying for system configuration and on-site data centers operations such as power, energy, and cooling.
2. Speed
   Because any central administration or government does not administer blockchain, transactions across a blockchain network are substantially speedier than any other alternative. In reality, users do not need authorization from third parties to conduct transactions on the blockchain.
   Cloud computing services are popular among users because they allow them to self-serve. As a result, cloud computing makes vast amounts of data available to users with only a few mouse clicks in response to customer demand. It also gives consumers and companies a lot of freedom regarding data use.
3. Reliability
   The blockchain model integrates unchangeable distributed ledger technology. As a result, data cannot be changed after it has been entered into the ledger. Furthermore, all data is recorded on a public blockchain, making it available to all blockchain users. As a result, this system is entirely transparent. Furthermore, blockchain provides excellent dependability because its data is immutable, and users can track data back to its source.
   Data backup is a characteristic of cloud computing. It also contributes to catastrophe recovery, making it completely trustworthy. As a result of this feature, it also improves and minimizes the cost of business transactions.

How Blockchain and Cloud Computing is different from each other?

As we learned about Blockchain, it is a distributed, unalterable ledger that makes it easier to record transactions and track assets in a corporate network. This remarkable quality of Blockchain allows the seamless changing process. This makes it a novel and promising technology contributing to risk reduction, fraud prevention, and operational transparency. The three fundamental components of the blockchain system are blocks, miners, and nodes.

• Decentralized Technology
• Faster Settlements
• Distributed Ledgers
• It cannot Be Corrupted
• Better User Control
• Zero Scams
• Transparency

Whereas Cloud technology is the mechanism through which various services and resources are provided using the internet, or we can say that a cloud system is a collection of computing components such as software, hardware, and infrastructure that will allow the delivery of a variety of cloud computing services.

Cloud computing enables services like IaaS (Infrastructure as a service), Paas (Platform as a service), and SaaS (Software as a service).

The internet delivers all the above services.

​​Cloud Computing has the following characteristics:

• On-demand Self Service
• Resource Pooling
• Large Network Access
• Easy Maintenance
•  Availability
• Automatic System
• Centralized Technology

FAQs

1. What is blockchain technology?
   Blockchain is a distributed, unalterable ledger that makes it easier to record transactions and track assets in a corporate network.
2. What is cloud computing?
   Cloud computing is a technology approach that aims to improve the efficiency of computing services. Storage, servers, networking, databases, analytics, intelligence, and software are popular internet services.
3. How can data be stored in the cloud using blockchain technology?
   Blockchain helps cloud storage since it keeps data safe and tamper-proof. Companies can be confident that their data is safe and secure; data deletion from one computer does not remove data saved on other blockchain network devices. In this way, data storage using blockchain technology in the cloud is safe and secure.
4. Why is Blockchain technology considered reliable and secure?
   The majority must approve any modifications to node data; that's why blockchain technology is highly secure. There is no point in failure since if one node fails; the others are unaffected.
5. Which crypto-currency uses blockchain?
   Bitcoin is widely considered the first decentralized cryptocurrency that uses blockchain technology to conduct payments and digital transactions.