Final Portfolio Project

Data Science & Big Data Analysis (ITS-836-55)

University of the Cumberlands

The primary purpose of the Blockchain is to develop a creditworthy infrastructure across

individual entities in a nontrusted, decentralized environment. The blockchain network is stable

and autonomous depending on its clustered nodes, peer-to-peer clusters, policy-based ledger

process, private transactions, self-regulated database possession, and configurable smart

contracts (Sharma, 2020).

IoT, Blockchain, and AI are considered emerging innovations through economy-wide

awareness of the possibilities of both three "vectors" and a working knowledge of fundamental

principles powering them. Corporations, on the other hand, are also struggling to capitalize on

rising technology. The main problem is that these innovations appear to be handled in isolation,

rather than being part of the whole. Therefore, the evolution of these emerging innovations is

expected to build new business models as they become more mature. Data collected from the

new IoT-based framework will allow several features during the acquisition process to be used to

achieve any objective (Lielacher, 2018).

Many businesses and policymakers willing to adopt Blockchain technology, but it comes

with a few limitations/challenges. Few of them are; Scalability, Interoperability, public

perception, energy-consuming, lack of standardization, privacy, and security.

Scalability

While blockchain networks are capable of handling millions of transactions per second

without any interruption, when it comes to Bitcoin and Ethereum, there seems to be a substantial

bottleneck in the handling of transactions, rendering Blockchain unworkable for large-scale

applications. 

The Lightning Network for Bitcoin and Plasma for Ethereum can be seen as increasing

approaches to encourage spontaneous transactions with small fees. Blockchain will pick up to

become feasible for widespread adoption (Sharma, 2020).

Interoperability
 For the transition to a blockchain-based system, the company must either fully redesign

its existing system or find a way to align its current system with the blockchain

solution. Nonetheless, it could be challenging for blockchain technologies to handle all the

features required by organizations, initially making it impossible to eliminate legacy systems.

Therefore, considerable to enable a seamless transition, and improvements must be made to the

current processes. This procedure can take a substantial amount of time, resources, and human

expertise (Gawanmeh and Al-Karaki, 2019).

Public Perception

The majority of the population is also unaware of the present and future applications of

this technology. Understanding the advantages of blockchain technology is still limited to those

interested in the process.

Currently, blockchain technology is almost synonymous with bitcoin. Although the

popularity of bitcoin continues to grow to exponential levels, there is always a connection among

cryptocurrency and the dark practices of currency laundering, illegal trading, and other unlawful

activities. Once mainstream adoption can be accomplished, individuals need to recognize the

distinction between bitcoin, other cryptocurrencies, and Blockchain (Lielacher, 2018).

Energy Consumption

Both the Bitcoin network and the Ethereum network use proof-of-work process to verify

transactions on blockchains, which involves the computation of complicated mathematical

activities in order to validate and handle transactions and safeguard the network. Such

calculations need a tremendous amount of energy to drive the problem-solving computers.

In addition to the power required to operate the machines, a significant amount of power

is often needed to cool down the devices. The substantial amount of resources are needed to
maintain a well-known blockchain in existence is a barrier to other businesses that are now

concentrating on sustainable methods of doing trade. Given that climate change is a serious

concern, such extensive use of energy does not seem to be an issue (Lielacher, 2018).

Privacy and Security

Blockchains are made to be accessible to the public who made transactions, including

Bitcoin and other cryptocurrencies. However, this tends to create a lot of concerns for

governments and companies. Governments and companies should be capable of protecting and

constrain access to their data for a variety of reasons. This assumes that blockchain technology

will not be able to work in sensitive data areas until this obstacle is resolved (Gawanmeh and Al-

Karaki, 2019).

The Blockchain can, however, be configured to serve the needs and requirements of the

task, which implies that people can access blockchain pieces that apply only to their

responsibilities. Because developing these blockchains requires a tremendous amount of

preparation and experience, it decreases the uncertainty that businesses and governments have

about technology.

Security is one of the big issues that need to be tackled in order to achieve the Internet of

Things in the modern world. IoT is designed to deal with a network of billions of entities that

collaborate with each other through certain things, such as individuals or virtual agencies. All of

these communications, including information security and provide, need to be secured in some

way (Gawanmeh and Al-Karaki, 2019).

Emerging Concepts of Blockchain

Blockchain has created a new way of addressing and running data — not through a

centralized perspective in which all data could is distributed but from a decentralized point of
view where content can be accessed right onto the edges of private networks. Blockchain

combines with other emerging technologies, such as cloud applications, Artificial Intelligence

(AI), and the Internet of Things (Sharma, 2020).

The following are the emerging concepts of Blockchain technology; Data Integrity,

Preventing Malicious activities, Predictive Analysis, Manage Data Sharing, Real-Time Data

Analysis.

Data Integrity

 Blockchain data is secure because it must have gone through a process of authentication

that guarantees its accuracy. This also provides for accountability as the events and interactions

that occur on the blockchain network can be tracked.

Lenovo has demonstrated its use of blockchain technology to recognize fake credentials

and forms. The corporations used blockchain technology to verify physical records encrypted

with strong encryption. Electronic signatures are verified by software and the validity of the

record is checked by a blockchain database. The validity of the data is assured when the source

of information and connections of the information block is stored on the Blockchain and checked

(or validated) automatically before it can be processed (Sharma, 2020).

Prevent Malicious Activities

Since Blockchain requires a consensus mechanism to validate transaction records, it is

hard for a single unit to cause damage to the data network. A node that behaves abnormally can

be easily determined and removed from the network.

 Although the network is decentralized, it becomes almost difficult for the average entity

to produce sufficient computational ability to change the validation requirements and enable

unnecessary data to be stored in the system. A large number of nodes must be joined to construct

a consensus. This is not going to be possible for a single poor actor to do (Li, 2019).

Predictive Analysis

Blockchain data, much like other forms of data, must be evaluated to provide additional

insight into attitudes, patterns, and as such, to forecast potential outcomes. Blockchain offers

organized data obtained from individuals or independent devices.

Through predictive analysis, data scientists rely on broad data sets to reliably assess the

results of social activities, such as consumer desires, customer loyalty value, volatile costs, and

churn rates, as they apply to companies. Nevertheless, this is not limited to industry knowledge,

because almost any occurrence can be anticipated with the appropriate data analysis, whether

social sentiment or investment (Li, 2019).

 Because of the decentralized nature of the Blockchain and the immense computing

resources, data scientists may conduct comprehensive predictive analysis tasks in smaller

companies as well. Such data scientists may use the computing power of a few thousand

machines linked to a blockchain framework as a cloud-based service to examine social results on

a scale that would not have been possible (Sarikaya, 2019).

Manage Data Sharing

Information derived from the information analyses can be maintained in a blockchain

network. Thus, the research teams should not replicate the data analysis already carried out by

other teams or incorrectly duplicate the data that has already been used. Furthermore, a
blockchain platform could allow researchers to commercialize their research, potentially by

exchanging study results stored on the database (Sarikaya, 2019).

Real-time Data Analysis

Smart contracts are widely recognized as the main supporting technology for

blockchains. Through them, the blockchain environment is decentralized, transparent,

cooperative, and credible. By gathering smart contracts that blockchains can run without external

influence. Smart contracts are designed to be implemented at predetermined blockchain nodes

(Li, 2019).

There are multiple categories of blockchain clients that communicate with the blockchain

infrastructure via application programming frameworks. The first group of clients; is built in the

data systems of the participants. Including all of the data management systems and integrated

systems. The second category of clients is smart contracts or those supported by the blockchain

operating system, like blockchain browsers. The third form of clients is the public blockchain

service, which offers a decentralized user experience for both participants and potential future

stakeholders (Sarikaya, 2019).

References

Ferrell and Linda, (2020)., TECHNOLOGY CHALLENGES AND OPPORTUNITIES FACING

MARKETING EDUCATION, Retrieved from

https://doi.org/10.1080/10528008.2020.1718510
Gawanmeh and Al-Karaki, (2019)., Security and Privacy Challenges of Integrated Disruptive

Technologies, Retrieved from https://ieeexplore-ieee-

org.eu1.proxy.openathens.net/document/9045898?arnumber=9045898

Lielacher. A, (2018)., Five Challenges Blockchain Technology Must Overcome Before

Mainstream Adoption, Retrieved from https://www.nasdaq.com/articles/five-challenges-

blockchain-technology-must-overcome-before-mainstream-adoption-2018-01-03

Li. Y, (2019)., Emerging blockchain-based applications and techniques, Retrieved from

https://link.springer.com/article/10.1007/s11761-019-00281-x

Sarikaya. S, (2019)., How Blockchain Will Disrupt Data Science: 5 Blockchain Use Cases in Big

Data, Retrieved from https://towardsdatascience.com/how-blockchain-will-disrupt-data-

science-5-blockchain-use-cases-in-big-data-e2e254e3e0ab

Sharma. K.T, (2020)., 5 KEY CHALLENGES FOR BLOCKCHAIN ADOPTION IN 2020,

Retrieved from https://www.blockchain-council.org/blockchain/5-key-challenges-for-

blockchain-adoption-in-2020/?

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