Blockchain technology development in Ukraine is accelerating – iTizzi, Kyiv, Odesa, Ukraine

The market value of products and services based on this technology is expected to reach nearly $40 billion by 2025. In Ukraine, blockchain is just entering the stage of development and implementation of new solutions.

ITizzi offers blockchain technology services for startups and companies that can test their solutions in a secure environment. This is one of the few projects in Ukraine that is designed to accelerate the introduction of innovations based on this technology. Blockchain is an essential element of digitization.

During the pandemic, all businesses were forced to go digital. Blockchain technology is currently undergoing intensive development in Eastern Europe. The pandemic has only helped to accelerate the pace of this development. 2020 has shown us that most areas of our business are moving to the virtual world. That is why we are looking for solutions that, on the one hand, are technologically advanced and, on the other hand, safe, also in highly regulated areas. Blockchain is such a solution. That is why we, the iTizzi company (Kiev, Dnipro), decided to engage in its promotion and presentation of the opportunities it creates for startups, corporations, non-governmental organizations, small and medium-sized companies. After all, this is a safe technology that guarantees development and allows you to create innovative and safe projects of the future.

Today, blockchain is considered the most secure technology for recording and storing data. It is a distributed decentralized database based on algorithms and cryptography. Its basic element is a data block containing a packet of encrypted information about the operations being performed. The individual blocks of data are linked together in chronological order and form an unbroken chain (hence the name: blockchain).

How to prevent falsification of the transaction history in individual nodes, how to solve the data security problem? In the case of bitcoin transactions, Nakamoto proposed storing data in blocks associated with the use of file identifiers (the so-called hash, the result of a hash function). Each block has its own designation – the value of the hash function. Each new block contains the hash value of the previous block and a new own hash value that becomes part of the next block. Every time a new block is created, the existing register (blockchain) is checked and thus protected against tampering. This multi-copy chain is shared among multiple users and maintained across the entire network at the same time. Any attempt to manipulate one or more copies of the blockchain will be immediately detected.

How can we prevent any node from adding a new block of data? Nakamoto also found the answer to this question. The node has to solve a difficult accounting problem – you need to do a proof of work. The hash in the header of each block must be less than the value specified in the protocol (must be numerically lower than the current target). The node must find the corresponding hash (mining) – only then can it add a new block.

Blockchain was first used in cryptocurrencies, but nowadays, this technology is finding more and more applications in the financial sector and beyond. Currently, blockchain is used commercially mainly by banks. According to experts, the development of new useful applications of this technology is only a matter of time. However, there are a number of obstacles along the way, such as awareness, the required computing power, or a safe environment to test new solutions.

What do Dnipro, Odessa and Vinnytsia companies need to implement blockchain services?

Blockchain technology not only opens up new possibilities for secure data storage, but can also completely replace previous business models. Therefore, the question should not be whether blockchain technology should be used, but how quickly it should be implemented. Small and medium enterprises already have many opportunities to take advantage of blockchain technology. However, in most cases it also depends on the industry. As seen in previous examples, a logistics company could, for example, join a trading platform and take advantage of secure tracking and monitoring or smart contracts in logistics. This allows for greater transparency and security in your own supply chain. Food companies can use blockchain to validate the quality and origin of their food. The list of blockchain services or new applications of it is growing rapidly. To create / select customized blockchain solutions, blockchain ecosystem applications, decentralized applications (Dapps) for your business, contact our company iTizzi. We work with companies throughout Ukraine.