The 5 Generations of Blockchains Explained (2024)

FAQs

What are the 5 layers of the blockchain? ›

What are the primary layers of blockchain technology? Blockchain consists of five layers: hardware infrastructure, data, network, consensus, and application layers. These layers handle functions from data storage to user-facing applications.

Enter Everscale, the fifth-generation blockchain, heralding an era of environmental friendliness and unparalleled scalability. Operating on the PoS model Soft Majority Fault Tolerance (SMFT), Everscale boasts a staggering throughput of over a million TPS and notably low transaction fees.

So, the below is the explanation of a Blockchain as a 5-year-old. Imagine you have a special notebook that you and your friends can write in, but once you write something in it, you can't erase it or change it. Now, imagine that notebook is shared with all your friends and their friends, so everyone has a copy of it.

How Many Generations of Blockchain Are There? It depends on who you ask and how they define them. Generally, there have been three: research and development, the cryptocurrency craze, and Web3 and enterprise development.

Five Pillars. Andreas M. Antonopoulos proposed a set of clear standards for people who want to check if a chain is a true or fake public chain, which is called five pillars of public blockchain: open, public, borderless, neutral, and censorship-resistant.

'Blockchain' is a compound word– here the 'blocks' are the records of data, and the 'chains' are the links each record has with each other. It's a democratizing technology, in that it makes everyone equally accountable and equally in control (at least in the case of public blockchains– but more on that later).

A blockchain is a decentralized, distributed and public digital ledger that is used to record transactions across many computers so that the record cannot be altered retroactively without the alteration of all subsequent blocks and the consensus of the network.

Blockchain is a shared, immutable ledger that facilitates the process of recording transactions and tracking assets in a business network. asset can be tangible (a house, car, cash, land) or intangible (intellectual property, patents, copyrights, branding).

The transaction data are written as blocks. Each new block is chained to the earlier block, except the first block. Blocks are chained based on the chronology of timestamp. Blocks are added to the main chain only after obtaining consensus from the peer nodes.

A report published by the World Economic Forum claimed that by 2025, 10% of GDP will be stored on blockchains or blockchain-related technology. Blockchain technology is poised to revolutionize the way the digital world handles data and does business. Technology has the potential to bring changes around the world.

What is the first generation of blockchain? ›

The first-generation blockchain focused on creating immutable ledgers using cryptographic techniques. Bitcoin, introduced in 2009 by the mysterious Satoshi Nakamoto, utilized this technology to establish a secure and transparent method for transferring digital assets.

The 5 Layer Protocols in Transmission Control Protocol/Internet Protocol (TCP/IP) are the Application, Transport, Network, Data Link, and Physical Layers. Each layer has its own set of protocols that allow for data transmission and packet switching between different nodes on a network.

Application Layer (Layer 5)

As you might have guessed, the Application layer is where applications requiring network communications live. Examples of these applications include email clients (SMTP) and web browsers (HTTP). These applications use the Transport Layer to send requests to connect to remote hosts.