What are Public and Private Blockchains?

Since the beginning of blockchain technology, people have talked about public vs private blockchain. In an business environment, it’s actually really important to know the big differences between two. Basically, public and private blockchain examples play a huge role in the companies looking for the perfect blockchain type for their solutions.

That’s why to help , I am going to discuss about public vs private blockchain today. After knowing their similarities and differences, you can easily pick the one that’s suited for your needs.

A public blockchain is a blockchain network where anyone can join when-ever they want. Basically, there are no restrictions to participation. More-ever, anyone can see the ledger and take part in the consensus process.

For example, Bitcoin and Ethereum are types of the public blockchain platform examples.

Thus, if one wants a fully decentralized system, then public blockchain is the best way to go. The public blockchain network was the first-ever blockchain type in the revolution. As a fact, it was Bitcoin that laid the foundation of blockchain technologies. Once people started to see the technological benefits, they started developing other blockchain variations to get rid of all the issues faced earlier.

The best part about public blockchain companies is that they make sure that all the participants must get equal rights no matter what. People can join and participate in consensus. Public blockchain companies make sure that technology offers the highest level of security. More-ever, it’s something that we will not see in a private blockchain. Everyone can see the ledger as well, thus maintaining transparency at all times.

A private blockchain is a special type of blockchain where only a single organization(s) has/have authority over the network. It means that it’s not open for the public people to join in.

Thus, we would need trust these platforms to use this. Without trust b/n the nodes, this network model will not work. A private blockchain is not fully decentralised like public blockchain platforms which we discussed above. It is more like a partially decentralised situation. In private blockchain platform, one will get regulations that other platform don’t have. So, all the node have to be abide by certain rules to ensure a company’s proper flow.

Refer to the table attached for the final comparison. I have got a beautiful table explaining the final comparison:

There are lot of differences and you can choose which fits your need.

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Image Credits: Google Images.

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