7 Technical Skills Fortifying Blockchain Foundation

Blockchain, the virtual ledger technology behind Bitcoin, has revolutionized Web 2.0 by enhancing transparency and data security. The transition from current Web 2.0 to Web 3.0 blockchain technology demands skilled blockchain engineers.

Major corporations' are interested in blockchain technology started to take off as early as 2014. The technology that enabled cryptocurrencies to purchase and sell virtual assets in the metaverse are founded on digital ownership that was decentralized and secure.

Blockchain technology is evolving and offering enormous potential in various fields, through cybersecurity, banking, and the Internet of Things. In 2022, nearly 90 percent of the businesses surveyed reported adopting blockchain technology in some capacity. Leading the Blockchain ecosystem to be the key to industries ranging from finance, supply chain, healthcare, real estate, oil and gas, media, and education.

Global blockchain technology market size was valued at USD17.5 billion in 2023 and is projected to reach USD813.4 billion by 2032, growing at a CAGR of 53.4 percent.

What is a Blockchain Developer?

Blockchain Developer is a software developer who specializes in building and maintaining blockchain-based applications and systems. Blockchain creates smart contracts that automate tasks, saving time and cutting costs through decentralized. Master distributed ledger technology that records transactions across multiple computers so that the registered transactions cannot be altered retroactively.

1) Understand the Distributed Ledgers

Mastering distributed ledger technology (DLT) is the backbone of blockchain, and indispensable for blockchain developers. The distribution ledger records asset transactions in multiple places simultaneously. Unlike traditional databases, distributed ledger technology (DLT) has no central data store or administration functionality, this ensures a high level of transparency and security. Understanding DLT is a fundamental concept crucial for blockchain developers for several reasons.

Develop proficiency in DLT beyond the surface level and empower developers to contribute meaningfully to discussions and decision-making processes regarding the implementation of blockchain technology in various sectors.

2) Strengthen Smart Contracts

A self-executing contract with terms of agreement directly written into lines of code exists across a distributed, decentralized blockchain network. When you remove the need for intermediaries, an automation of the process is formed. This automation ensures trust and transparency in transactions, which is pivotal for creating smart contracts through blockchain technology.

The fundamentals of coding in blockchain are aligned through JavaScript, C++, and Python, the applicable primary languages used for Ethereum smart contracts. Formulate robust and versatile complex contracts with the prized simplicity of security-focused features.

The blockchain programming language empowers blockchain developers to build block-by-block innovations that optimize secure decentralized applications. Smart contracts are also written, making them essential tools in a blockchain developer’s arsenal.

3) Blockchain Architecture Knowledge

As the digital landscape evolves, any aspiring blockchain developer must master basic technical skills. The blockchain architecture is a critical concepts that form the backbone of blockchain development:

Understanding Different Blockchain Architectures:

On classifying the different blockchain types we can carefully narrow down the blockchain architectures into—public, private, and consortium. Each type serves distinct purposes and offers unique features:

• Public Blockchains are open and decentralized, allowing anyone to join and participate in the network.
• Private Blockchains are controlled by a single entity, offering more privacy but less decentralization.
• Consortium Blockchains strike a balance, operated by a group of organizations, blending elements of both public and private systems.

An insightful aspect of blockchain development is understanding how transactions are processed and validated, which involves learning about the role of miners or validators in transaction verification.

• Miners or validators are the function of verifying transactions.
• The idea of consensus mechanisms like Proof of Work or Proof of Stake, and how network security is ensured.
• The details of smart contracts and how they are executed on the blockchain.

4) Build up Cryptography Skills

Familiarize yourself with the specific cryptographic protocols to preserve data integrity across the decentralized ledge of blockchain systems.

• Learn Symmetric and Asymmetric Encryption: It involves algorithms like AES (Advanced Encryption Standard) for symmetric encryption and RSA or ECC (Elliptic Curve Cryptography) for asymmetric encryption.
• Hashing Functions: Ensure data integrity by transforming any input into a fixed-size string and learning to create a unique fingerprint for each block and transaction. The most popular hashes, like SHA-256 (used in Bitcoin), will get your basic blockchain work to transform data into a fixed-size string swiftly.
• Digital Signatures: Make sure you learn how to ensure the authenticity and integrity of blockchain data by verifying that it has not been altered or tampered with, thereby confirming the genuineness of transactions.ECDSA serves as the foundation for the security of Bitcoin and is widely utilized in secure messaging apps

Beingcert is a pioneering, vendor-neutral professional certification in blockchain. It is designed to leverage modern learning techniques and provide expertise in key cryptographic concepts.

5) Expertise with Data Structures and Algorithms

From writing scalable code, algorithmic thinking and problem-solving techniques encompass the necessary skills in blockchain algorithms and data structures. A practical necessity for blockchain developers is building a deep understanding that can serve as a critical to futuristic learning with the advantage of cutting-edge technology as a certification in blockchain.

To experience blockchain data structures and algorithms can leverage the decision-making process regarding system architecture and performance.

• Merkle Trees – The core efficiency of blockchain depends on the Merkle Tree, a data structure used for summarizing and verifying the integrity of large data sets. Ensure the consistency and security of the blockchain will enable quick and secure verification of large blocks of data.
• Patricia Trees – It plays a crucial role in Ethereum-like blockchains and is known for providing optimized data storage and retrieval, improving blockchain operations' speed and efficiency.

6) Architect the Trust in Consensus Algorithms:

These consensus algorithms function to achieve agreement on a single version of truth. Secure the heart of the network systems that is finally designed in Consensus algorithms formulating the fundamental building blocks of large-scale, fault-tolerant systems.

Since blockchains are decentralized, there’s no central authority to verify transactions, so consensus algorithms aid in ensuring all the participating nodes in the network agree on the validity of transactions and the state of the distributed ledger.

(a) Proof of Work (PoW)

How it works: Miners compete to solve complex mathematical puzzles, and the first one to solve it gets to add the next block to the blockchain. This requires significant computational power, and the process is energy-intensive.

Example: Bitcoin, Ethereum (before transitioning to PoS).

(b) Proof of Stake (PoS)

How it works: Validators (rather than miners) are chosen to create new blocks based on the amount of cryptocurrency they "stake" (lock up as collateral). The more they stake, the higher the chance of being chosen to validate a block.

Example: Ethereum 2.0, Cardano, Polkadot.

(c) Delegated Proof of Stake (DPoS)

How it works: Instead of all nodes participating in the consensus, token holders elect a small number of trusted validators (delegates) to secure the network and create new blocks.

Example: EOS, TRON.

(d) Proof of Authority (PoA)

How it works: A small group of trusted nodes (validators) are authorized to create new blocks. Validators are typically known entities, and their identity is key to their authority.

Example: VeChain, Ethereum (in private blockchains)

(e) Practical Byzantine Fault Tolerance (PBFT)

How it works: A consensus algorithm that allows a network of nodes to reach an agreement even if some nodes are faulty or malicious. It involves multiple rounds of voting to confirm the validity of a transaction.

Example: Hyperledger Fabric, Zilliqa.

(f) Proof of Space (PoSpace) / Proof of Capacity (PoC)

How it works: Instead of solving computational puzzles, participants allocate a certain amount of their hard drive space to store data, which is later used to prove that they have space available to contribute to the network.

Example: Chia.

(g) Hybrid Consensus Models

How it works: Combines multiple consensus algorithms to leverage their strengths. For example, some blockchains use a mix of PoW and PoS.

Example: Decred (PoW + PoS).

(h) Proof of Elapsed Time (PoET)

How it works: A consensus mechanism used in permissioned blockchains where participants wait for a random, fair period before being chosen to create the next block.

Example: Hyperledger Sawtooth.

7) Own Data with Decentralized Applications (DApps)

Where innovation meets decentralization the key element that makes blockchain technology stand out is the development of Decentralized Applications (DApps). Unlike traditional applications, DApps leverage the decentralized nature of blockchain technology to offer benefits like enhanced security, transparency, and resistance to censorship.

DApps over the industry:

• Financial DApps (DeFi - Decentralized Finance)
• Gaming DApps
• Social DApps
• Supply Chain DApps
• Healthcare DApps.
• Marketplace DApps
• Identity and Reputation DApps

This DAapp software application runs on a blockchain or decentralized network on a peer-to- peer network, which is often a blockchain system. This fundamental difference not only enhances security and reduces points of failure but also shifts the control from a single authority to a distributed network. The DApp industry recorded a 485% increase in Unique Active Wallets (UAW) in 2024, reaching an average of 24.6 million daily UAW by year-end

Path to Excellent Tech Foundation via Beingcert

Understanding the intricacies of blockchain ecosystems, where trust is built into the code, is crucial for businesses, developers, investors, and individuals seeking to leverage the power of blockchain technology. Join a revolutionary blockchain ecosystem and shape how we think about trust, security, transparency, and efficiency in digital transactions.

Learn distributed ledger technologies that have been an umbrella term for the cryptocurrency, blockchain, and the NFT world. Enroll in the Beingcert Certification Program to take charge of building the future and explore all the Possibilities of immutable records with Beingcert Blockchain Professional Certification to solidify the fundamentals of technical skills involved in designing and optimizing records, and guarantee data consistency and quality will grow as more businesses embrace digital transformation.