Here is a step-by-step guide to building your own blockchain that you need to know, including :
- Define Use Cases for Your Network
Since blockchain technology will change the way transactions are made in the future, prospective developers need to be well-qualified and well-versed. Before you start building your own blockchain, you need to find a relevant business use-case. - Choosing a Relevant Industry
Customizing blockchain according to the needs of the targeted industry, such as healthcare, finance, logistics, and others, is crucial to ensure the technology provides effective and efficient solutions for the business. Each industry essentially has specific needs and challenges that can be addressed by the use of blockchain. Therefore, it is important to understand the characteristics and issues at hand before implementing this technology. - Choosing a Consensus Algorithm
The first blockchains used Proof of Work as the consensus mechanism, which supported the crypto asset Bitcoin. However, today's distributed ledger systems include various mechanisms such as Proof of Stake, Byzantine Fault Tolerance, Federated Byzantine Agreement, Delegated Proof of Stake, and others. Please choose the consensus technique that best suits your use-case. - Choosing the Optimal Protocol
The next step is to build processes on the blockchain using the right protocol. For this, you'll need the help of an experienced blockchain developer. There are many popular protocols to consider, such as Ethereum, Hyperledger, Polygon, MultiChain, Quorum, and others. - Choosing a Programming Language for Smart Contracts
Currently, Ethereum is one of the leading protocols often used for the development of new blockchain networks because it provides a variety of superior features. It uses Proof of Stake (PoS) consensus, supports the Solidity smart contract programming language, and is capable of integrating with layer-2 networks. This protocol has a variety of functions that can support your business projects. Therefore, it is important to understand the business objectives, consensus mechanism, and other technical aspects before choosing the protocol that best suits your needs. - Choosing an Operating System for Interaction
Blockchain systems can be permissioned, like a government-run land registry, or permissionless, like Bitcoin, where anyone can become a miner. They can also be private, public, or hybrid. Consider whether the nodes will run in the cloud, on-premises, or a combination of both, as well as hardware specifications, such as processor, memory, and disk space. You will also need to choose the base operating system to use (typically Ubuntu, CentOS, Debian, Fedora, Red Hat, or Windows). - Configuring Access, Security, and Authentication
Most blockchain platforms require careful configuration of various elements, such as permissions, asset issuance, key management, multi-signatures, and address formats. Some parameters can be updated at runtime, while others cannot so this step is crucial. - Building an Intuitive Front End
At this stage, you need to choose a programming language for the front interface as well as select an external database and server (including web server, FTP, and mail server). - Deploying the Network
The final step is to launch the blockchain network into the desired environment. At this stage, the blockchain system that has been built will be put into full operation, ensuring that the network runs according to the predefined configuration and needs. The rollout process includes final testing, security settings, and network performance monitoring to ensure smooth operation in the real world.