Interpreting Blockchain: Efficiency and Cost

We all know that the blockchain has built a credible social system, but to a certain extent, the blockchain is actually a very inefficient, and as a blockchain that many people aspire to land in the physical field, efficiency and cost Is a very important factor.

The chase of cost and efficiency in the realm

Many people engaged in the physical industry, such as manufacturing, can actually find that efficiency is always a topic that is emphasized. Of course, even if you are engaged in other industries, it is inevitable that you will be urged by the leader to finish the work. From this, in fact, 996 is a topic about efficiency, which means that a person's efficiency has a top level. When you reach the highest efficiency point, but it is still far from the deadline to complete the task, so you can only use time to make up for it. It's a 996 universal phenomenon.

For a more advanced enterprise management, cost and efficiency are variable factors, and they are also the key factors affecting the survival of the company. If the frequency is 996, the boss ca n’t stand it because the overtime pay is 3 times the salary, which is calculated for a long time It is also possible that it cannot be achieved, which makes the management of the enterprise more complicated. Of course, each enterprise has methods to make trade-offs, such as calculating overtime to adjust the rest.

The efficiency of blockchain

Generally speaking, the blockchain is considered to be composed of several nodes, that is to say, the blockchain is a huge account backup measure. The multiple accounts we have seen are actually backups between different nodes. Therefore, a blockchain network is formed. The simplest is the super ledger alliance chain, which essentially saves data on the chain by multiple nodes, so that even if the data is tampered on one node, it does not hinder the operation of the entire network. .

Since multiple nodes jointly operate the blockchain network, we need to consider the issue of blockchain efficiency. Generally speaking, the efficiency of the blockchain is relatively low. Even if there are multiple blockchain systems at present, Still stuck on TPS . At the same time, due to the problem of Internet data transmission, the throughput of the entire network is also limited. The simplest is different nodes. The network throughput is different. For example, if you use 4M It uses 100M for bandwidth transmission , so it can't synchronize data in time. This phenomenon is especially obvious in the alliance chain. Of course, if you are in a metropolitan area network or local area network, the natural TPS will be much higher. The accounting behavior within a host, the most common here is the database model.

The database appears to be much more efficient, because the database is running in a piece of hardware , and editing and editing are things that can be done quickly. Therefore, in this direction, the efficiency of the blockchain is actually relatively low.

Blockchain is an inefficient data storage verification method. Although this is not the same as most things in our lives, such as the boss we see urging you to work, cut things in line, etc. In fact, the blockchain is slow. The way to get up is also a new way . In essence, the blockchain is a distributed approach that tends to be centralized. In the network of distributed nodes, there is actually no center, but the blockchain will also create several "temporary centers". The above super Nodes are actually a very simple example. The blockchain has broken our understanding of things, and it has shown a whole new world and a new era, all of which are commendable.

Everything in the world has its costs. By doing something meaningful, we also generate value, and money is a substitute for value and a means of circulation. Therefore, if one thing does not talk about costs, Then it is not very realistic, rational people need to talk about costs.

We often say in the public chain that the 51 attack is a cost-increasing behavior, because the attack essentially increases the cost and cannot produce favorable economic benefits. Therefore, most people will not perform the 51 attack, which also makes The current public chain security also protects our property and data.

Blockchain applications and costing

We know that since the efficiency of blockchain applications in the physical industry is relatively low, does it also mean that the cost will be high?

In fact, we cannot simply draw such a conclusion, because the cost of a thing must be evaluated in a specific environment, which is what we mean by cost accounting. Only after cost accounting can we truly understand the blockchain's effect on entities. Whether the influence of the industry can be applied in a certain field, rather than random guessing.

Let's take an example. Suppose there are two companies that want to make a blockchain-based data storage system. One company stores a very large amount of data, reaching 100 P , and the other company stores a small amount of data, reaching 50 . P , then we need to make inferences based on the actual situation.

First of all, we need to consider the people who process the data according to the amount of data. For example, a company with a large amount of data will naturally need a lot of people, and the cost will be high. A company with a small amount of data will naturally need fewer people and have a lower cost Of course, the corresponding returns are different, but the unit returns are basically the same.

So in theory, if the benefits are the same, the big company needs two people, then the small company needs one person, which is well understood, but if the big company needs one person, then the small company naturally also needs one person. It is relatively easy to understand. After all, there is no such thing as a half-person. In this way, there is a small company that uses blockchain technology to cost more than a large company, so naturally small companies will give up blockchain technology.

Similarly, in most scenarios, it is actually more reasonable for a small company to apply a database, because the cost is very low, while a large company may be more secure because of the blockchain, and the profits of the large company will be higher. This is an ordinary The mathematical algorithm, to be more straightforward, is:

If the data storage of two companies earns 10,000 yuan for 1P of data storage , then the revenue of the large company above is naturally 1 million, while that of the small company is 500,000 . Assume that the cost of personnel is 100,000 per person a year , even if the large company employs three people. To maintain the blockchain, then it is easy to conclude that large companies will earn 700,000 and small companies make 400,000 , which can indicate that large companies actually make more money, which also shows that there is still a certain scale effect. Help.

This is a vertical comparison. We know that large companies may actually have advantages in applying blockchain.

If we compare horizontally, what if large companies used to use a centralized database and now want to change to a blockchain?

In fact, this is another story. It involves the number of blockchain nodes, the system's fault tolerance, and the company's performance evaluation after using the blockchain . Because all of this is unpredictable, in this case, if it is a small company, obviously using the blockchain, then it is naturally not cost-effective, and the large company may not be the same. As mentioned earlier, the size of a large company is twice that of a small company. Even if the number of people used is three times larger than that of a small company, the profit will be high, at most, the unit profit will be a little less, but depending on the size, it can still win. This is also the advantage of large companies using small chains over small companies.

Although the blockchain may increase costs in some small businesses, there will still be small businesses to deploy. Actually, many people will think about it here. Why do you want to do such a thing?

If we ask another question:

Will the cost decrease after using the blockchain?

I think this is possible, because there are many factors involved in this aspect, there may be a cost increase in this area, which will cause another aspect of cost reduction. The simplest is that the blockchain can cause financial and other jobs. Efficiency is improved. Of course, other factors here, such as the implicit cost reduction methods such as brand building of enterprises, will also make some companies spend high prices to build blockchain platforms.

We focus on the analysis of increasing the brand building of the blockchain:

We all know that the current operation of Internet companies requires a customer complaint post, that is, to deal with general customer complaints, such as the customer's brand impact caused by the loss of technical reasons such as the loss of data saved by your company, especially for centralized databases In this regard, this is very important, and the loss caused by abnormal system operation also needs to be considered.

Of course, technical problems generally cause data loss to seriously affect the company's brand image, so in general many companies need to perform multiple backups of data, but when the amount of data is particularly large, although backup can also solve the problem, but relatively For example, backups can only be performed on a regular basis because the business development volume will also increase a lot. For example, a popular mobile game produced by a large game company. If you need to back up data and perform regular or temporary maintenance, then naturally Affects the user experience. If it is not backed up, the data will be destroyed for a long time. When the company ’s game business reaches a very large amount, then naturally this is also a maintenance problem, and it may even consume excessive labor costs. There is also no guarantee that 100% of an emergency will not occur. If this happens, then this case alone will cause significant harm to the user, and the brand loss will be even millions of millions.

For the blockchain, although the speed is reduced to a certain extent, because the blockchain is a ledger that is backed up at all times, it will reduce the situation of data destruction to a certain extent. Low level. Of course, in a certain scenario, if a chain is not enough and the load is too large, then another chain can be made . In this way, the problem of data errors or loss will be greatly reduced. For brands, naturally It is also good. In this case, although there may be an increase in node fees, in the end, it is close to 100% to ensure the positive image of the brand. According to the network effect, once the positive brand of the company is established, it will develop rapidly in the industry. As a result, the situation of the strong and the strong is formed, especially when the competitor has an emergency, which can better show the superiority of this company.

For example, the melamine incident we know made the local milk powder completely wiped out, and foreign brands of milk powder survived. To this day, many Baoma are still buying foreign milk powder, and there is still a distrust of domestic milk powder. It can be seen that the establishment of the brand is actually When competitors face emergencies, and you can avoid and can't replace them.

to sum up

In fact, we can realize that for an industry or system, in fact, stability is the first and very important thing, followed by performance. Of course, although performance is also the focus in certain circumstances, the blockchain is also developing rapidly. In the past, TPS was not enough. High or slow transaction confirmation can actually be avoided to some extent, so from this point of view, in fact, the cost reduction of the blockchain is actually difficult to see in the short term, but if the time span is lengthened, , Then naturally it is also obvious.