A Vertical Blockchain is a specialized distributed ledger designed to serve a specific industry, application, or use case, rather than aiming for broad, general-purpose functionality. These blockchains are often optimized with tailored features, consensus mechanisms, and data structures to meet the unique requirements of their intended domain. Examples include supply chain tracking, healthcare data management, or digital identity solutions. This approach prioritizes depth and specificity over horizontal versatility.
Context
News frequently reports on the development and adoption of vertical blockchains within various industries, showcasing the application of distributed ledger technology beyond general cryptocurrencies. These discussions often highlight how tailored blockchain solutions can address industry-specific pain points such as data silos or inefficiencies. Challenges include achieving interoperability with other systems and gaining widespread industry acceptance. The proliferation of vertical blockchains indicates a maturing understanding of DLT’s diverse potential.
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