What is Blockchain Technology?

Blockchain is a type of Distributed Ledger Technology (DLT). DLT refers to the technology used to enable the secure operation of a ledger that is distributed among multiple nodes. The nodes agree on and ensure consistency of ledger information using consensus.

In Blockchain, transactions are grouped into “blocks” and each block is connected to the previous, forming a chain of blocks.

Blockchain Features

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Reducing cost

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Improving operational efficiency

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Enhancing information security

Blockchain Technology Landscape:

Blockchain solutions mainly span over three layers: Networks, Platforms and Applications.

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The first part includes the infrastructure and storage for blockchain solutions.

Blockchain networks are formed by multiple nodes, where each node is connected to each other, creating a P2P network.

Blockchain networks can be categorised based on their accessibility and permission model into the following categories:

Public or Permissionless Blockchain Network :

Public Blockchain networks are open to everyone to join the network and participate in the consensus process without requiring permission.​
Bitcoin and Ethereum are the most popular public Blockchain network examples.

Private or Permissioned Blockchain Network

Private or Permissioned Blockchain networks can be owned by one or multiple entities that hold control over providing authority to new members either to only access the network or also to validate the transactions. .

Given access to private blockchain networks is limited to authorised nodes, public blockchain is significantly more decentralised than private networks...​

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The second part of the landscape is the platforms that allow developers to build blockchain applications and solutions. The available platforms vary depending on the selected type of network. One of the most common used platforms globally are Ethereum for building solutions on public network and Hyperledger Fabric for building solutions on private networks.

Finally, the third part of the landscape contain Blockchain applications. One example is Decentralized Applications (dApps), which are applications that run in a blockchain network rather than on a central server. Another application is Decentralized Autonomous Organizations (DAOs), which are online organizations organized by smart contracts and managed by business owners in a distributed form rather than a centralized hierarchy.

​What is CST Role in Blockchain Technology?

CST is regulating the telecommunications and information technology sector in the Kingdom by implementing the policies, regulations, and programs to develop information technology and emerging technologies - including blockchain technology. This is in an effort to enable and ensure a fair competitive environment in the market, provide the appropriate environment to attract local and international investors, and localize blockchain services, in addition to stimulating reliance on its solutions and technologies in the Kingdom to raise the level of performance, productivity, flexibility and quality of services for all beneficiaries in the Kingdom.

Guidelines for Blockchain Adoption

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This guidelines document aims to adopt best practices and executive and technical recommendations related to Blockchain technology

Overview and Opportunities of Blockchain Technology

This study intends to raise awareness of Blockchain technology and highlight the potential opportunities for Blockchain adoption globally and in the KSA context.

Contact

If you have any inquiries related to the blockchain in the Kingdom of Saudi Arabia, you can contact us at info@cst.gov.sa​.

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