Blockchain Vs Centralized Database: Top 7 Key Comparisons

Written By Alla Levin
August 01, 2022
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Blockchain Vs Centralized Database: Top 7 Key Comparisons + The Better Tool to Serve Your Purpose

There is a lot of fuss about and around blockchains and databases. And they all ask the same question: which one of the two is better?

Although every distributed ledger is a blockchain, not every distributed ledger is a blockchain. There must be decentralization and unanimity among nodes for each of these ideas. On the other hand, the blockchain divides data into blocks and updates records solely utilizing the structure for addition. 

Targeted blocks and distributed ledgers represent conceptual advances in information management. So we have gathered 7 differences between blockchains and centralized databases along with the most promoted question ever, which one is for you?

Top 7 Key Comparisons: Blockchain Vs Centralized Database

Decentralized Control

Blockchains often enable information sharing between parties without the need for a centralized administrator, so they work as a decentralized database. Blockchain-related decision-making heavily relies on the consensus process.

However, the usability of databases is entirely different. A database must have a central administration since there are some circumstances where relying on a consensus is impossible. Sometimes a person’s basic intelligence proves to be superior to the sum of the intellects of a billion other people. 

History of ItselfBlockchain Vs Centralized Database

Only current information is recorded in centralized databases. They don’t look up previously recorded information. Blockchains present a unique set of challenges. They can track back information about previous transactions in addition to keeping information that is pertinent in the present.

Blockchains can produce databases that contain histories of themselves; in other words, they extend like continuously growing archives of their past.


Blockchains are utilized as record-keeping systems and make excellent transaction platforms, but when it comes to the speed of digital transactions, they are just as slow as databases. Undoubtedly, blockchain technology’s functionality and nature will increase, but databases already provide the same functionality. They have been around for a long time and have seen a multi-fold increase in performance.


Like a centralized database, a blockchain can include write and read restrictions. Blockchains do not, however, offer an advantage over centralized databases if confidentiality is the main objective.

Blockchain Vs Centralized Database: Architecture

The architecture that each utilizes is another important distinction in the blockchain vs. database debate. A typical database, for instance, has a client/server architecture, which has so far proven to be appropriate for both small and large-scale enterprises.

In this approach, the server functions as a producer, and the clients act as users or consumers. Thus, a server, which serves as a centralized processing unit, can be used by clients to request and receive services.

On the other hand, blockchain employs a distributed ledger technological architecture. Accordingly, it functions as a peer-to-peer network where each peer can interact with another utilizing safe cryptographic protocols. 

Permissions Blockchain Vs Centralized Database

Permissions are what drive databases. The database administrator can specify the ‘users’ who are permitted to communicate with the database. Clients attempting to access the database must meet the administrator’s definition of the ideal user.

As a result, a database is made to limit the number of users who may access it by requiring specific requirements before a user can access or add any data to the database.

Since there are no restrictions dictating who the ideal user is, blockchain can simply be referred to as a permission-less network. Everybody has access to the Blockchain and can read the data there whenever they want.

Even though there are various kinds of Blockchain, each one’s set of rules governs who is permitted to view and edit information. Network users generally have rapid access to the Blockchain anytime they need it.

Append Only By Design

Databases are made to support the addition, modification, and deletion of data. With a Blockchain, it doesn’t work that way, though. Data added to a block cannot be changed after it has been added, altered, or removed from the chain.

There is a historical record of everything saved on the data because the information is added to the complete chain in this way. In other words, the single operation on a blockchain is inserted, and anything put to it becomes immutable and open to everyone.

Final Verdict – The Better Tool to Serve Your Purpose

Choosing your next data storage technology is not a difficult decision. We talked about the key distinctions between them and the advantages of adopting them, and both conventional databases and blockchain are unquestionably winners.

Blockchain enables innovation, verification, and automation, whereas databases excel at speed and accuracy. Let our professionals assist you in resolving even more complex problems in this sector if you are still undecided about using a standard database or a blockchain.

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