A blockchain is a specific type of digital database that stores information on a computer. It is similar to a conventional database except for the difference in the method of data storage. Typically, a Blockchain can be defined as a decentralized digital database that stores information in the form of blocks that are linked together.
Blockchains are the backbone of the Bitcoin network as all Bitcoin transactions are digitally stored using blockchain technology. A blockchain gathers information in groups, also called blocks. The blocks have a specific storage volume which, when exceeded, will be sealed and linked to the previous block, thus forming a chain. Any information to be stored next will be assigned to the next block. Every block in the blockchain will have a timestamp that gives the accurate time when it was linked to the chain.
The modern world is in total awe of blockchain technology, and almost every industry has adopted it for data storage. In short, blockchain technology is leading the new wave of innovations in the world of technology. This automatically implies that blockchain developers are in huge demand today.
So, what does the future hold for blockchain developers? How much is the blockchain developer’s salary? Let’s find out.
What do Blockchain Developers do?
Simply put, the role of blockchain developers is to develop blocks. But creating partnerships isn’t simple; there are a lot of technicalities involved which is why there are two types of blockchain developers:
Core Blockchain Developers
A core blockchain developer develops the design, security, and architecture of a proposed blockchain system. In short, the foundation of a blockchain system is laid by the core blockchain developers. Their roles include:
- Designing protocols and security models for the blockchain network.
- Monitoring the performance of the network and ensuring it is in sync with the blockchain protocols.
- Designing the architecture of the network to enable centralizing and decentralizing of data.
Blockchain Software Developers
Blockchain software developers develop apps, decentralized apps (DApps), and other web tools necessary for blockchain technology. They use the core network architecture built by the core developers to create their apps. Other responsibilities of Blockchain Software developers include:
- Creating interactive interface designs for Dapps.
- Supervising back-end operations related to blockchain development.
- Development and management of Smart Contracts, self-propelling contracts containing the terms and conditions of compliance or agreement.
Salary of Blockchain Developers
The number of companies hiring blockchain developers in the US has seen tremendous growth since 2019. The average salary offered to blockchain developers in the US is $108,000 per year.
The salary range offered to blockchain developers in the US is between $150,000 and $175,000 per year.
The following shows the surge in the compensation offered to blockchain developers since 2015:
- In 2015: $133,000 per year
- In 2016: $135,000 per year
- In 2017: $142,000 per year
- In 2019: $170,000 per year
This indicates the upward growth of blockchain technology. As a result, the number of job listings for blockchain developers is expected to exponentially increase in the coming years, along with an increase in compensation.
Factors Affecting the Salary of Blockchain Developers
Various factors determine the package of blockchain developers. The most common factors are listed below:
Blockchain Developer Salary Based on Experience
- The most crucial aspect that determines the compensation of a blockchain developer is the level of experience.
- The average compensation offered to an entry-level blockchain developer in the US is $125,000 per year.
- A newcomer in the world of blockchain with 0–1-year experience is given $110,000 per year.
- A mid-level blockchain developer with experience of 4 to 6 years is given an average compensation of $143,000 per year.
- An experienced developer with 6 to 10 years of experience is given an average package of $153,000 per year.
- An expert-level developer with more than ten years of experience can expect a whopping package of $175,000 per year.
Blockchain Developer Salary Based on Education
Any aspiring candidate willing to have a footing in the world of Blockchain technology should have a bachelor’s degree in Computer Science, Information Security, or other related fields. Some companies look for programming skills and experience, while others look for a relevant degree and experience. Eligible candidates with relevant educational backgrounds have better leverage than those only with programming skills. The average basic salary offered to candidates with a solid academic background is comparatively higher than others.
Blockchain Developer Salary Based on Job Roles
Blockchain Developers have a lot of options in terms of their job roles. The top 5 job roles and the respective compensations are given below:
1. Blockchain Solutions Architect
They are responsible for designing, monitoring the development, and innovating design and security solutions for the blockchain network. They also have the additional role of customer engagement and offer technical solutions to any complexities. Blockchain Solutions Architects are responsible for assisting the research & development team in incorporating blockchain technology in creating and designing the solutions.
The average package offered to Blockchain Solutions Architects in the US is $135,650 per year.
2. Blockchain Project Manager
They are the leaders of any decentralized database or ledger project and liaisons between the blockchain developers and clients. Blockchain project managers monitor the development team and help them meet the client’s demands. The core area of blockchain project managers is database and processing systems. They supervise the resources, generate reports, monitor the security protocols, and develop an efficient method for managing the transactions.
The average salary offered to Blockchain Project Manager in the US is $106,891 per year.
3. Blockchain UX Designer
The development of user-friendly front-end designs is the primary responsibility of a Blockchain UX designer. The UX designer must make sure the interface designs are innovative, unique, and interesting. The main requirements for a promising career in UX designing are creativity, technical expertise, and a strong foundation in blockchain technology. Blockchain UX designers are vital to any company looking forward to launching blockchain technology from the users’ perspective.
The average salary offered to Blockchain UX designers is $107,500 per year.
4. Blockchain Quality Engineer
Blockchain Quality Engineers are responsible for developing and executing digital solutions using blockchain technology. They monitor and manage the company’s technological needs by developing effective solutions and applications. They decide the application release date and supervise the development and implementation procedures to ensure the projects are released within the deadline.
The average salary offered to Block Quality Engineers in the US is $150,000 per year.
5. Blockchain Legal Consultant
The primary responsibilities of Blockchain consultants include designing, researching, developing, and scrutinizing blockchain technologies. They monitor and test the applications related to new tools. They also maintain and manage applications associated with clients and servers to merge the business logic and ideology.
The average salary offered to a Blockchain legal consultant in the US is $108,000 per year.
Blockchain Developer Salary Based on the Industry
Blockchain developers are high in demand in many industries as most industries prefer blockchain technology over conventional systems. Below are a few of the industries that use blockchain technology:
- Automotive industry
- Banking
- Financial organizations
- Government
- Life science and healthcare
- Media and advertisement
- Telecommunications
- Retail
- Consumer goods
Blockchain Developer Salary Based on Skills
Blockchain developers must have strong analytical skills, knowledge of blockchain technology protocols, good analytical skills, and impressive communication skills. Good hold on programming languages like C++, Java, and Python provide a competitive edge to the candidates.
A good cryptographic experience along with strong knowledge of specific blockchain protocols like Bitcoin and Ethereum are an added advantage.
Future Scope of Blockchain Developers in the US
Many industries globally have widely adopted blockchain tech. This, in turn, has enabled the evolution of the blockchain network, which has facilitated accommodations for more decentralized currencies. A classic example of this is Bitcoin that has completely revolutionized the world of currencies by making transactions transparent while securing user information. The use of blockchain technology is not just limited to Bitcoin; it also helps develop digital investments and create digital goods.
Blockchain technology has grown since 2015 and has reached almost every sector, expanding job opportunities for blockchain developers. The compensation offered to blockchain professionals has also increased drastically over time.
With technology taking over every field, blockchain has become an indispensable asset. Studies and trends also suggest that blockchain is here to stay.
So, if you are eyeing a future in blockchain development, now is an excellent time to kick start your journey towards success.
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To have a career as a blockchain developer, it is essential to have a strong knowledge of blockchain architecture. It is also important to know what a ledger is and how it is used in blockchain, along with the know-how of developing and implementing Smart Contracts.
A strong understanding of data structures is essential to understand the blockchain codes. At the outlook, blockchain is similar to a conventional database except that its ledger is a network that stores information in the form of blocks. Furthermore, the blocks are cryptographically protected to make sure their integrity is not compromised.
Yes, it is possible to build a blockchain over HTTP with the help of programming languages like Python. The basics of blockchain technology are very simple to understand and implement. One blockchain class for storing the blockchain and another one to store the transactions. This is how simple blockchain technology works. What are the prerequisites to become a blockchain developer?
Is blockchain coding very difficult to learn?
Can I create a blockchain for myself?
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